Texas Leads in FDI
Texas is the 10th largest economy in the world based on GDP, ahead of Mexico, Spain, South Korea and more. With the second largest civilian workforce in the U.S. and conveniently located in the center of the country, Texas serves as a major logistical hub for easy access to markets across North America.
The access to border crossings, an impressive railroad system, and numerous deep water ports give companies the ability to efficiently move their products throughout the state, country and world. In addition, the second largest civilian workforce in the U.S. makes Texas a place where businesses can flourish.
With the most trade zones and home to 50 Fortune 500 companies, Texas is the leading destination for foreign direct investment. Roughly 1,400 FDI projects have been created in the last 5 years, representing a capital investment of $212 billion and creating over 90,000 jobs statewide.
In terms of incentives, Texas offers one of the lowest tax burdens in the country, with no corporate income tax and no individual income tax. The Texas Enterprise Fund, Event Trust Funds, Financing, Grants, Tax Incentives, and Workforce Development Funds make up some of the competitive programs Texas offers to companies who move their business into the state and create jobs and economic development.
(Details about the incentives program to follow in a later publication.)
So let's look at some of the major metro areas found in Texas. Houston leads the state in FDI projects, housing almost 40% of all foreign companies. Dallas-Fort Worth follows with 13%, Austin with 11% and San Antonio with 4%. Texas' 4 leading major markets makes up roughly 65% of all inward FDI, leaving 35% distributed amongst over 20 rural and smaller metro markets.
Texas is a powerhouse and welcomes foreign investors of any size across various industries. With the FDI continuously reaching record numbers the past 3 years, now is the time to move your business into Texas.