Smaller Sectors Add to U.S. Manufacturing Projects Under Construction

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Written by Danny Levin, Deputy Editor for IIR News (Sugar Land, Texas)

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Summary

While higher-profile sectors such as data centers, semiconductors and automotive lead U.S. manufacturing projects under construction, smaller sectors account for their fair share of capital spending. Those include the heavy manufacturing sector, which includes products aimed directly at supporting data centers, as well distribution and warehousing, and fabricated metal products.

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High-Dollar U.S. Manufacturing Projects Under Construction

Industrial Info's Global Market Intelligence (GMI) Project Database indicates more than $500 billion worth of projects are under construction in the U.S. Industrial Manufacturing Industry, with four sectors accounting for more than 90% of the spending:

• Data centers ($214.7 billion)
• Semiconductors and computers ($118.1 billion). In addition to semiconductor-related projects themselves, this sector in the IIR database includes the manufacture of computers, electronic components, and solar panels and cells, among other related products.
• Transportation systems: ($104.2 billion)
• Automotive: ($70.4 billion)

Projects to Support Data Centers, Semiconductors

Next in line is the heavy manufacturing sector, which includes some projects underway aimed directly at supporting data centers.

ABB Limited's $80 million grassroot electrical conductors manufacturing plant in Selmer, Tennessee will directly support data centers and other industrial applications. Production is slated to begin in the fourth quarter. Subscribers to the GMI database can read a detailed project report.

In reporting its fourth-quarter 2025 earnings results, the company said orders in all of its customer segments improved, "led by exceptional growth in data centers." The increase in was driven by the commercial segment in the U.S., which is the Swiss-based company's largest market.

Meanwhile, FormFactor Incorporated is installing equipment at a plant in Farmers Branch, Texas, in order to manufacture measuring probe cards for semiconductors utilized in computing and quantum computing, among other applications. According to the company website, probe cards "are critical for high-volume manufacturing, providing necessary contact solutions for testing a wide array of semiconductor devices."

In the fabricated metal products sector, EPIC Piping LLC is expanding its steel pipe fabrication plant in Livingston, Louisiana, which will serve data centers and also help meet rising demand for natural gas and nuclear power. The expansion entails installing a large-diameter and heavy-wall pipe production line, with commercial operations expected in early 2027.

Subscribers can read the two related project reports.

U.S. Distribution and Warehousing

The need for distribution and warehousing space also is driving project activity across the U.S., where e-commerce giant Amazon is a major player. The company accounts for nearly 25% of the sector's total investment value of projects under construction.

This includes three grassroot distribution centers totaling about $1 billion of investment, in Amsterdam, New York; Cottage Grove, Wisconsin; and Little Rock, Arkansas. Subscribers can read detailed reports for the projects, all of which are expected to wrap up by early 2028.

Another major project is Walmart Incorporated's expansion of its Auburn (Garrett) Distribution Center #6074 in Indiana, to increase distribution services to its area stores. The $660 million project involves a 630,000-square-foot building addition, with completion expected in 2028. Subscribers can read more project information.

The sector also features food and beverage warehousing.

Fabricated Metal Products Sector Highlights Power Cable Production

Two projects totaling about 22% of the sector's total investment for projects under construction are aimed at producing power cables that would strengthen domestic energy infrastructure.

LS Greenlink USA's (LS Greenlink) $681 million brownfield high-voltage direct current (HVDC) submarine cable-manufacturing plant in Chesapeake, Virginia, near the Port of Virginia, is expected to be fully operational by the first quarter of 2028. LS Greenlink is a subsidiary of South Korea-based LS Cable & System Limited.

Submarine HVDC cables are used to transmit power underwater, typically for connecting offshore wind farms or other remote power sources to power grids.

Another power cable-related project is Hellenic Cables' grassroot plant in Baltimore, Maryland that will be home to manufacturing underwater and underground cables to support power generation and transmission & distribution. Hellenic is a subsidiary of Belgium-based Cenergy Holdings S.A.

Subscribers can read the project reports.

Key Takeaways

• In addition to high-profile manufacturing sectors such as data centers, semiconductors and automotive, smaller sectors are responsible for projects under construction across the U.S.
• Heavy-manufacturing projects are underway to support data centers and semiconductor production.
• E-commerce giant Amazon is building out its vast distribution and warehousing network.
• Companies are boosting production of energy-related components, such as power cables.

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About IIR News Intelligence
IIR News Intelligence is a trusted source of news for the industrial process and energy markets, powered by Industrial Info Resources' Global Market Intelligence (GMI).

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).