HYUNDAI MOTOR MANUFACTURING ALABAMA AND SUPPLIERS GENERATE TOTAL IMPACT OF $3.8 BILLION TO ALABAMA’S ECONOMY AND MORE THAN 34,000 FULL-TIME EQUIVALENT JOBS STATEWIDE IN 2010
MONTGOMERY, Ala., October 19 ¾ Hyundai Motor Manufacturing Alabama (“HMMA”) today announced the findings of an economic impact study quantifying the automaker’s impact on the economy of the State of Alabama in 2010. Conducted by M. Keivan Deravi, Ph.D., special assistant to the Chancellor and professor of economics atAuburnUniversityatMontgomery, the study finds that HMMA and its suppliers generated a total impact of $3.8 billion toAlabama’s economy in 2010, accounting for 2 percent of the state’s Real Gross Domestic Product. Additionally, HMMA and its suppliers were responsible for more than 34,000 full-time equivalent jobs statewide in 2010, according to the study.
“Hyundai has dramatically improved the manufacturing sector of centralAlabama’s economy,” said Dr. Deravi, who has completed similar studies for all of the mega industrial projects recently located inAlabama, including two other automakers and Northrop Grumman. “While the greater United States experienced a contraction of manufacturing jobs, HMMA contributed to a 21 percent growth rate in manufacturing employment in the Montgomery Metro Area between 2002, when Hyundai began construction of their plant, and 2006 after its first full year of hiring.”
Specific to public fiscal impact, the study estimates that HMMA and its suppliers yielded $61.3 million in total tax revenue toAlabamain 2010. HMMA’s local tax impact was approximately $8.3 million, while HMMA and its suppliers generated an estimated $53 million of tax revenue for the state.
“When we recruited Hyundai, we knew their presence would be a game-changer for centralAlabamaand the River Region, but little did we realize how significant it would be,” said Montgomery Mayor Todd Strange. “Hyundai’s impact and that of their suppliers has far surpassed our expectations and we greatly appreciate the confidence they placed in us.”
“Hyundai’s culture and work ethic are an inspiration to us and we are honored to be the home of this world-class company, making world-class vehicles with a world-class workforce,” added Strange.
“Hyundai Motor Manufacturing Alabama could not be more pleased with our contributions to Alabama’s economy and employment,” said Y.D. Lim, president and chief executive officer of HMMA. “We are proud of our track record as an important and rapidly growingAlabamaemployer, and as a manufacturer of high value, high quality and high efficiency vehicles for American consumers.”
To review an Executive Summary of the 2010 Hyundai Motor Manufacturing Alabama Economic Impact Study click here.