Growth at Bosch Rexroth catches industry attention Staff Report
gsanews@scbiznews.com
Bosch Rexroth Fountain Inn
hat began in 1989 as a 250,000-square-foot facility for Bosch Rexroth in Fountain Inn has turned into a 535,000-square-foot plant covering more than 100 acres at the Southchase Industrial Park. It is the company’s largest facility in North America. “The team at Bosch Rexroth Fountain Inn has worked together over the past four years to double the size of our facility, while simultaneously driving significant improvements in our key performance metrics,” said Paul Cooke, president and CEO of Bosch Rexroth Americas, in a news release. “While we still have a long way to go to meet all of our ambitions, this team has shown what is possible by working together as a committed team to delight our customers.” Mike McCormick, vice president and plant manager in Fountain Inn, said investments over the last four years “improved our assembly technology and the related lean logistics to support it.” “In 2008, we used simple benchtop assembly methods with only basic hand tools,” he said, in the release. “Today, our assembly lines use numerous advanced technologies to simultaneously reduce cost and improve quality.” Bosch Rexroth’s Fountain Inn facility manufactures hydraulic pumps and motors used in construction, agriculture, mining, material handling, and oil
Information provided by Bosch Rexroth outlines five areas that contributed to the recognition from Assembly Magazine. Associates as the most valuable resource: In 2015, the associates generated more than 1,200 ideas to improve the performance of the facility. Assembly line efficiencies: The Fountain Inn team increased assembly line efficiencies by developing an assembly Sequencing Program that guides the operator through the assembly process, resulting in an improvement in the ratio of attended work time versus products and an 85% reduction in customer complant, the company said. Reduced time to market: In 2014, a crossfunctional team from engineering, sales, logistics, production and manufacturing engineering completed a complete redesign of the production process. The team cut the process time by more than 80%, the company said. Environmental efficiency: The Fountain Inn team implemented initiatives like a wastewater recycling effort. A total of 75 tons of waste is now recycled onsite instead of being sent off-site for treatment and disposal. Zero Landfill status was achieved by harvesting waste for resale, reuse, or waste-energy conversion rather than sending it to the landfill. Community involvement: With a focus on STEM education, together with local education leaders, they have invested nearly $500,000 in primary, middle, high school, and the local technical college.
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Bosch Rexroth in Fountain Inn has grown over the last four years. The plant’s efforts garnered the attention of Assembly Magazine, which named it the 2016 Assembly Plant of the Year. (Photo/Provided)
and gas exploration. The plant recently caught the attention of other manufacturers and was named Assembly Magazine’s 2016 Assembly Plant of the Year. The award was initiated in 2004 to showcase world-class production facilities in America, and the people, products and processes that make them successful. According to Assembly, all manufacturers that assemble products in the U.S. are invited to nominate their plants. “This recognition is a milestone on our journey toward continuous excellence in serving our customers,” McCormick said. “We know that our success is intimately linked to our ability to provide our customers with the best products and services. This, in turn, re-
quires intense focus on execution and performance. This drives innovation, especially in the assembly of our products.” The plant was chosen for the award because of its “robust combination of lean manufacturing principles, technological advances, environmental initiatives, employee training programs and community involvement.” Over the past four years, “they made significant advancements in key areas such as assembly technology and the lean logistics that support it, while doubling the size of the facility,” according to the release. Bosch Rexroth Fountain Inn employs 650 associates. Worldwide, the company employs 31,000 at 100 locations.
Source: Bosch Rexroth Fountain Inn.
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Jan. 9 - 22, 2017
Manufacturing Sales
In the third quarter of 2016, U.S. manufacturers’ after-tax profits were $138.3 billion, an increase of $8.3 billion from the second quarter. A large percentage of that increase came from durable goods manufacturers who recorded $75.5 billion in profits in the quarter, up $7.6 billion over the previous quarter.
$ Manufacturing Sales
Durable Manufacturing Goods
Manufacturing corporations saw a $3 billion increase in sales in the third quarter over the previous quarter. However, according to U.S. Census Bureau data, Q3 2016 was the lowest third quarter for sales since 2010.
According to the data, third quarter durable manufacturing goods sales were over $800 million for the third straight year.
