Central Texas Global Business Pulse - December 1st 2024 - Big Plan

Central Texas Global Business Pulse

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News & Updates

International

Mexican president claims ‘no potential tariff war’ with US after call with Trump

Claudia Sheinbaum has said her “very kind” phone conversation with Donald Trump, in which they discussed immigration and fentanyl, means “there will not be a potential tariff war” between the US and Mexico.

The president of Mexico spoke to reporters on Thursday following Trump’s threat earlier in the week to apply a 25% tariff against Mexico and Canada, and an additional 10% tariff against China, when he takes office in January if the countries did not stop all illegal immigration and fentanyl smuggling into the US.

US sets tariffs for solar panels from Southeast Asian nations

U.S. trade officials announced on Friday a new round of tariffs on solar panel imports from four Southeast Asian nations after American manufacturers complained that companies there are flooding the market with unfairly cheap goods.

It is the second of two preliminary decisions that President Joe Biden's Commerce Department is making this year in a trade case brought by Korea's Hanwha Qcells (000880.KS), Arizona-based First Solar Inc (FSLR.O),and several smaller producers seeking to protect billions of dollars in investments in U.S. solar manufacturing.

Trump threatens 100% tariffs on BRIC nations over currency plans to undermine U.S. dollar

President-elect Donald Trump on Saturday threatened 100% tariffs against a bloc of nine nations if they act to undermine the U.S. dollar.

His threat was directed at countries in the so-called BRIC alliance, which consists of Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran and the United Arab Emirates.

USA

Walmart Rolls Back DEI Programs

Walmart is ending some of its diversity programs, the latest big company to shift gears under pressure from a conservative activist.

The retailer will wind down the Center for Racial Equity, a nonprofit Walmart funded with $100 million in 2020 for five years, and programs that provide assistance to suppliers that are 51% owned by women, minorities, veterans or members of the LGBTQ community.

Washington Curtails Intel’s Chip Grant After Company Stumbles

The Biden administration plans to reduce Intel’s preliminary $8.5 billion federal CHIPS grant, a move that follows the California-based company’s investment delays and broader business struggles.

Intel, the biggest recipient of money under the CHIPS Act, will see its funding drop to less than $8 billion from the $8.5 billion that was announced earlier this year, four people familiar with the grant said. They all spoke on the condition of anonymity because the final contract had not yet been signed. The change in terms takes into account a $3 billion contractthat Intel has been offered to produce chips for the U.S. military, two of these people said.

US regulators approve first round-the-clock stock exchange

A startup stock exchange aiming to handle trades around the clock won a US watchdog’s approval to operate a venue 23 hours daily, five days a week.

24X National Exchange, which counts Steve Cohen’s Point72 Ventures fund as a backer, secured permission to start offering sessions that span the US daytime and later add overnight trading, the Securities and Exchange Commission wrote in a notice posted Wednesday. The plan would preserve one-hour breaks starting at 7 p.m.

Texas

Toyo acquires 2.5GW module assembly plant in Texas

The newly leased facility in Texas, US, spans 567,140 square feet and will see Toyo build a 2.5GW module assembly plant. Image: Toyo Solar.

Japanese cell and module manufacturer Toyo has acquired a facility in Texas, US, where it aims to build 2.5GW of module assembly capacity.

Through its subsidiary, Toyo Solar, the company acquired 100% of membership interests in Houston-based Solar Plus Technology Texas.

Texas-based company 'Dickies' headquarters is relocating to California

Most Texans associate clothing brand Dickies with the Lone Star state but their headquarters is moving to California.

VF Corporation, the parent company of brands such as Vans, Timberland, and The North Face, acquired Dickies in a $820 million deal in 2017. The company has confirmed that the Dickies headquarters will be relocating to Costa Mesa, California, affecting approximately 120 employees.

Mass deportations would hurt Texas construction industry

President-elect Donald Trump's promise to deport millions of undocumented immigrants has the potential to have deep impacts on the Texas construction sector, according to a new report.

Texas has 1.6 million undocumented immigrants, the second largest population after California, according to Pew Research. Therefore, the effects of mass deportations are poised to have more of an impact on Texas business and its economy. One of the sectors set to be impacted first is the construction industry, which relies on nearly 60 percent of undocumented labor, as first reported by NPR.

Austin

Fintech companies PayPal, Wise sign big leases in North Austin

Two fintech companies have signed new leases in the Domain in North Austin, including PayPal Inc., which has more than doubled its real estate footprint there.

PayPal (Nasdaq: PYPL) expanded its lease at Stonelake Capital Partners’ Domain Tower 2 at 10025 Alterra Parkway, growing its office from 60,262 square feet to 151,705 square feet, according to an announcement. Meanwhile, London-based Wise PLC (LSE: WISE) secured a 60,682-square-foot office lease at the tower, which is now about 75% leased.

Texas lawmakers envision high-speed rail along I-35 corridor in latest bill filings

High-speed rail could be coming full steam ahead to the Interstate 35 corridor amid new bill filings from Texas lawmakers pushing the initiative.

State Rep. John Bucy III (D-Austin) filed House Bill 483 on Nov. 12, which calls for allocations of state funding to support the development of high-speed rail linking Dallas, Austin and San Antonio.

Reported Tesla supplier inks major lease in small city southeast of Austin

A Chinese electric vehicle supplier that has ties to Tesla Inc. has taken the entirety of a 218,400-square-foot building in an industrial park rising in a rural area southeast of Austin.

Xinquan Automotive Trim Ltd. is listed as leasing in the Mustang Ridge Business Park, according to a newly released quarterly report from Aquila Commercial LLC.

This Chinese company designs, makes and sells interior and exterior trims for vehicles and has been publicly tied to Tesla in the past. Mustang Ridge has only about 1,000 people and is located roughly 25 miles southeast of Austin — but it's only about 10 miles away from Tesla's massive gigafactory in eastern Travis County.

Austin office vacancy rate at an all-time high, among highest in the country

According to commercial real estate information company CoStar, Austin has a record high office vacancy rate. The company said vacancies could keep growing because of millions of square feet of additional office space still under construction.

“Approximately 4.4 million square feet that’s under construction right now, and two million of that is currently unleased,” CoStar Senior Market Analyst Israel Linares said.

Linares said the vacancy rate sits at 16.8%, which is among the highest in the country. Linares said the construction boom contributed to that.

Opinion Editorials

How China Became the World’s Largest Car Exporter

Just two decades ago, China had little capacity to make cars, and owning one was considered novel. Today, China produces and exports more cars than any other country in the world.

President-elect Donald J. Trump has promised to impose new tariffs on China. Many countries, including the United States, already levy extra tariffs on China’s electric vehicles. But with all of the advantages China wields in automaking, this pushback is unlikely to undercut China’s dominance.

China’s home market for car sales is the world’s largest — almost as big as the American and European markets combined.

Events

Bexar County Business Conference 2024 (Dec 11th 2024, 7am - 3pm)

U.S. Mexico Supply Chain Summit in El Paso Texas (March 27, 2025)

Global Diversity Export Initiative (GDEI) Trade Mission to India, Singapore, and Hong Kong (March 2-8, 2025)

Certified WBE, MBE & HUB.

Certified by:

City of Austin, Tx.
State of Texas
National Minority Supplier Development Council

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