Tri-State Regional Workforce Alliance
Tri-State Regional Workforce Alliance National Strategic Planning & Analysis Research Center (nSPARC)
Stephen Dunn
Regional Project Manager
Southeast Tennessee Development District
(423) 643-2320
Tri-State Regional Workforce Alliance
Dr. Domenico Parisi
Professor and Director
National Strategic Planning & Analysis Research Center (nSPARC)
(662) 325-9242


The introduction of Volkswagen is expected to have lasting economic impact on the Chattanooga area. The company's $1 billion investment is predicted to translate into $511 million annual personal income growth and $1.4 billion in total new tax revenue. The plant is also expected to generate $12 billion in income growth and an additional 9,500 jobs. The plant will be located in Chattanooga's Enterprise South Industrial Park. Production is expected to begin in early 2011, and the plant started accepting applications for production positions in October 2009. Local contractors have also benefitted from the new plant by landing construction contracts for various components of the plant.

Southern Tool Steel

In April 2010, Southern Tool Steel, a distributor of metals and plastics located in Chattanooga, announced plans to expand its operation through a $1.7 million investment. The expansion, which has been fueled by the opening of the Volkswagen plant, is expected to double production and create 25 jobs and as many as 45 jobs over the next three to five years.

Genera Energy
In January 2010, Genera Energy announced the opening of an ethanol demonstration plant in Vonore, Tennessee. The opening of this plant was made possible through a partnership between Genera Energy, the University of Tennessee, and DuPont Danisco Cellulosic Ethanol. The plant is an investment of more than $50 million and currently staffs 20 full-time employees.


In June 2009, the Gestamp Corporation announced plans to build a new facility in Chattanooga's Enterprise South Industrial Park. Gestamp will supply structural components for the production of Volkswagen's new mid-sized sedan. This facility is a $90 million investment expected to generate at least 230 jobs over the next three years.

Wacker Chemie AG

In February 2009, Wacker Chemie AG purchased land in Bradley County, Tennessee. The German company specializes in the manufacturing of hyper-pure polycrystalline silicon, an element used in solar-related products. The initial investment topped $1 billion, and it is predicted that the company will bring more than 500 new jobs to the area. The State of Tennessee offered Wacker Chemie AG an incentive package that included tax credits and help with job training. Construction has yet to start but is predicted to last between two and three years.


With an investment of more than $280 million, Alstom Power Turbomachines LLC is opening a new steam and gas turbine engineering and manufacturing facility in Chattanooga. The expansion is expected to add more than 350 jobs. Alstom already employs more than 600 workers in Chattanooga and more than 1,200 in Tennessee. The new facility will be the largest of its kind in the world. One of the plant's chief products is the Arabelle steam turbine, also the largest of its kind in operation. Chattanooga was chosen for this expansion due to its location, which provides access to 80 percent of existing or planned nuclear power plants in the Tennessee River area. Chattanooga's location on the Tennessee River was also seen as attractive in terms of the company's ability to ship some of its heavier products.

Watts Bar Nuclear Plant II

Construction on the Watts Bar II nuclear power plant was suspended in 1988, but it resumed in 2007 and is expected to be completed in 2013. It is owned and operated by the Tennessee Valley Authority and is located 50 miles northeast of Chattanooga. Its output is 1,200 MW, and it will serve 650,000 homes in the Tennessee Valley area.


Southeastern Mills

In April 2010, Southeastern Mills, a producer and supplier of food products in Rome, Georgia, announced plans to expand its operation through the purchase of a new facility. With a total investment of $14.9 million, the company will add 25 jobs by 2013 after adding almost 30 jobs over the last two years.

Temple Inland

In April 2010, Temple Inland, a paper and saw mill located in Floyd County, Georgia, announced an expansion that will create 13 jobs.


In April 2010, Belgium-based Bakaert announced an expansion that would add 11 jobs. Bakaert, located in Rome, Georgia, manufactures bead wire for tires.

IVC Group Inc.
In 2009, Belgian flooring manufacturer IVC Group Inc. announced the opening of a new facility in Dalton, Georgia, the company's first plant in the United States. IVC's initial investment of $70 million is expected to create 115 jobs in its first three years of operation in Whitfield County.

Bentley Dye Service Inc.
In September 2008, wool supplier Bentley Dye Service Inc. announced plans to build a polyester mill in Calhoun, Georgia. The expansion will take place in two stages. Each stage will create 75 jobs, with a total potential investment of $50 million.


Bellefonte Nuclear Facility

In May 2010, Tennessee Valley Authority issued its final environmental impact assessment recommending that TVA be allowed to complete the Unit 1 reactor at the Bellefonte Nuclear Facilityin Jackson County, Alabama. If approved, the plant expects to employ more than 400 permanent workers.

TVA Nuclear Training Center
Announced in April 2010, this center will train between 2,000 and 5,000 employees each year at a facility located in Hollywood, Alabama. The center will also staff approximately 50 current TVA employees to assist with training programs. The volume of employees participating in the training programs is expected to provide a boost to local businesses.

AP Plasman

In April 2010, AP Plasman, a Canadian-based automotive supplier, announced that it will open its first U.S. plant in Fort Payne, Alabama. Production is set to begin in 2011, and the plant will employ 200 people initially and 350 by 2014. The plant will produce plastic injection molding, painting, and assembly of automotive exterior parts. The total investment by the company is between $12 million and $16 million.

© Tri-State Regional Workforce Alliance | All Rights Reserved | Report prepared by National Strategic Planning & Analysis Research Center (nSPARC)