How much manufacturers in North Carolina spend on equipment

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Manufacturing plays a crucial role in producing almost every product we use daily, from clothing to cars. In North Carolina, manufacturers spent a significant portion of their capital budgets on acquiring new equipment and machinery in 2021.

According to Census Bureau data, North Carolina manufacturers invested $5.2 billion in equipment, making up 78% of their total capital expenditures. This focus on equipment highlights its importance in keeping production efficient and up-to-date with the latest technology.

The state ranked #28 nationally for the share of capital spending directed toward equipment. Within this category, $139.5 million was allocated to computers and data processing equipment, while $192.7 million went toward vehicles like trucks and cars. The remaining funds were used for various machinery tailored to specific manufacturing needs, such as tractors, forklifts, robots, and power tools.

The type of manufacturing prevalent in a state significantly impacts equipment spending. In North Carolina, industries like aerospace, food production, and computer/electronics manufacturing are dominant. These sectors require frequent equipment upgrades, driven by factors such as automation, artificial intelligence, and stringent safety and environmental regulations.

Overall, investing in the latest machinery enables manufacturers to maintain efficient production processes and comply with evolving standards, ensuring they remain competitive in a rapidly changing industry.