Major industries are putting down roots in Tennessee, and their suppliers, vendors and competitors aren’t far behind. With massive new billion-dollar developments like Volkswagen in Chattanooga, Hemlock Semiconductor in Clarksville, Wacker Chemie in Bradley County, Confluence Solar in Clinton and others, the Volunteer State has become an international hotspot for global industry. And as these major concerns set up shop here, they are providing launching pads for feeder companies, research facilities and much, much more.

“The concept of recruiting 'anchor projects' has been a pillar of Tennessee’s economic development strategy since Governor Phil Bredesen took office in 2003,” says Matt Kisber, commissioner of economic and community development. “We believe that by attracting these large-scale operations, Tennessee will become the natural choice for customers and suppliers of those operations that are looking to expand or relocate their own facilities. As a result, one anchor company’s decision to locate in Tennessee sets off a ripple effect of new capital investment and job creation that is felt throughout the state.”

The numbers tell the story, and then some. In the last seven years the state has grown 184,000 jobs, seen $32 billion in capital investment and become the corporate headquarters for more than 50 companies. These successes have drawn plenty of outside attention too. Chief Executive magazine has named Tennessee one of the top three states in the nation for business; Site Selection magazine continues to rank the state high on its list of top economic development performers; Business Facilities magazine named Tennessee its 2009 State of the Year; and Trade & Industry Development magazine tapped the state for its 2010 Corporate Investment & Community Impact Awards.

And the accolades are going to keep on coming as the state’s strategy continues to spawn new development. “We are already beginning to see anchor projects such as Volkswagen’s decision to locate in Chattanooga and Hemlock Semiconductor’s decision to locate in Clarksville yield tangible results,” Kisber says. “In a University of Tennessee study, it was estimated the Volkswagen plant would create an additional 9,000 indirect jobs for the region. Over the past year we’ve had many suppliers announce the creation of hundreds of new jobs and millions in new capital investments from companies that include Gestamp Corporation, Chattanooga Seating, Faurecia, Magna Exteriors & Interiors, MTEK, ThyssenKrupp, Miniature Precision Components Inc. and SL America. There will be even more suppliers announced as Volkswagen gears up for the production of its new vehicle in early 2011.”

Hemlock and Wacker Chemie are spurring similar growth, as is Confluence Solar. Both separately and together, these companies are helping Tennessee become the literal go-to state for solar energy related businesses in the United States. “Ideally, these companies will process the raw material for solar panels. Tennessee companies like AGC Flat Glass and Shoals Technologies will transform those raw materials into solar panel components and Tennessee installers will bring those solar panels to homes and offices across our state and the nation,” Kisber says. “Whether we’re working in automotive manufacturing, clean energy or any other growth industry, Tennessee will continue to pursue transformational job creation projects as an important element in our economic development efforts.”