Year
Year
Q3 sales
Q3 sales
2010........................................ $1.45 trillion 2011........................................ $1.63 trillion 2012........................................ $1.64 trillion 2013........................................ $1.68 trillion 2014........................................ $1.74 trillion 2015.......................................... $1.6 trillion 2016........................................ $1.56 trillion
2010.......................................$692.6 billion 2011.......................................$739.6 billion 2012.......................................$769.1 billion 2013.......................................$795.8 billion 2014.......................................$847.2 billion 2015.......................................$843.1 billion 2016.......................................$828.3 billion
Nondurable Manufacturing Goods
Transportation Sales: Holding Steady
Sales of nondurable goods have been on a bit Of all durable manufacturing goods, transporof a decline since 2011. Companies reported tation equipment — more specifically motor vehicles and parts — has been steady in peak sales of $918 billion in the first quarter sales, operating profits and after-tax profits of 2012. Since then, sales of nondurable all year. Companies have seen lower sales, manufacturing goods has only surpassed but higher after-tax profits year-over-year. $900 million in three of 18 quarters.
Year
Q3 sales
2010.......................................$760.8 billion 2011.......................................$898.6 billion 2012.......................................$874.7 billion 2013.......................................$892.4 billion 2014.......................................$900.9 billion 2015.......................................$766.5 billion 2016.......................................$736.1 billion
Sales Q3 2016 $285.3 billion
Q2 2016 $297.1 billion
Operating profits
After-tax profits
Q3 2016 $19.7 billion Q3 2016 $21.1 billion
Source: U.S. Census Bureau
Q2 2016 $22 billion
Q2 2016 $19.9 billion
Jan. 9 - 22, 2017
www.gsabusiness.com 17
Congress authorizes Charleston Harbor deepening project by Liz Segrist lsegrist@scbiznews.com
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and process have stabilized. The port board originally approved the work in September 2010. Since then, more funding has been needed to accommodate changes, as well as to expand the project’s scope to include the S.C. Inland Port in Greer, where the system was implemented in May.
he December passage of the Water Infrastructure Improvement for the Nation Act gives the Charleston Harbor deepening project full congressional authorization. It also authorizes the Army Corps of Engineers Chief’s Report for the construction Fiscal year 2017 port results For fiscal 2017, nearly 690,000 TEUs — a phase, “ensuring the project can remain on schedule,” according to a news release common industry measurement representing a 20-foot equivalent of a shipping confrom the S.C. State Ports Authority. The project will deepen Charleston Harbor to 54 feet at the entrance channel and 52 feet in the harbor. The 52-foot depth means post-Panamax ships — larger ships that can traverse the newly expanded Panama Canal — will be able to call on the Port of Charleston any time of day without tidal restrictions. The harbor is already wide enough to handle two ships simultaneously. “The passage of WIIN marks one of the most significant milestones in the history of the Port of Charleston,” ports authority CEO Jim Newsome said in the news release. “With this important step by Congress, we now turn our attention to inclusion in the president’s FY2018 budget, relative to the construction phase of the harbor deepening project.” The post-Panamax ships have been calling on the Port of Charleston and more are expected. The infrastructure project will yield the deepest harbor on the East Coast, Newsome has said. “This depth advantage will add significant capability in the fastest growing port region in the U.S. — the Southeast,” Newsome said in the release.
Ports authority moves ahead on gate system
The S.C. State Ports Authority voted to allocate $4.43 million to install the Advanced Gate System at the North Charleston Terminal, and to finalize the system at the Wando Welch terminal in Mount Pleasant. The Advanced Gate System changes the way trucks carrying cargo are processed at port terminals. It involves new truck portals that take pictures of the trucks for faster inspections; a centralized processing area where port workers verify the cargo from images on their computers; and new gate kiosks where drivers enter a customized gate code. It is designed to speed the check-in process and turn times, or the amount of time drivers spend inside a terminal. The port plans to implement the new system at the North Charleston terminal by February. The system began at the Wando terminal in June, which was followed by intermittent traffic backups, software crashes and frustration from the truck drivers. Turn times have since improved as the software
tainer — came through the port, up 1.7% from the same time a year ago. The port handled around 170,000 TEUs in October. Around 96,000 pier containers, or boxes of any size, came through the port in October, up about 3% from the same period last fiscal year.
New cranes unveiled at Wando Welch Terminal
Heavy Metal and CraneBob Blue Pants are now standing 155 feet tall at a marine terminal in Mount Pleasant.
Chinese crane manufacturer ZPMC delivered the cranes to the port in August. Workers have since been readying them for use. ZPMC expects to have one crane operational by the end of this month, port spokeswoman Erin Dhand said in an email. Two additional cranes will be delivered from China in December 2017 for use at the Wando terminal, and four existing cranes will be raised by cutting the crane legs and adding 40-foot sections. Reach Liz Segrist at 843-849-3119.
