The U.S. construction industry is powering through an era unlike any we have seen before. Driven by the demand for local manufacturing and government support, the surge in construction for industrial projects is remarkable. Key federal initiatives, particularly the CHIPS and Science Act, have spurred massive investment in U.S. manufacturing infrastructure, creating a landscape where big-budget projects are the new norm.

With billions of dollars pouring into everything from battery plants to chip manufacturing facilities, projects like Johnson & Johnson’s $2 billion facility in Wilson, North Carolina, and Lyten’s $1 billion battery plant near Reno, Nevada, are just the tip of the iceberg. These facilities represent a shift in American manufacturing, a move toward self-sufficiency and cutting-edge technology, with new plants popping up across the country.

The Impact of the CHIPS Act on Construction

When the CHIPS Act was signed into law in August 2022, it promised $52.7 billion to support U.S.-based semiconductor research and manufacturing. For us in construction, this meant more work in building the intricate infrastructure required for these facilities. The Act provides $39 billion in direct manufacturing incentives and another $13.2 billion in workforce development and R&D, along with a 25% tax credit for capital expenses. This funding is making it possible for companies to bring manufacturing back to the U.S., and it’s driving unprecedented levels of construction.

The CHIPS Act has put a laser focus on semiconductor and battery production, essential not only for consumer products but for industries like automotive and defense. This increase in demand has led to a steady stream of projects breaking ground. Even with a slight cooling in growth from early 2023, the sector remains a powerhouse in the construction industry, keeping our schedules packed and challenging us to stay innovative to meet the needs of these specialized facilities.

Major Projects on the Construction Map

Some of the largest projects in the country are setting a new standard for scale and complexity. The facilities we’re working on today aren’t just warehouses or distribution centers. They’re high-tech plants designed for precision manufacturing, and they require skilled teams, advanced materials, and complex logistical planning. Here’s a look at some of the biggest projects making waves:

1. Johnson & Johnson Manufacturing Facility – Wilson, North Carolina

• Investment: $2 billion
• Scope: This biotech and pharmaceutical site will house cutting-edge technology, supporting Johnson & Johnson’s efforts to bolster domestic production.

1. Lyten Battery Gigafactory – Near Reno, Nevada

• Investment: $1 billion
• Scope: This plant will produce advanced lithium-sulfur batteries critical for EVs and renewable energy, and it’s becoming a blueprint for the future of battery production in the U.S.

1. Haas Automation Manufacturing Facility – Henderson, Nevada

• Investment: $400 million
• Contractor: Oltmans Construction
• Scope: Haas’s facility is focused on high-precision machining equipment, expanding Nevada’s role as a hub for advanced manufacturing.

1. Yakult Manufacturing Plant – Bartow County, Georgia

• Investment: $305 million
• Contractor: Gray Construction
• Scope: With a focus on probiotic beverages, Yakult’s facility exemplifies the diversity of new manufacturing projects in the U.S.

These projects are not just about building big—they’re about building smart. They demand intense collaboration, extensive planning, and expertise in specialized equipment and tech-driven workflows.

Manufacturing Construction Spending: A Booming Sector

In the last year, spending in manufacturing construction rose by 18.3%, reaching an annualized rate of about $238.26 billion by August 2024. Unlike other sectors affected by rising interest rates, manufacturing remains strong. The projects in this sector have become critical infrastructure, not only for their owners but for the country as a whole, creating jobs and contributing to local economies.

In states like Texas, Nevada, North Carolina, and Arizona, favorable business climates and strategic locations make them hot spots for new facilities. Each state is seeing a rapid transformation in the industrial construction landscape, with projects that are revitalizing local economies and pushing our teams to deliver innovative solutions.

Why Equipment Appraisals Are Essential for Large Projects

As construction professionals, we know that the machinery and equipment in these facilities are as important as the buildings themselves. With so much capital tied up in equipment, accurate equipment appraisals are essential. Appraisals give our clients, whether they’re developers or end-users, a clear understanding of the value of their investments. This is crucial for financing, insurance, and long-term planning.

Equipment appraisals are also about more than just assessing value. In these high-tech manufacturing facilities, where equipment can be a large portion of the budget, appraisals help our clients make strategic decisions about asset allocation, upgrades, and insurance coverage. They ensure that the equipment and machinery are accounted for in the facility’s total value and provide a financial cushion for any unexpected costs down the line.

Looking Ahead: A New Era of Manufacturing Construction

For those in construction, this is an exciting time. We’re building more than just structures; we’re helping to build the backbone of a new era in American industry. From semiconductor fabrication to biotech and clean energy, each project brings unique challenges and opportunities, and each one feels like a step toward a stronger industrial future.

The construction boom in manufacturing isn’t just a blip—it’s a transformation. The facilities we’re building today will power the industries of tomorrow, providing jobs, driving technological advancements, and solidifying America’s place in global markets. And with equipment appraisals playing a pivotal role in securing these investments, we’re not just building for today but laying the groundwork for long-term stability and growth.

So, as we continue breaking ground on these monumental projects, we know we’re part of something bigger. Each plant, each piece of machinery, and each contract tells a story of a renewed commitment to American manufacturing and the incredible impact we’re making on our economy and future. Keep watching—this boom is only the beginning.

Contact Us Today for a Free Consultation. 888-494-3433