ECONOMY & BUSINESS CLIMATE

North Carolina has built a reputation as one of the best places in the United States to live, work, and do business. With a low tax rate, a skilled workforce, and thriving industries from banking and technology to farming and manufacturing, the state offers opportunities for both large companies and small entrepreneurs. Its fast-growing cities and world-class research hubs sit alongside strong rural traditions, creating a diverse and resilient economy that attracts newcomers from around the country and the world.

Overall Economic Strength

North Carolina has one of the strongest and most balanced economies in the U.S., consistently ranking among the top states for business.
In 2023, CNBC ranked NC the #1 state for business for the second year in a row, praising its low costs, strong workforce, and infrastructure.
The state’s Gross Domestic Product (GDP) is over $700 billion, placing it among the largest state economies.

Business-Friendly Environment

Corporate income tax rate is 2.5% - the lowest in the nation among states that levy one, with plans to phase it out entirely by 2030.
North Carolina’s regulatory climate, right-to-work laws, and competitive tax structure attract both large corporations and small businesses.
The state actively supports innovation through tax incentives, grants, and partnerships between universities and industry.

Key Industries

Banking & Finance – Charlotte is the second-largest banking hub in the U.S. after New York City, home to Bank of America, Truist, and major Wells Fargo operations.
Technology & Research – The Research Triangle Park (RTP), between Raleigh, Durham, and Chapel Hill, is one of the world’s largest R&D hubs, hosting 300+ companies in biotech, software, and pharmaceuticals.
Biotechnology & Life Sciences – NC is a national leader in biomanufacturing and pharmaceuticals, with strong links to UNC, Duke, and NC State.
Manufacturing – Once focused on textiles and furniture, NC now leads in advanced manufacturing, semiconductors, aerospace, and automotive parts.
Agriculture – Still vital, NC ranks high in tobacco, sweet potatoes, poultry, and pork production, while agribusiness continues to modernize.
Energy – The state is investing in renewable energy, especially solar, ranking among the top U.S. states for solar power capacity.

Workforce & Education

The state benefits from a highly educated workforce, thanks to universities like UNC, Duke, and NC State, plus 58 community colleges.
More than 40% of adults hold a college degree, above the national average.
Workforce development programs partner with companies to train employees in technical and advanced manufacturing skills.

Urban Growth & Innovation Hubs

Charlotte – Financial powerhouse, fast-growing metro with international connections.
Raleigh–Durham (Triangle) – Tech, biotech, education, and start-up culture.
Greensboro–Winston-Salem (Triad) – Logistics, manufacturing, and aviation.
Wilmington – Growing port city with film, shipping, and energy industries.

Global Connections

NC attracts foreign direct investment (FDI), with hundreds of international companies operating in the state.
Germany, Japan, and the UK are among the biggest investors, especially in automotive and advanced manufacturing.