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MANUFACTURING & SUPPLY CHAIN REPORT
January 9 - 22, 2017
Report: S.C. ranked high in manufacturing industry health
2016
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outh Carolina ranks high in manufacturing industry health and global reach, but low in human capital and worker benefit costs according to a report from The Center for Business and Economic Research at Ball State University. The report graded the state on nine different categories related to the manufacturing industry and the state scored high marks for the production of consumer durable and non-durable goods as well as the level of international trade – both imports and exports – in the state. In terms of measuring manufacturing health, the survey looked at the last 10 years of production. The health was dependent on transportation infrastructure, non-wage labor costs, access to innovative technologies and the cost of doing business. South Carolina has achieved an “A” grade since 2013. In the region, South Carolina achieved the highest rank of any other state. Nationwide, only Kentucky, Indiana, Michigan and Iowa earned an “A” grade in industry health. Georgia and Florida earned the lowest grades in the region with a “D” while North Carolina
earned a “C” and Tennessee, Alabama “To measure the health of the loand Mississippi earned a “B” grade. gistics industry, we include the share In global reach, South Carolina had of total logistics industry income as a the highest marks in the region – along share of total state income, and the emwith Tennessee and Kentucky - with ployment per capita,” the report said. an “A.” Florida and Mississippi had the South Carolina was on par with lowest marks in the region with other states in the South in huboth states earning a “D” man capital as the Palwhile Alabama, Geormetto State was joined gia and North Carowith Georgia, Tenlina each earned nessee and Kena “B.” The retucky with a “D” port looked grade. Only at per capita North Caroexported lina and Flormanufacturida earned a ing goods and higher grade the growth of with each manufa c tu rstate getting ing exports as a “C” grade. part of the criMississippi and AR teria. Alabama each TU OL C A According to the I NA picked up an “F” F U MAN report, South Caroligrade. na ranked equal to other “No factor matters states in the South in the catmore to businesses than the egory of logistics industry health. The quality and availability of labor,” the restate, along with Florida, North Caro- port said. “Workers represent the largest lina, Tennessee, Mississippi and Ala- single cost of doing business, but, more bama, earned a “C” grade while Georgia importantly, they are the source of most and Kentucky had a “B” grade. Pennsyl- innovation and process improvements vania, Ohio, Indiana, Illinois and Texas that distinguish successful firms from were the only states to receive an “A.” those that are not successful.”
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by Matthew Clark mclark@scbiznews.com
The report looked at “educational attainment, first-year retention rates of adults in community and technical colleges, the number of associate’s degrees awarded annually on a per capita basis and the share of adults enrolled in basic adult education.” The state ranked the lowest in the region in the category of worker benefit costs. According to the report, South Carolina and Kentucky each earned a “D” grade while Georgia and North Carolina each earned a “B” grade and Florida, Tennessee, Alabama and Mississippi had a “C” grade. “Non-wage labor costs represent an increasingly important part of total business costs,” the report said. “These are affected by local and state public policy (laws), as well as worker demographics and health, and industry and firm performance.” South Carolina held its “B” grade in sector diversification – a grade unchanged since 2012 – but did raise its productivity and innovation grade from a “C-“ in 2015 to a “C” in 2016. The state’s tax climate received a “C-“ and the expected liability gap earned a “B” grade. Reach Matthew Clark at 864-235-5677, ext. 107 or @matthewclark76 on Twitter.
January 9 - 22, 2017
MANUFACTURING & SUPPLY CHAIN REPORT
www.gsabusiness.com 19
Amazon relocating N. Charleston jobs to Columbia by Liz Segrist lsegrist@scbiznews.com
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mazon plans to close one of its North Charleston facilities and lay off 149 people by Feb. 15, according to a regulatory filing with the state. Amazon’s Make On Demand center, which prints and publishes books, is located at 7290 Investment Drive in North Charleston. Those operations will be relocated to a new facility in Columbia in March 2017, Amazon spokeswoman Lauren Lynch said. A location for the Columbia facility has not been announced. Lynch said the lease had expired on the North Charleston building, and the company also wanted to relocate the facility closer to the 1.25-million-squarefoot Amazon fulfillment center in West Columbia to “better leverage infrastructure and improve efficiencies.” Amazon’s CreateSpace office location in North Charleston will continue operations, Lynch said. CreateSpace, which was purchased by Amazon in 2005, is run out of the former North Charleston City Hall building. Amazon filed the layoff and facility closure notification for the Make On Demand center with the S.C. Depart-
ment of Employment and Workforce. “Affected employees are being given the option to change locations to another company facility,” the company said in a letter to the state and North Charleston Mayor Keith Summey. Employees who do not accept another position at one of 70 Amazon facilities will be laid off by Feb. 15. Lynch said those employees will receive severance and are eligible for job placement or tuition assistance services. “This decision was not made lightly. ... We are honored with the opportunity we’ve been given to work there for 10 years,” Lynch said. “We care deeply about North Charleston and the people that work there.” Amazon opened the West Columbia facility, located in Saxe Gotha Industrial Park near the interchange of Interstates 26 and 77, in 2012. The Seattle-based online retailer employs about 4,000 workers at the Lexington County facility. In October, Amazon announced that it was hiring about 4,000 seasonal workers for its operations in West Columbia, Spartanburg and North Charleston. Reach Liz Segrist at 843-849-3119.
