Central Texas Global Business Pulse - December 22nd 2024 - Big Plan

Central Texas Global Business Pulse

Merry Christmas and Happy New Year from all of us at Big Plan! As we reflect on the year and count our blessings, we’re filled with gratitude and excitement for the new possibilities ahead. Our team will be taking a well-deserved break to celebrate the festivities with family and friends. Thank you for being part of our journey, and we look forward to reconnecting and achieving great things together in the new year. See you in 2025!

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News & Updates

International

World Economy to Accelerate in 2025, But Recovery Threatened by Higher Tariffs, OECD Says

The global economy is set to grow at slightly a faster pace next year as inflation continues to cool, but could falter if tariffs rise and governments fail to narrow wide budget deficits, the Organization for Economic Cooperation and Development said Wednesday.

In a quarterly report, the Paris-based research body said it now expects the world economy to grow by 3.3% next year, a pickup from the 3.2% rate of expansion it estimates for this year.

German Business Mood Hits Postpandemic Low, Stoking Recession Jitters

Business confidence in Germany darkened this month as the government of Chancellor Olaf Scholz fell apart and the country’s manufacturers struggle to get back on their feet, raising fears of recession in Europe’s most important economy.

The Ifo Institute’s business-climate index, released Tuesday, slipped to 84.7 in December from 85.6 in November, marking a sixth fall in seven months and the lowest point since May 2020, when Europe was in the throes of the global Covid-19 pandemic and widespread lockdowns. Economists had been expecting a lesser fall, to 85.5, according to a poll compiled by The Wall Street Journal. In contrast, a sentiment indicator released by ZEW showed an improvement in the economic outlook as financial markets look forward to a new government in Berlin and further cuts to eurozone interest rates, ZEW said Tuesday.

Israel seeks 200 global AI experts to address shortage in local tech startups

Israel is not only falling behind the US and Europe when it comes to pulling in investments in startups that develop artificial intelligence-based technologies but is also facing a shortage in human capital in the field.

To address the shortage, Israel has earmarked NIS 7 million ($1.96 million) to bring in at least 200 foreign experts over the next three years to help the Jewish nation keep pace with the fast development and adoption of AI models around the globe.

USA

US finalizes up to $6.75 billion in chips awards for Samsung, Texas Instruments, Amkor

The U.S. Commerce Department said on Friday it was finalizing an award of up to $4.745 billion to South Korea's Samsung Electronics and up to $1.61 billion for Texas Instruments to expand chip production.

The department also finalized an award of up to $407 million to help fund Amkor Technology's planned $2 billion advanced semiconductor packaging facility in Arizona, which is set to be the largest of its kind in the U.S.

The Samsung award is about $1.7 billion smaller than the preliminary award announced in April of up to $6.4 billion and reflects its revised smaller investment plans, the department said.

DOE Announces $7.1 Million in Support of Local Energy Project Planning, Siting and Permitting

The U.S. Department of Energy (DOE) today announced the selection of four projects totaling $7.1 million to expand a program that improves planning, siting, and permitting processes for large-scale renewable energy and energy storage facilities across the United States. The collaborative teams formed through these projects, as well as 12 previously selected under the Renewable Energy Siting through Technical Engagement and Planning (R-STEP™) program, will develop and expand statewide initiatives that provide expertise, trainings, and technical resources to local governments, Tribal governments, and communities as they plan for and evaluate large-scale renewable energy and energy storage projects.

Republican senators demand an end to science and tech cooperation with China

A group of Republican senators is demanding that the Biden administration revoke a science and technology agreement with China, barely a week after the two countries renewed cooperation for five more years to keep ties from deteriorating.

In a letter Thursday to Secretary of State Antony Blinken, the lawmakers, led by Sen. Jim Risch, the ranking member of the Senate Foreign Relations Committee, said the era in which such cooperation made sense “is long gone” and the extension only “opens the door for further cooptation of American research.”

Clean energy data centres fuel AI revolution as Crusoe raises $600M led by Peter Thiel’s Founders Fund

Crusoe Energy Systems secures Series D funding to scale clean energy data centres, aiming to revolutionise AI workloads with sustainable solutions and garnering support from major industry players like Nvidia.*

Crusoe Energy Systems, a pioneering clean energy and AI infrastructure company has secured a massive $600M in Series D funding, propelling its valuation to $2.8B. The latest investment round, led by Peter Thiel’s Founders Fund with support from Nvidia, Fidelity, Long Journey Ventures, Mubadala, Ribbit Capital, and Valor Equity Partners, sets the stage for Crusoe to transform artificial intelligence (AI) workloads through its innovative data centre approach.

Texas

Tesla begins operation at its South Texas lithium refinery, firing up its kiln for first time

Tesla Inc. has begun operations at its new lithium refinery near Corpus Christi, a plant CEO Elon Musk said eventually would produce enough of the material for batteries in 1 million electric vehicles per year — and could expand beyond that.

In the year-and-a-half since Gov. Greg Abbott joined him to break ground at the 1,200-acre site in Robstown — at a time Musk was promising that lithium refining would be “basically minting money” — prices have fallen as the market has become oversupplied.

US DOE Allots $6MM for CO2 Transport Project in Texas

The U.S. Department of Energy’s (DOE) Office of Fossil Energy and Carbon Management (FECM) has earmarked $6 million for a carbon dioxide (CO2) transportation project in Texas.

The selected project aims to explore the transport of CO2 from onshore industrial and power generation facilities to offshore secure geologic storage in Texas state waters, according to a news release from the agency.

Billion-dollar paperboard packaging plant inches closer to completion in Waco; how it will impact you

Massive cranes have been towering over Waco’s skyline over the past year. Those cranes and hundreds of workers are in Texas Central Park, building Graphic Packaging International’s next paperboard packaging facility, the largest capital investment project Waco has been a part of, according to the Greater Waco Chamber of Commerce.

With every new industry comes pluses and minuses. Graphic Packaging International, or GPI, is an award-winning packaging company, bringing a boost to Waco’s job market and economy. The project includes the city’s preparation efforts and water use. It is modeled after a facility in Michigan that was alleged to be the cause of an odor and health impacts, according to a lawsuit that was later dismissed.

Austin

Austin airport to boost baggage capacity with $241.5M upgrade project

As Austin's airport gets busier, crews are working on a project to better handle luggage.

The airport is spending $241 million to modernize its baggage handling system. The upgrade includes 1.5 half miles of new conveyor belts to move bags from check-in, through security and onto planes.

Right now, the system handles about 1,600 bags an hour. When the first phase is finished this summer, that number will jump to 2,400. By 2026, airport officials say it will be able to handle 4,000 bags every hour.

Moonshots: Texas aerospace co. lands $179M NASA contract for mission to the Moon

An Austin-area aerospace company has just locked into a third trip to the Moon.

Firefly Aerospace Inc. said that it has secured a $179 million NASA contract to ferry six research instruments to the lunar surface in 2028. That will follow planned trips in early 2025 and 2026, which have already been contracted.

Samsung finalizes CHIPS Act incentive; scope of factory less than previously announced

Samsung Electronics Co. Ltd. has finalized the incentive it will get through the federal CHIPS and Science Act, although the company won't be making as big of an investment in Taylor as what was proclaimed when dignitaries descended on the small town to announce a preliminary CHIPS award earlier this year.

The company plans to invest $37 billion at its sites in Taylor and North Austin, down from initial projections of $45 billion but still a huge sum that will rank among the largest investments in U.S. history.

Events

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)

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Certified by:

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

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