Industry is driving job creation throughout the commonwealth

FRANKFORT, KY - On October 2, 2024, Gov. Andy Beshear highlighted October as Manufacturing Month in Kentucky as the industry continues to be a key factor in Kentucky’s record economic growth and job creation with more than 6,000 facilities statewide employing over 260,000 Kentuckians.

“Kentucky plays an important and key role in the nation’s manufacturing sector thanks to the thousands of businesses statewide that produce incredible Kentucky-made products,” said Gov. Beshear. “This sector includes production in the food and beverage, aerospace, automotive and electric vehicle and metals industries, among others. These industries have positioned our state as a national leader in manufacturing. I want to thank every manufacturer across the commonwealth for their part in our continued success, as well as the unmatched workforce that makes this success possible.”

Kentucky’s best four years on record for private-sector growth, from 2020 to 2023, has been in large part thanks to the growth of the commonwealth’s manufacturing presence, and the industry has spurred rising wages for families throughout the commonwealth. The industry also contributes $38 billion annually to the state’s gross domestic product.

Since the start of the administration, Gov. Beshear has announced more than 730 private-sector new-location and expansion announcements from manufacturers that are creating more than 35,700 full-time jobs for Kentuckians with over $27.2 billion in new investment.

In 2023, manufacturing was responsible for $3.7 billion in new investment and more than 5,800 full-time jobs for Kentuckians. That’s 80.4% of all corporate investment announced in the commonwealth for the year and nearly 68% of all job creation.

Manufacturing growth has continued into 2024, with 51 manufacturing-related projects announced year-to-date that are contributing to over $3.2 billion in new investment and nearly 3,000 full-time jobs. That success is supported by a growing number of well-paying job opportunities for Kentuckians. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Frank Jemley, president and CEO of the Kentucky Association of Manufacturers, recognized the businesses bringing Kentucky-made products to the world: “We are excited to once again celebrate, during Manufacturing Month, the people and the companies all across Kentucky that build things, produce products that make our lives better, and bolster our families and our communities.”

In March 2023, Gov. Beshear announced a new “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies. At the center of that initiative is CONNEX Kentucky, an online platform established through a partnership between the Cabinet for Economic Development and the Kentucky Association of Manufacturers (KAM) that provides a searchable supply chain database for manufacturers throughout the state.

Membership to the CONNEX Kentucky marketplace is provided for free to all manufacturers within Kentucky, with access to the national marketplace available for a small fee. More information about the program and a link to sign up can be found at kam.us.com/connexkentucky.

Manufacturers looking to locate a new facility or expand existing operations find that the commonwealth provides all the needed resources to accommodate long-term growth. Kentucky’s ideal central geographic location places the state within a day’s drive of two-thirds of the U.S. population and income. Combined with state-of-the-art infrastructure, Kentucky’s location allows manufacturers to quickly distribute products to key U.S. markets, while global air cargo hubs in Louisville and Northern Kentucky by UPS, DHL and Amazon provide fast and reliable distribution overnight anywhere in the world. Low business costs, including a rate among the lowest industrial electric costs in the country, according to the U.S. Energy Information Administration, ensure companies can continue to grow and create great jobs for Kentuckians.

The celebration of Manufacturing Month in Kentucky builds on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $32.5 billion in announced investments, creating more than 55,000 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and INFAC North America’s $53 million investment in Taylor County, among others.

The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch Ratings, S&P Global Ratings and Moody’s Investors Service.

In March, Site Selection magazine ranked Kentucky third nationally and first in the South Central region for economic development projects per capita in its 2023 Governor’s Cup rankings. In April, Site Selection placed Kentucky second in the South Central region and in the top 10 nationally in its 2024 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.

Information on Kentucky’s economic development efforts and programs is available at CED.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.