First State Economic Development News + Notes - Issue 177
It’s been a busy few weeks—I onboarded two new teammates at the Institute for Public Administration, we soft-launched the Corporate Collaborative @ UD with partners at the Weinberg Center for Corporate Governance (see below for our colors), my son hurt his knee (but it could have been much worse), and I presented on ports. Last but not least, I met another subscriber in person, which is always a treat. Thanks for introducing yourself, Sarah!
Here it is, the economic development news of the last few weeks:
In Delaware, WuXi is hiring in Middletown, Port Wilmington inked a deal with a paper producer, Bayhealth is expanding in Dover, Aternium was awarded $1 million to advance clean hydrogen production, and finalists for the EDGE 2.0 grant will compete in late October on UD’s STAR campus.
Elsewhere, data reveals limited labor market disruption from AI, cuts at the U.S. Economic Development Administration will end the University Centers program and, data centers increasingly count on their own power sources, with gas turbine makers reaping the rewards.
Delaware Econ Dev News
WuXi starts to hire for top jobs at Middletown plant | DE Business Times [Insider]
“WuXi AppTec is now looking for workers at its $515 million pharmaceutical campus in Middletown, showing that it is on track for its 2026 opening date. The Shanghai-headquartered pharmaceutical company has recently started advertising for 12 roles for its future Middletown campus. Those roles range from commissioning and qualification lead engineer, director, analytical scientists, maintenance managers, accountant and associate director in supply management.”
International paper producer signs deal with Port Wilmington | DE Business Times
“The Port of Wilmington has landed UPM Communication Papers as a new customer in large part due to Enstructure’s existing port network along the east coast.”
Delaware looks to strengthen edge in economic growth | DE Business Times
“Governor Matt Meyer delivered the conference keynote…with a call to reimagine Delaware’s economic identity. He traced the state’s entrepreneurial roots back to E.I. du Pont’s 19th-century innovation and argued that Delaware can again lead in the industries of tomorrow as it works to grow its various sectors from life sciences to artificial intelligence and fintech.”
Federal Government Shutdown Who's Impacted in Delaware? | Art Jenkins, DE DOL
Mid-Atlantic hydrogen hub survives new Trump cuts for now but outlook still uncertain | DE Public Media
"It’s been almost two years since the Biden Administration announced the Mid-Atlantic Clean Hydrogen Hub or MACH2 was among a series of hydrogen hubs selected to receive substantial federal grants to jump-start the hydrogen fuel industry and that Delaware would be a part of MACH2. Since then, little visible progress has been made with MACH2. That is until last week when Aternium a Delaware based company - received $1 million from the federally-funded Delaware Accelerator and Seed Capital Program to develop engineering for producing clean hydrogen."
Bayhealth to pursue $250M expansion in Dover | Spotlight Delaware
"Bayhealth, the state’s second largest hospital system, announced…it would pursue a near $250 million expansion in Dover."
Delaware evades Capital One layoffs | DE Business Times
“Although Capital One has started the process of laying off hundreds of employees following the Discover acquisition, representatives expect no such layoffs in Delaware.”
WTC Delaware President Stone to step down | DE Business Times [Insider]
“Carla Stone, the president of World Trade Center Delaware and who has built a career on international relations, will retire at the end of this year.”
National + International Notes
AI Data Centers, Desperate for Electricity, Are Building Their Own Power Plants | WSJ
"America should be adding about 80 gigawatts of new power generation capacity a year to keep pace with AI as well as cloud computing, crypto, industrial demand and electrification trends, according to consulting and technology firm ICF. It’s currently building less than 65 gigawatts. That gap alone is enough electricity to power two Manhattans during the hottest parts of summer.”
Gas Turbine Makers Are Riding the AI Power Boom | WSJ
"Orders and prices are soaring for monster machines made by GE Vernova, Siemens Energy and Mitsubishi Heavy Industries"
Evaluating the Impact of AI on the Labor Market: Current State of Affairs | The Budget Lab at Yale
"Overall, our metrics indicate that the broader labor market has not experienced a discernible disruption since ChatGPT’s release 33 months ago, undercutting fears that AI automation is currently eroding the demand for cognitive labor across the economy."
A Devastating Fire at a Major Ford Supplier Will Disrupt Business for Months | WSJ
“The plant’s operator, Atlanta-based Novelis, supplies about 40% of the aluminum sheet used by the auto industry in the U.S., according to industry analysts. Novelis said a major portion of its Oswego, N.Y., plant has been knocked offline until early next year.”
Among recent U.S. EDA cuts is the 45-year-old University Centers program | SSTI
“U.S. Economic Development Administration is discontinuing funding for the University Centers, Trade Adjustment Assistance to Firms, and STEM Talent Challenge programs.”
Opinion: Want More Ships? Fix How Washington Builds Them | gCaptain
“At Pennsylvania’s Hanwha Philly Shipyard, the National Security Multi-Mission Vessel (NSMV) program has helped grow the workforce from fewer than 50 employees in 2020 to over 1,500 today. An apprentice school is now training the next generation of shipbuilders, creating opportunities for young people in Pennsylvania to pursue high-paying careers in the trades. In fact, Pennsylvania ranks 13th among all states in domestic maritime employment, with 14,810 jobs and an annual economic impact of $3.39 billion, as well as over $1 billion in worker income that has supported the state’s past budget surpluses.”
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Troy Mix
mixedecon@gmail.com
Views expressed are my own and do not necessarily represent those of the University of Delaware or the Institute for Public Administration.
Couldn't agree more. That data on AI labor market disruption is important. Veri insightful. Thanks for this update.
Regarding the article, your insight into the limited labor market disruption from AI is truly thought-provoking. What specific sectors or job types did the data most closely analise for these findings?