Employees work at Amazon’s 1.25-million-square-foot fulfillment center in West Columbia. (Photo/Provided)
This decision was not made lightly. ... We are honored with the opportunity we’ve been given to work there for 10 years. We care deeply about North Charleston and the people that work there. LAUREN LYNCH, SPOKESWOMAN, AMAZON
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MANUFACTURING & SUPPLY CHAIN REPORT
January 9 - 22, 2017
INDUSTRIAL UNDER CONSTRUCTION Here is a look at industrial properties currently under construction in South Carolina. The list was compiled from Under Construction entries received by GSA Business Report, Columbia Regional Business Report and Charleston Regional Business Journal.
Caliber North Green Road north of Highway 101 in Greer Developer: Liberty Property Trust Architect: MCA Architecture, Greenville General contractor: Harper Corp., Greenville Engineer: Bluewater Civil Design, Greenville Estimated completion date: April 2017 Estimated total cost: N/A Description: This is a 171,600-square-foot, state-ofthe-art warehouse that can accommodate distribution, light assembly and manufacturing. It will feature 36-foot clear heights and 7” concrete slab floor, and is the market’s first speculative warehouse. Delivery is expected in April 2017. It is close to both the BMW Manufacturing facility and the Inland Port Greer.
Sterling Contract Packaging 1875 Moore Duncan Highway, Moore Developer: Pacolet Milliken, Greenville Architect: Architectural Design Center, Greenville General contractor: Sherman Construction, Piedmont Engineer: Bailey and Son Engineering, Greenville Estimated completion date: October 2016 Estimated total cost: $12.5 million Description: Sterling Contract Packaging has completed an expansion of its manufacturing operations. Located in Moore, in the Tyger River Industrial area, the new 145,000-square-foot facility on 29 acres will allow Sterling to meet the needs of their expanding customer base. Specializing in contract retail packaging management, package engineering and logistical planning, Sterling celebrated its 20th anniversary in October. This new facility will allow Sterling to consolidate three previous facilities under one roof and allow for future expansion.
Atlas Commerce Center – Phase II 8351 Palmetto Commerce Parkway, North Charleston Developer: Atlas Capital Group Inc., New York Architect: James C. Hawthorn Associates, Kettering, Ohio General contractor: Miller-Valentine Commercial Construction, Charleston Engineer: HLA Inc., Charleston (civil and landscape) Estimated completion date: Fourth quarter The project is part of a multiphase, 12-acre industrial park and is a companion building to the recently completed Phase I building. Phase II is a 67,500-square-foot industrial building capable of serving up to nine tenants, subdivisible into 7,500to 67,500-square-foot tenant spaces. It consists of load-bearing, tilt-up construction with no perimeter columns and a clear height of 30 to 33 feet.
Ritrama Inc. 1896 Moore Duncan Highway, Moore Developer: Ritrama Inc. Architect: WHN Architects, Charlotte General contractor: Choate Construction Co., Charlotte, N.C. Engineering: Newmark Grubbs Knight Frank, Charlotte and Atlanta; WGPM Structural Engineers, Charlotte Estimated completion date: November 2017 Estimated total cost: $85 million Description: The project is planned for a 350,000-square-foot manufacturing operations with an additional 18,000-square-foot office building adjacent to the site. Exterior is composed of concrete walls supporting a metal truss roofing system. Interior walls include both concrete and metal stud wrapped with drywall. Doors include metal, glass and wood depending on design and function. Solar panels have been added in the parking lot and on the roofing system to support LEED Project activities.
Gestamp (New) 1 LSP Road, Union Owner: Gestamp, Union Architect: MCA Architecture, Greenville General contractor: THS Constructors Inc., Greenville Engineer: Civil – Alliance Engineering, Greenville; Structural – Arrowood and Arrowood, Greenville; Mechanical – Leblanc Welch, Greenville; Electrical – Walker & Whiteside, Greenville Estimated completion date: November 2018 Estimated total cost: $12 million Description: 143,000-square-foot building expansion for Gestamp, an existing industrial manufacturing facility that includes 27,000-square-feet of high bay space for stamping operation, 96,000-square-feet of low bay warehouse space, and 20,000-square-feet of covered area for shipping and receiving. Buildings are conventional steel structures with metal wall panels.
