Texas Secures Leading Position in National Business Climate Rankings

08 Nov, 2023

Texas Secures Leading Position in National Business Climate Rankings

Texas has clinched the coveted No. 1 spot in Site Selection Magazine's annual rankings for the nation's top business climates. These rankings are meticulously determined through a combination of factors, including feedback from corporate site selectors, data from the Conway Projects Database, and independent assessments of states' appeal to capital investors. Additional considerations encompass ease of permitting, the availability of skilled workforces, land resources, utility access, and overall quality of life.

While Texas has consistently held a place within the top five, this year's ranking marks the state's first return to the premier position since 2011. Texas not only claimed the top business climate ranking but earlier in the year also secured Site Selection's prestigious Governor's Cup. This award solidifies Texas's remarkable 11-year streak as the nation's top state for job-creating business relocations and expansions. In an interview with Site Selection, Governor Abbott highlighted the significance of two recent legislative acts in propelling Texas's economic development and contributing to this newfound ranking: the Texas CHIPS Act, designed to accelerate semiconductor manufacturing within the state, and the Jobs, Energy, Technology, and Innovation Act, offering property tax value limitations to attract substantial economic development projects.

Governor Abbott emphasized that Texas continues to attract top businesses due to a unique set of competitive advantages, including enticing tax incentives and programs, access to global markets, robust infrastructure, and a regulatory environment known for its predictability.

Moreover, Abbott underscored the substantial contribution of Texas's skilled, diverse, and ever-expanding workforce to its award-winning business climate. According to the Governor's office, Texas's labor force has grown to an all-time high, boasting more than 15 million workers.

In the month of September, Texas added a remarkable 61,400 jobs, as reported by The Texas Workforce Commission and the Bureau of Labor Statistics. Over the year, from September 2022 to September 2023, Texas achieved an impressive job growth rate of 3.2%, outpacing all other states and adding a total of 435,800 jobs. This reaffirms Texas's position as an economic powerhouse with a thriving business environment.