Johnston County Targets Defense Industry For New Jobs, Investment

JOHNSTON COUNTY, N.C. – Following the recruitment of a $1 billion rare-earth magnet manufacturing facility to Benson, Johnston County economic development leaders are looking to the defense industry as a potential source of additional jobs and investment.

A new task force of the Johnston County Economic Development Advisory Board is developing a strategy aimed at attracting defense manufacturers, technology companies and other businesses involved in the national security supply chain.

The effort is being led by Steve Hargis, vice chairman of the advisory board and a retired brigadier general in the North Carolina Army National Guard.

“As the national security terrain shifts, Johnston County has location, land and human assets that come together to position it for job growth and investment attraction,” Hargis said.

Hargis said changes in military technology could create opportunities for communities positioned near research universities, military installations and available industrial sites.

“It’s clear to me that the type of wars our country will fight in the future will be more technology-rich and involve fewer troops on the ground,” he said. “This could add a new dimension to the county’s manufacturing economy.”

Building On Vulcan Elements

The initiative follows last year’s announcement that Vulcan Elements plans to build a $1 billion rare-earth magnet manufacturing facility at Crosspoint Logistics Center near Benson, with the project expected to create approximately 1,000 jobs.

Rare-earth magnets are used in a wide range of products, including defense systems, aircraft, drones, robotics and other advanced technologies.

Vulcan has also announced a $1.4 billion partnership with the federal government.

County officials believe the project demonstrates Johnston County’s potential to compete for additional companies tied to defense manufacturing and advanced technology.

The county sits between the Triangle’s universities and research institutions to the west and several major military installations in eastern North Carolina.

Johnston County Economic Development Director Chris Johnson said that combination, along with available industrial property and transportation access, could help the county compete for future projects.

State Leaders Also Target Defense Investment

Johnston County’s effort comes as state leaders are also working to increase North Carolina’s share of defense-related investment.

Earlier this year, members of the N.C. General Assembly formed the National Security Technology & Innovation Caucus, a bipartisan group focused on improving North Carolina’s ability to attract defense research, technology and manufacturing projects.

North Carolina ranks fourth nationally in uniformed military personnel, behind California, Virginia and Texas, according to Pentagon data cited by county economic development officials.

However, despite its military installations and major research universities, the state ranks much lower in defense-related research, development and testing activity.

“North Carolina has world-class universities, military installations and private-sector innovators, but those strengths are not currently connected,” said Sen. Jay Chaudhuri, a Wake County Democrat and co-chair of the caucus.

“This caucus will help close that gap and ensure the state is positioned to compete nationally in critical technologies.”

The N.C. Department of Commerce has also established the N.C. Defense Technology Alliance, while the NC Chamber has helped organize the N.C. Critical Technologies Alliance to connect businesses, universities and government agencies.

Jarrett Lane, director of partnerships for Vulcan Elements, is a co-founder of the Critical Technologies Alliance.

“The states that help defense and dual-use companies grow, scale and innovate can create thousands of high-quality jobs,” Lane said. “North Carolina has the assets to compete, but capturing this opportunity will come down to speed, coordination and execution.”

County Points To Workforce, Available Sites

Johnston County officials say several recent investments could strengthen the county’s position.

Transportation improvements along Interstate 40 and Interstate 42 are improving access through the county, while Johnston Community College opened its 67,000-square-foot Advanced Manufacturing Training Facility in Four Oaks last year.

The county also has a number of available industrial sites with access to utilities and major highways.

Hargis brings a military background to the recruitment effort.

Before entering private business, he served in the North Carolina Army National Guard, eventually becoming deputy adjutant general, the Guard’s second-highest-ranking position. He is also a graduate of the Army War College.

He retired from the Guard in 2011 and later joined the Johnston County Economic Development Advisory Board.

Commissioner April Stephens, a U.S. Army veteran, is serving on the task force along with advisory board members Adam Caldwell, Kevin Dougherty and Donnie Lassiter.

County Previously Pursued Space Command

This is not Johnston County’s first effort to attract a major national defense-related operation.

In 2020, Johnston County was considered as a possible location for the headquarters of U.S. Space Command. The headquarters ultimately went elsewhere, but county officials say being considered demonstrated that Johnston County could compete for large federal projects.

“We were serious contenders for the home of the U.S. Space Command just a few years ago, and even though another location was selected, Johnston County clearly made a positive impression on top decision-makers,” Johnson said.

County officials now hope to use that experience, along with the Vulcan Elements project, to pursue additional defense-related employers.

Hargis’ task force will develop recommendations for how Johnston County can position itself for those projects as federal and private-sector investment in defense technology and manufacturing continues to grow.