JR Automation Pickens County Commerce Park, Pickens Developer: Agracel Industrial Developers, Drayton Architect: McMillan Pazdan Smith, Greenville General contractor: THS Constructors Inc., Greenville Engineer: Civil – Davis & Floyd, Greenwood; Structural – Arrowood and Arrowood, Greenville; Mechanical – Thomas Mechanical, Laurens; Electrical – Eldeco, Greenville. Estimated completion date: April 2017 Estimated total cost: $5 million Description: New 50,000-square-foot industrial manufacturing facility for JR Automation, a custom automated equipment for the automotive and aerospace markets. The new building is in Pickens County Commerce Park and constructed of conventional structural steel frame with precast concrete wall panels. Era Contract building Pickens County Commerce Park, Pickens Developer: Recas USA LP, Greer Architect: McMillan Pazdan Smith, Spartanburg General contractor: THS Constructors Inc., Greenville Engineer: Civil – Davis & Floyd, Greenwood; Structural – Arrowood and Arrowood, Greenville; Mechanical – Thomas Mechanical, Laurens; Electrical – Eldeco,
January 9 - 22, 2017 Greenville Estimated completion date: April 2017 Estimated total cost: $4 million Description: New 37,000-square-foot building for Era Contact that includes 28,300-square-feet of production/assembly/warehouse space and 8,700-squarefeet of administrative and service space. The building is constructed of conventional steel frame with precast concrete wall panels.
Kloeckner Metals Corp. 1 White Horse Road Ext., Greenville Owner: Kloeckner Metals Corp., Bensalem, Penn. Architect: Architectural Design Center, Easley General contractor: THS Constructors Inc., Greenville Engineer: Civil – Seamon Whiteside, Greenville; Structural – Arrowood and Arrowood, Greenville; Mechanical – Jennings-Dill, Greenville; Electrical – Walker & Whiteside, Greenville Estimated completion date: July 2017 Estimated total cost: $5 million Description: New 47,900-square-foot building expansion for Koeckner Metals Corp. to the existing 146,000-square-foot manufacturing facility. Expanded building encompasses the existing rail spur for shipping and receiving goods and materials. The expanded building is a pre-engineered steel structure that is supported on caisson foundations. The project also features a 40-ton crane, high speed rolling doors, and an internal truck loading dock.
Mingua USA Velocity Park, 1000 Robinson Road, Greer Developer: Velocity Park; Cullum Interests Architect: McMillan Pazdan Smith, Spartanburg General contractor: Gray Construction, Charlotte, N.C. and Lexington, Ky. Engineer: Civil – Alliance Consulting Engineers, Greenville; Structural – CMC Cary Engineering; Electrical – H2L Engineers; Mechanical – LWI Consulting Engineers Estimated completion date: April 2017 Estimated total cost: $45 million Description: A 210,000-square-foot manufacturing facility for Minghua USA LLC. Minghua is the first Chinese supplier that has come to South Carolina to serve BMW. Minghua will manufacture plastic vehicle parts for the exteriors and interiors of BMW’s.
Augusta Grove #17 speculative building Matrix Parkway and Old Grove Road, Piedmont Developer: Long Wharf Real Estate, Boston, Mass. Architect: N/A General contractor: The Harper Corp., Greenville Engineer: Wakefield Beasley & Associates, Atlanta, Ga. and Bluewater Civil Design, Greenville Estimated completion date: Q3 2017 Estimated total cost: N/A Description: This Class A industrial speculative project is underway in Augusta Grove Business Park, the largest industrial business park of its kind in Greenville County. At 331,850-squarefeet, the Class A, concrete, tilt-wall industrial project known as Augusta Grove #17 will have a 32-foot minimum clear height and create a commanding presence in the park. Located on a 46.1-acre site at the intersection of Matrix Parkway and Old Grove Road, the rear-load facility can accommodate a multi-tenant configuration, but is best suited for a dominant lead single tenant. Auto parking is ample with room for expansion in the design; likewise for trailer storage. An ESFR
MANUFACTURING & SUPPLY CHAIN REPORT sprinkler system and LED lighting program are just a few examples of the quality features in this property.
Next Manufacturing 400 Birnie Street, Greenville Developer: Industrial Project Innovation, Greenville Architect: McMillan Pazdan Smith, Greenville General contractor: Braasch Building Group, Greenville Engineer: H2L and LeBlanc Welch, Greenville Estimated completion date: Phase I – January 2016; Phase II – July 2017 Estimated total cost: $1.5 million Description: Next Manufacturing is a collaborative low-cost manufacturing space that focuses on supporting its companies as they grow, while allowing them to share ideas and overhead. Both the space inside the building, and the lease terms that go with it, are designed to be flexible and to allow the tenant to expand quickly as needed while minimizing their risk and overhead commitments. Being a part of the Next community gives each company access to a group of similarly minded businesses and business support services, while helping them market their business and giving them the best opportunity to grow.
