The Houston region continues to attract new companies, proving it remains a top destination for companies looking to relocate, expand or establish new operations. According to a Partnership analysis, the new business category accounted for more than 50% of new business announcements in 2022. Site Selection Magazine reported the Houston-The Woodlands-Sugar Land MSA won 255 projects in 2022, ranking third among large U.S. metros. The Chicago metro ranked first with 448 projects, while Dallas-Fort Worth-Arlington ranked second with 426 projects. The Partnership reported 199 new business announcements in the Houston area in 2022, a lower number than Site Selection Magazine due to differences in reporting structure and data retrieval methods. Manufacturing was the most common sector, representing 29% of all announcements, according to the Partnership analysis. A few noteworthy Partnership-supported projects include: Orsted - a leading offshore wind developer from Denmark is expanding its presence in Texas by establishing a new office in the Woodlands. The move is expected to create up to 100 jobs in the region. Syzygy Plasmonics - a Houston-based energy 2.0 company is expanding its operations to Pearland. The new location will serve as HQ, R&D, and manufacturing for its deep-decarbonization platform, creating up to 120 jobs. Alfred Talke Logistic Services - a German logistics firm is establishing a new facility in the region, serving as its U.S. headquarters. This project represents a $25 million investment and will create 240 jobs. Texas as a whole remains the top destination in the nation for new companies. Site Selection Magazine awarded Texas its 11th consecutive, and 19th total, Governor's Cup for the most total capital investment projects in the nation for 2022 with 1,028 projects. This was more than twice the number of projects that second-place Illinois attracted. In order for a project to be counted toward the Governor’s Cup race, projects must meet one or more of these criteria: a minimum investment of $1 million, the creation of 20 or more new jobs, or 20,000 square feet or more of new construction. Despite a slight dip from the 2021 project count of 1,123, Governor Greg Abbott told Site Selection Magazine he remains optimistic about Texas’ future, congratulating the “exceptional economic development teams at the local, regional, and state level who work so diligently to attract and retain these growing businesses and the jobs they create in communities across Texas.” Texas remains number one in the United States for the most Fortune 500 headquarters, with Houston being number one in Texas. Twenty-four of Texas’ 53 Fortune 500 headquarters are located in Houston.   Governor Abbott also touted the state’s lack of an individual income tax, its business-friendly regulatory environment, workforce, and recent investments in infrastructure as reasons why more and more businesses are choosing to relocate or expand in Texas. Referring to Texas as the “economic engine of the nation,” Governor Abbott stressed that in order for the state to remain a leader on the national and global levels, it would need to continue to “lead with major capital investments in critical industries such as advanced manufacturing and energy production” and to “work collaboratively with local economic development organizations and business communities and maintain strategic economic development tools.” Maintaining these competitive advantages is a key issue state legislators are addressing during the current legislative session. House Bill 5, which the Partnership supports, aims to establish a new economic development incentive program to attract new businesses. Learn more about why companies choose Houston.  

Houston is once again proving it’s a city where green businesses can thrive. A recent report found Houston ranks fourth in the nation for average funding raised by startups focused on sustainability.  PromoLeaf’s analysis of Crunchbase data found Houston startups leading the way in sectors such as renewable energy, decarbonization and environmental engineering raked in $150.7 million in funding. Salt Lake City ranked first with $204.6 million, followed by Santa Monica, Calif. with $154.3 million and Freemont, Calif. with $153.5 million.  Companies like Ionada and Renewell Energy are choosing Houston to scale their businesses because of the region’s expertise and global network as the Energy Capital of the World.  Momentum continues to build in Houston as the region positions itself as a global leader in the energy transition. According to the Partnership’s Houston Tech Report, startups in the energy industry received more than $320 million in venture capital funding between 2017 and  2021. In October, the Houston Energy Transition Initiative (HETI), a strategic initiative led by the Partnership and dedicated to strengthening Houston’s leadership as the Energy Capital of the World, released a report examining the region's opportunity to fund the energy transition and the success companies across all energy value chains can find in Houston. Another report recently highlighted how local companies continue increasing their investments in clean energy. Axios Houston reports Houston companies invested more than $1.25 billion in clean technology, climatetech and impact investment in 2022, making the city one of the top five cities in the U.S. for investment in companies focused on environmental, social and governance (ESG) initiatives. "I think what we're gonna see is a new breed of public companies created within Houston that will go public in 2023 and 2024 that's going to further make Houston more diverse and increase the level of energy transition that we're already seeing in the Houston market," Will Braeutigam, U.S. capital markets transactions leader at Deloitte, told Axios Houston.