Amazon Announces Plans for $100 Million Distribution Center in North Carolina

By Thomas Price | Tuesday, 11 May 2021 | Business, Ecommerce

With ecommerce playing such a heavy part in retail sales last year due to the COVID-19 pandemic closing many in-person stores, the largest company in ecommerce, Amazon, is expanding its territory in the United States (US). Amazon has witnessed incredible success recently, opening supermarkets, posting record-high business numbers, and increasing its overall work staff. The logistics company recently announced that it would be building a new distribution center in North Carolina to further its delivery efficiency. This is yet another major company choosing the state to break ground on a new building after tech business Apple announced its second campus in Raleigh last month.

Details of New Distribution Center From Amazon

The new distribution center from ecommerce and logistics company Amazon will cost around $100 million. The center will be located in Smithfield, North Carolina, and will reportedly be 620,000 square feet to handle a significant volume of products. The company will also be taking on a staff of around 500 people, who will be working on-site once the distribution center opens for business. Amazon projects that the distribution center will be at least partially opened by 2022, with a full staff needed by 2024.

While the economic impact of this move is still to be seen, economists from North Carolina State University are predicting the direct and ancillary job growth needed to run the center will add around $97 million worth of annual revenue to the town and county. The business will also become the largest taxpayer in the town by 2024, creating an even larger economic benefit.

The new distribution center announced by the company will mark yet another business setting down roots in North Carolina. In recent years, the state has become an incredibly attractive location for property expansion.

North Carolina as a New Economic Hub

Alongside this new distribution center, Amazon has also announced new delivery stations in Fayetteville, Raleigh, and Garner. All of these are set to open within the next couple of years and will create an additional few hundred jobs.

Outside of Amazon, the new $1 billion campus from Apple will reportedly create around 3,000 new jobs and have a massive economic impact on Raleigh and the state of North Carolina as a whole. The jobs created by Apple will also be high-paying positions, with most workers on the campus working in software engineering, artificial intelligence, and machine learning. Plastic company Berry Global also announced an expansion of business in the state with a $73 million investment into its current facility in Benson that will create another 63 jobs.

When commenting on the newly announced distribution center from Amazon, Mayor of Smithfield Andy Moor said, “This is a historic day for the Town of Smithfield. By welcoming Amazon here, we have embarked on a new era of growth, with an immediate impact on job creation, and a ripple effect on every aspect of our local economy. We are excited to welcome Amazon to Smithfield and know they will be a wonderful addition to our community.”

About the Author

Thomas Price

Tom Price is a writer focusing on entertainment and sports features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.