Meyer Tool 7640 Pelham Road, Greenville Developer: Meyer Tool, Greenville Architect: Roebuck Buildings, Roebuck General contractor: Roebuck Buildings, Roebuck Engineer: N/A Estimated completion date: March 2017 Estimated total cost: $4.16 million Description: New 42,677-square-foot office and production area expansion to existing facility including site work and improvements, which includes 10,000-square-feet of Class A office space and 32,000-square-feet of conditioned production area for machine parts.
Baxter Enterprises High-Tech Mold and Engineering Oconee County Developer: Baxter Enterprises Architect: McMillan Pazdan Smith General contractor: Hogan Construction Engineer: Electrical/FP – Carolina Engineering Solutions; M/P Peritus Engineers; Civil – Thomas & Hutton; Structural – Arrowood and Arrowood Estimated completion date: December 2016 Estimated total cost: $5.7 million Description: The building is a steel frame with insulated metal wall panels. At 80,000-square-feet, the first phase includes a 7,900-square-foot office and the HiTech shop area which is 17,500-square-feet of mold repair, CNC machines, laser welding and testing equipment. The total volume of the manufacturing facility is expandable up to 200,000-squarefeet, and the office areas are expandable up to 16,000-square-feet. Gestamp (Upfit) 1 LSP Road, Union Developer: Agracel Industrial Developers, Drayton Architect: Carlisle Associates, Columbia General contractor: THS Constructors Inc., Greenville Engineer: Civil/Structural – Carlisle Associates, Columbia; Mechanical – Leblanc Welch, Greenville; Electrical – Walker & Whiteside, Greenville Estimated completion date: May 2017 Estimated total cost: $9 million Description: Upfit of the existing 60,000-squarefoot building for Gestamp and design-build construction of the 120,000-square-foot expansion to a total of 180,000-square-foot for industrial manufacturing. The building expansion is a conventional steel structure with a combination of precast concrete wall panels and masonry.
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January 9 - 22, 2017
AAPA picks new chairman Staff Report
gsanews@scbiznews.com
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HIGHWAY 101 BUSINESS PARK, DUNCAN, SC PRIME INDUSTRIAL LAND – BUILD TO SUIT
±3.08 Acre Development Site, Excellent Topography, Great Location, Build-to Suit Option (25,000 SF expandable to 45,000 SF), Lease rate includes 10% office space Lyons Industrial Properties is pleased to offer ±3.08 acres of prime industrial land tract located at Highway 101 Park in Duncan, SC. This site features an excellent location right off Berry Shoals Road which connects HWY 101 and Hwy 290, the main industrial corridors in Spartanburg County. The site is only 2.8 miles from I-85. The neighboring buildings are occupied by BMW, FedEx Freight, AFL, Averitt Express, Hilldrup Moving & Storage, Brenntag Southeast and Universal Packaging. This is an excellent tract for industrial development!
Spartanburg, SC 29302 888.420.0011 Toll Free 864.583.0094 Office
Contact: Bobby Lyons, CCIM or Adam Padgett blyons@lyonsgroupllc.com apadgett@lyonsgroupllc.com www.lyonsindustrial.com
LYONS INDUSTRIAL PROPERTIES S A L E S • L E A S I N G • D E V E LO P M E N T
he American Association of Port Authorities picked Mark McAndrews as its chairman of the board for the 2016-17 year. McAndrews is the port director at the Port of Pascagoula in Mississippi and succeeded Jim Quinn, CEO of Port St. John in New Brunswick, Canada, according to a news release from the association. “AAPA’s new chairman, Mark McAndrews, will provide strong leadership as AAPA continues to educate stakeholders, provide services, and advocate policies that strengthen the ability of member seaports to serve their global customers and create economic and social value for their communities,” said Kurt Nagle, AAPA president and CEO, in the release. “Mr. McAndrews was elected chairman of the board in an April 2016 vote of AAPA’s board of directors, representing port officials throughout the Americas. He has the knowledge, leadership skills, enthusiasm and respect to advance our industry’s priorities and partnerships on common issues.” Other members of the U.S. delega-
tion include: Chairman-elect Steven Cernak, of Port Everglades, and ViceChairman William D. Friedman of the Cleveland-Cuyahoga County Port Authority. The Canadian delegation of officers includes: Chairman – Gaétan Boivin, TroisRivières Port Authority; Chairman-elect – Denis Caron, Belledune Port Authority; Vice Chairman – Carl Laberge, Saguenay Port Authority, and Past-Chairman – Jim Quinn, Port Saint John. The delegation elected to represent the Caribbean includes: Chairman Glenn Roach of Barbados Port Inc. The chairman-elect is Grantley Stephenson of Kingston Wharves Limited and the vice chairman Clement Reid of the Port Authority of the Cayman Islands. The Latin American delegation consists of: Chairman – Gerardo Varelalero, Autoridad Marítima de Panamá; Chairman-elect – Raúl Urzúa, Empresa Portuaria Valparaíso, and Vice Chairman - Alberto Diaz, Administración Nacional de Puertos de Uruguay. During its annual convention, the AAPA recognized Gary LaGrange, president and CEO of the Port of New Orleans, with its Distinguished Service Award. LaGrange served as AAPA chairman in 2004-05.
