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ARKANSAS SPOTLIGHT
Jobs from Japan
apanese executives don't have to follow American politics to understand this truth: job migration is here to stay, and it's flowing in many directions. There's no better example than Arkansas, where automotive manufacturers from the Far East are changing the landscape of a region's economy. Led by Hino Motors' May 5, 2004, announcement that it will build a US$88-million manufacturing plant in Marion, Japanese automakers are bringing high-wage jobs to a state that welcomes them following three challenging years. Asian imports are fueling a statewide job recovery, according to economist John Shelnutt of the University of Arkansas at Little Rock's Institute for Economic Advancement. Shelnutt predicts that non-farm employment growth in Arkansas will reach 0.9 percent for 2004 and exceed 1 percent in 2005 and 2006. This will mark the first time in four years that Arkansas will experience positive job growth, the economist says. He attributes much of the growth to foreign investment in auto and truck plants throughout the South. If that seems improbable, consider the words of Arkansas Gov. Mike Huckabee: "We're well on our way to establishing a corridor through east Arkansas for companies making auto parts and accessories. ... We're establishing the east Arkansas automotive manufacturing corridor due to the area's location. It's a location that allows raw materials to come in cheaply and finished products to be shipped out quickly," the governor wrote in his statewide column May 22. "East Arkansas is perfectly situated to capitalize on the fact that the South is becoming the automobile manufacturing center of the country." Huckabee pays more than lip service to this trend. He drives it by building relationships with Japanese industry leaders. Early this spring, the governor spent a week on a recruiting trip to the Land of the Rising Sun. Why? Since last summer, Arkansas has secured sizable investments from Denso Corp., Systex Products, Eakas Corp. and now Hino. The Hino project is especially significant, given that it received a big push from a company that bypassed Arkansas for Texas just last year: Hino's parent company Toyota. When Arkansas finished second in the sweepstakes that landed Toyota's Tundra truck plant in San Antonio, corporate site selectors took notice. They now flock to the Razorback State. |
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