About two years after the doors of Ford Motor Company’s automotive assembly plant in Wixom, Mich., closed, officials have announced the abandoned factory will be resurrected as the home of three alternative energy companies, bringing the promise of new jobs and investment in Michigan’s sagging economy.
The factory’s transformation is an individual victory in a larger plan to create new economic growth statewide by transforming Michigan’s economy into a center for green industry. Although officials have a long way to go, they hope to work toward recovering the almost 800,000 jobs Michigan has lost in the past decade.
Michigan’s focus on renewable energy makes it one of many states vying for a chance to serve as the hub for the new “it” industry — the Silicon Valley of the green energy movement. And with lawmakers passing tax incentives for green manufacturing companies and looking to state universities, including MSU, to conduct needed research, Michigan has emerged as a key player.
“You say, ‘We want the auto industry,’ well you know, we’ve been there, done that,” said Bryan Ritchie, associate professor of international relations and co-director of the Michigan Center for Innovation & Economic Prosperity. “This is kind of the sexy new space.”
Michigan’s role
The three factories taking over the Wixom plant, which produce solar energy panels and batteries to store alternative energy — are expected to invest $1.1 billion in Michigan and create 4,500 jobs, according to an announcement Gov. Jennifer Granholm made last week.
The victory in attracting the companies against competition from other states and overseas stems from Michigan’s offerings of tax incentives, a skilled work force, universities with cutting-edge research and partnership between federal, state and local governments, Granholm said in the announcement.
The win represents progress in achieving the governor’s goal to turn Michigan into a multi-industry state, rather than an economy driven only by the auto industry, Granholm spokeswoman Liz Boyd said. Granholm expects Michigan to remain the North American auto capitol, but the industry’s collapse shows a need to look for other forms of growth, Boyd said.
“It’s important to note that as the manufacturing industry changes and technology changes the course, there will be fewer people building cars,” she said. “What the governor wants to do … is build on our traditions of manufacturing and building things.”
Michigan is home to 109,067 green jobs, which range from manufacturing to engineering to research, said Bridget Beckman, a spokeswoman for the Michigan Economic Development Corporation.
The state won $1.35 billion in U.S. Department of Energy grants to support advanced battery and electric vehicle manufacturing, putting Michigan ahead of all other states in grant winnings, Beckman said.
Although any one green industry might not completely fill the void left by the auto industry — the advanced battery sector only is expected to generate between 20,000 and 40,000 jobs in the next decade — attracting these businesses could open the door to others, she said.
And with Michigan’s existing base of empty plants and able manufacturing workers ready to be put back to use, Michigan has a lot to offer that other states can’t, she said.
“There are so many possibilities using this foundation of manufacturing and manufacturing skills … that we can draw from to create a very diverse landscape,” she said.
Going green
There is “tremendous” potential to create a green industry in Michigan, but it might require people to think differently about jobs, Ritchie said.
“This old way in Michigan of looking to the factory to employ hundreds and thousands of people is just old,” Ritchie said.
“We’re not going to be able to do that anymore. There might be smaller firms that provide very high paying, high skilled jobs that also will generate more high paying, high skill jobs.”
In response to Michigan’s emerging green economy, MSU has created a graduate program and proposed an undergraduate program dealing with green industry, said Doug McKenna, associate registrar for certification services.
The graduate level program, a specialization within the College of Business called business concepts for environmental sustainability and conservation, is in its first year.
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The proposed undergraduate level program, a specialization in the College of Agriculture and Natural Resources called global sustainability, awaits approval.
More programs and courses to prepare students for green jobs likely will emerge in the future, as the industry continues to develop, McKenna said.
Communication junior Matt Muscat said he is in favor of creating a green industry in Michigan, especially in light of the challenges faced by the economy.
“It’s a green initiative and I think it’s a great thing that (Granholm) is trying to bring more productivity to Michigan,” he said. “Anything that brings jobs to Michigan is a good thing.”
Ritchie said the technology and brainpower at Michigan’s universities are a significant part of the state’s appeal, which could create a bright future
as a center for green jobs and manufacturing. But the state will have to remain competitive to establish itself as the center, he said.
“(Michigan has) a lot of capacity that could create the kind of hub to say, ‘Hey, if you want to do this, Michigan’s the place to go,” he said. “But there’s a lot of places competing for that as well. … We can be one, but that will depend largely on the decisions we make.”
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