Northeast Ohio Automotive Sector to Outpace US
From 2011 to 2024, Northeast Ohio’s automotive gross regional product (GRP) is predicted to grow 79% to become a $4.5B industry; employment is also expected to grow by 19% for the same time period, reports the October 2014 Cleveland Plus Economic Review released by Team NEO.
“Ohio has the second largest number of Tier 1 automotive suppliers in the US,” said Tom Waltermire, CEO of Team NEO. “Because of this supply chain strength and our manufacturing legacy, new companies such as Borgers USA have made commitments in Northeast Ohio. Further, Ford is reshoring production of two truck models to our Avon Lake plant from Mexico.”
Additional statistics from the report include:
- Northeast Ohio automotive employment to outpace the nation with 19% growth from 2011 to 2024; US employment is forecasted to decrease by 3%
- It is anticipated that automotive GRP will grow 79% from 2011 to 2024, compared with the US, which is expected to grow 60% for the same time period
- The supply chain for the automotive sector remains strong with motor vehicle parts estimated to increase more than 80% from 2011 to 2024 and motor vehicle manufacturing expected to grow 77%
In addition, all of the economic indicators tracked in the report are trending up year-over-year:
Employment is at 1.85 Million
- Employment is up 10,000 jobs from Q1 2013 to Q1 2014
Unemployment Rate Declines
- Northeast Ohio unemployment rate is 7.6% in Q1 2014, down from 8.3% for the same time period in 2013
- All Sectors
Experienced Year-Over-Year Growth
- The service sector gained nearly 8,700 jobs from Q1 2013 to Q1 2014, while construction added more than 1,400 workers and manufacturing grew more than 1,200 jobs for the same time period
Production Activity Growing
- As mid-stream infrastructure projects are brought online, the number of producing wells continues to increase. There are 572 wells currently in production in the state, up 110 wells, or 24%, from Q2 2014 to Q3 2014
Team NEO publishes the Cleveland Plus Economic Review quarterly to provide a holistic picture of Northeast Ohio’s economy. It is the only regular source of collective economic data for the 18-county region. The nonprofit organization uses the information to attract new businesses and jobs to the Cleveland Plus region.
Team NEO uses Moody’s Economy.com and US Bureau of Labor Statistics data and Ohio’s Labor Marketing Information to aggregate regional figures.