State agency gets grant for logistics industry Staff Report
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he South Carolina Council on Competitiveness received a $175,000 federal grant from the U.S. Department of Commerce’s Economic Development Administration. The funding will partially fund the council’s work to develop the state’s logistics industry. “South Carolina has established itself as a key player in the logistics industry on the global stage,” said Ann Marie Stieritz, president and CEO of the South Carolina Council on Competitiveness, in a news release. “Our geographic location at the center of the southeastern United States, in addition to our transportation infrastructure - highways, railways, inland ports, the Port of Charleston, and proximity to international airports - gives us a natural competitive advantage.” The council received a similar grant in 2013 to further its aerospace initiative, now called SC Aerospace. Stieritz said there are similar principles between logistics and aerospace. She said “when stakeholders come together to make a
high-impact industry more competitive on the global stage, the result is economic growth that benefits South Carolina’s businesses and citizens.” According to the S.C. Department of Transportation’s Multimodal Plan, more than 375 million tons of freight, valued at nearly $600 billion, moved across South Carolina’s freight network in 2011. That tonnage is expected to grow by 81% from 2011 to 2040. “Our first step will be to understand what companies and assets we have in South Carolina’s logistics industry,” said Suzanne Dickerson, who was recently hired by the council to lead its logistics efforts. “Once we have that information, we can analyze their current impact on the state’s economy and identify opportunities for growth.” Dickerson said the council’s initiative will also convene an Executive Form for the industry’s private sector leaders to establish goals and objectives for a strategic plan. The council will also work to support innovation by working with higher education institutions to develop an inventory of academic resources to solve industry problems.
January 9 - 22, 2017
MANUFACTURING & SUPPLY CHAIN REPORT
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Fluor’s Seaton elected to NAM board of directors Staff Report
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he National Association of Manufacturers (NAM) announced that David Farr, chairman and CEO of Emerson; and David Seaton, chairman and CEO of Fluor Corp., have been elected chairman and vice chairman, respectively, of NAM’s Board of Directors. They took office for a two-year term on Jan. 1, according to a news release. Farr previously served as the NAM board vice chairman for international economic policy. During his tenure, Farr helped with the passage of Trade Promotion Authority, Miscellaneous Tariff Bill legislation and reauthorization of the U.S. Export-Import Bank. “The business community should be ready to approach the policy hurdles we are facing in innovative, effective and principled ways,” Farr said, in the release. “I look forward to working with all NAM members in helping to drive this effort. Manufacturers are ready to work with the new administration and Congress to advance priorities that will make manufacturers in the U.S. more competitive and strengthen
our economy.” Seaton has been involved with the NAM Board of Directors, working on advocacy issues in Washington, D.C. Fluor is based in Irving, Texas and has offices in Greenville. “I’m privileged to help lead the NAM and our manufacturing economy to new heights and to be an advocate, in and outside of Washington, for positive action from our next Congress and our new president to make America an even more attractive place to manufacture, invest and thrive,” Seaton said, in the release. Jay Timmons, NAM president and CEO, said both Farr and Seaton are leaders that “represent the breadth, depth and scope of our industry.” “They embrace change and challenges and understand what it takes to keep the United States competitive and improve our quality of life,” Timmons said. “I am confident this new board leadership will bring the talent and the tenacity to take the NAM to the next level.” Timmons expressed his gratitude for the tireless efforts and strong leadership of outgoing NAM Board Chairman Gregg Sherrill, chairman and CEO of Tenneco Inc., and NAM Board Vice
Chairman John Lundgren, chairman of the board of Stanley Black & Decker Inc. “We have become stronger with Gregg and John at the helm, and manufacturers appreciate their selfless and effective dedication to our agenda for manufacturing success,” Timmons said.
