Caterpillar, Ultium Lead $1 Billion U.S. Plant Investments

Caterpillar is investing approximately $1 billion to modernize its Sanford, North Carolina facility, which produces compact track loaders and telehandlers for small contractors and rental businesses. The plant, which opened in the late 1990s, is the sole location where Caterpillar manufactures compact track loaders and currently employs nearly 2,000 people in Lee County. This investment is part of a broader plan to modernize the company's North Carolina operations.

The modernization will introduce AI assistance, robotics, and new painting and welding technologies. It will not create additional jobs beyond the 600 positions Caterpillar announced for the site in May. Wages at the plant start around $18 per hour, with higher pay for skilled jobs such as welding. Caterpillar is based in Irving, Texas, and has other manufacturing plants in Clayton, Goldsboro, and Winston-Salem, North Carolina.

Ultium Cells' $1 billion Tennessee retooling

Ultium Cells, a joint venture between General Motors and LG Energy Solution, plans to invest $1 billion to retool its battery cell manufacturing operations in Spring Hill, Tennessee. The retooling will enable production of lithium manganese-rich prismatic battery cells with 33% greater energy density than lithium iron phosphate at a comparable cost. The Spring Hill location will continue to produce high-nickel batteries alongside the new technology.

Factory modifications are scheduled to begin later this year, with completion set for 2028. The expansion is expected to create 500 jobs. This follows a $275 million expansion at the site in 2022 and an initial investment of over $2.3 billion. The joint venture was formed in late 2019 to support electric vehicle battery demand.

Genentech's $750 million Oregon expansion

Genentech broke ground on a $750 million expansion of its fill-finish operations in Hillsboro, Oregon. The project will add 211,000 square feet, doubling the size of the existing site established in 2006. It is expected to create 250 jobs, including roles focused on artificial intelligence, automation, and robotics.

Operations at the expanded facility are set to begin in 2031. This investment is part of a broader $50 billion commitment by Genentech and its parent company Roche Group to increase its U.S. Manufacturing and research and development footprint.

Avio USA's $500 million Virginia facility

Avio USA broke ground on a $500 million solid rocket motor manufacturing facility in Hurt, Virginia. The 900,000-square-foot plant will produce thousands of solid rocket motors per year to support U.S. Defense programs for Lockheed Martin and Raytheon. The facility is expected to create about 1,500 jobs in Southern Virginia.

Governor Abigail Spanberger first announced the project in February. The state indicated Avio will be eligible for a special incentive of up to $97.7 million based on the investment and job creation. Construction is scheduled to finish by late 2028, with production beginning in early 2029.