By Jeff Vedders

We recently analyzed US new facility and expanded facility activity for 2003.  There were a total of 5,427 announcements in 2003.  This compares with 6,645 announcements in 2002, 9,679 announcements in 2001 and 11,602 announcements in 2000.  That means there was a 22% drop in activity from 2002 to 2003, and there was a 53% drop in activity from 2000 to 2003.  All announcements represent an investment of $1 million, 50 employees, or 20,000 sq. ft.

Source: Whittaker Associates, Inc. and Conway Data Scoreboard

Of the 6,645 announcements reported for 2002, 2,720 were new facility announcements while 2,707 were expanded facility announcements.

2002 Top New Facility Announcements Analysis

As can be seen below, most of the top industries dropped off in activity from 2002 to 2003.  Computer and electronic product manufacturing leads all categories with a drop off of 44%.  Although much of the new activity is down, there are still a few categories that remain active and are increasing in activity.  Interestingly, after a drop-off of 78% between 2001 and 2002, building, developing, & general contracting (spec properties) is up nearly 96% over 2002 levels.  Truck transportation facilities and wholesale trade, nondurable goods are up over 2002 levels.

2003 New Announcements2002 New AnnouncementsPercentage ChangeNAICS CodeNAICS Description
47924595.51%233Building, developing, & general contracting
188272-30.88%421Wholesale trade, durable goods
156186-16.13%541Professional, scientific & technical services
146200-27.00%336Transportation equipment manufacturing
123142-13.38%325Chemical manufacturing
1129715.46%422Wholesale trade, nondurable goods
92130-29.23%311Food manufacturing
92109-15.60%326Plastics & rubber products manufacturing
69109-36.70%333Machinery manufacturing
6891-25.27%332Fabricated metal products manufacturing
58104-44.23%334Computer & electronic product manufacturing
5669-18.84%331Primary metal manufacturing
554814.58%561Administrative & support services
5223126.09%484Truck transportation

Source: Whittaker Associates, Inc. and Conway Data Scoreboard

2002 Top Expanded Facility Announcements Analysis

As with the new announcements, most of the top industries dropped significantly in activity from 2002 to 2003.  Printing and related support activity, machinery manufacturing, and wholesale trade, durable goods lead all categories with drop offs of 35%, 34% and 34% respectively.  Categories showing a significant increase include building, developing, & general contracting and truck transportation (558% and 100%).

2003 Expanded Announcements2002 Expanded AnnouncementsPercentage ChangeNAICS CodeNAICS Description
263364-27.75%336Transportation equipment manufacturing
185219-15.53%311Food manufacturing
180207-13.04%325Chemical manufacturing
17115014.00%541Professional, scientific, & technical services
152218-30.28%326Plastics & rubber products manufacturing
133177-24.86%332Fabricated metal product manufacturing
116176-34.09%333Machinery manufacturing
107162-33.95%421Wholesale trade, durable goods
89129-31.01%331Primary metal manufacturing
8086-6.98%422Wholesale trade, nondurable goods
7912558.33%233Building, developing, & general contracting
6998-29.59%334Computer & electronic product manufacturing
6673-9.59%335Electrical equipment, appliance & component mfg
64598.47%337Furniture & related product manufacturing
5873-20.55%321Wood product manufacturing
5373-27.40%327Nonmetallic mineral product manufacturing
5171-28.17%339Miscellaneous manufacturing
5077-35.06%323Printing & related support activities
5025100.00%484Truck transportation

Source: Whittaker Associates, Inc. and Conway Data Scoreboard