Ellis
Stieritz
SCMEP adds two new board members A supply chain executive and the leader of a business-led nonprofit group were recently named to the S.C. Manufacturing Extension Partnership Board of Directors. According to a news release, Tyrone Ellis of Club Car Ingersoll Rand and Ann Marie Stieritz of the S.C. Council
on Competitiveness, were appointed to the board. Ellis is the vice president of global quality, operations and the integrated supply chain for Club Car Ingersoll Rand. He is responsible for integrated supply chain strategy for Club Car. He started with Ingersoll Rand in 2012 and helped develop the company’s global quality improvement strategy. Ellis received the Ingersoll Rand CEO’s 2015 Global Leader of the Year award for his work on quality improvement. He earned a bachelor’s degree from Clemson University and an executive MBA from Tulane. Stieritz is the president and CEO of the S.C. Council on Competitiveness in Columbia. The council is a business-led non-profit organization that oversees long-term economic competitiveness. She has more than 18 years of economic and workforce development experience. Prior to her current post, Stieritz was deputy executive director of the University of South Carolina’s Office of Economic Engagement and was also the vice president for economic and workforce competitiveness for the S.C. Technical College System. Stieritz was also a founding director of Apprenticeship Carolina.
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MANUFACTURING & SUPPLY CHAIN REPORT
January 9 - 22, 2017
Lucas, McCrary win 2016 Milliken Defender of Manufacturing Award Staff Report
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he Speaker of the South Carolina House of Representatives and the CEO of a synthetic fiber firm are the recipients of the 2016 Roger Milliken Defender of Manufacturing Award. Jay Lucas, R-Hartsville, and William “Bill” McCrary Jr. were presented the award during a ceremony in December in Spartanburg. McCrary is the president and CEO of William Barnet & Sons LLC, a company specializing in synthetic fiber/yarns/polymers. The company has plants and offices in Europe, Asia and the Americas and its headquarters in Spartanburg. He has served as the company’s CEO since 2001 and been with the company in various capacities since 1970. He is the chairman of the American Fiber Manufacturers Association for 2017 and will serve as the chairman of the National Council of Textile Organizations and the South Carolina Manufacturers Alliance. McCrary is a member of the Palmetto Business Forum and has focused on community projects such as the McCrary Blood and
Marrow Transplant Unit at the Greenville Hospital System and the Cancer Survivors Park. McCrary was born in Anderson and graduated from the Baylor School in Tennessee and Duke University. Lucas represents District 65 in the S.C. House of Representatives. The area includes Darlington, Kershaw, Lancaster and Chesterfield counties. He was elected Speaker Pro Tempore in 2010 and Speaker of the House in 2014. He previously served as the Darlington County attorney and a city judge for the city of Hartsville. He is a partner with the law firm of Lucas, Warr and White. In 2016, Lucas was honored with the Wilkins Award for Excellence in Legislative Leadership from the Riley Institute and the Jimmy Newsom Signature Award for public education work in Darlington County. The Defender of Manufacturing Award was established in 2006 to recognize individuals in the public and private sectors who work to advance the state’s manufacturing industry. It is considered to be the most prestigious award presented by the South Carolina Manufacturers Alliance.
While 2016 intermodal volumes drop, optimism still high for 2017 Staff Report
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ccording to a report from the Intermodal Association of North America, drops in trailer volume and international shipments led to an overall decline in intermodal volumes. Over the third quarter of 2016, the report said intermodal trailer volumes fell 26.9% year-over-year while international shipments dropped 6.7%. Despite those losses, domestic containers grew 3.3%, but the overall volume loss was reported at 4.6%, according to the Intermodal Market Trends and Statistics report. Joni Casey, president and CEO of the Intermodal Association of North America, said the quarterly figures were aligned with previous quarters, “reflecting sluggish market conditions.” Total intermodal volume had its biggest drop in the South-Southeast corridor where volumes dropped 11.2%. The Midwest-Southwest corridor saw its volume fall 5.3% while the Northeast-Mid-
west corridor and Trans-Canada lanes had modest drops of 0.8% each, according to the report. The Midwest-Northeast corridor experienced the only increase during the time period, a 3% gain due to an increase in total containers. Regionally, the report said international shipments increased intermodal volumes by 0.1% in the Northeast and 4.4% in the Northwest. In all other regions, international shipments contributed to declines in volume. In the Southeast, Southwest and Midwest, the volume declines were close to the 4.6% average while western Canada fell off by 0.2% and eastern Canada dropped 2.9%. The Mountain Central and Mexico regions had the largest drop off in international containers at 11.5%. Domestically, higher trucking capacity led to a 14.6% year-over-year increase in highway volumes. “Projections for 2017 are more optimistic, based on continued increases in consumer spending and expectations that the international side of the equation will stabilize,” Casey said, in a news release announcing the findings.