This document provides a competitive analysis demonstrating that Texas is the most strategic location for vehicle assembly and heavy equipment manufacturing in North America. It highlights Texas' top economic performance, competitive tax and incentives programs, strategic location within the Texas-Mexico Automotive SuperCluster region which has a large concentration of automotive plants and suppliers, robust infrastructure, access to large consumer markets, workforce advantages, and diverse energy resources. The data presented positions Texas as the leading site for automotive investment in the Western Hemisphere.

1. THE MOST COMPETITIVE REGION FOR MANUFACTURING IN THE WESTERN HEMISPHERE
TEXAS AUTOMOTIVE MANUFACTURING
2013 SITE SELECTION FACT BOOK
Prepared by Bexar County Economic Development www.bexar.org
Texas Vehicle & Heavy Equipment
Manufacturing Overview
April 2013

2. Prepared by:
Hon. Kevin Wolff
County Commissioner, Pct. 3
County of Bexar, Texas
101 W. Nueva St., 10th Floor
San Antonio, Texas 78205 USA
T: (210) 335-2618
www.bexar.org

3. 3Bexar County, Texas
Table of Contents »
This document is a factbook prepared by Bexar County. The data provides a competitive
analysis of Texas that demonstrates the Lone Star State is the most strategic site for vehicle
assembly and heavy equipment manufacturing.
State of Texas: Top Economic Performer in U.S........................................................................ Page 5
Incentives............................................................................................................................................ Page 6
Tax Environment ............................................................................................................................... Page 9
Strategic Region: Texas-Mexico Automotive SuperCluster (TMASC).................................. Page 11
TMASC is the Capital for Truck, SUV, and Heavy Equipment Manufacturing..................... Page 12
TMASC Supplier Density.................................................................................................................. Page 13
TMASC is the North American Epicenter of Trade.................................................................... Page 16
Competitive Manufacturing Bolstered by Robust Infrastructure.......................................... Page 17
Shorter Time to Market For Large Consumer Regions............................................................ Page 20
Increase Market Share Among the Hispanic Demographic.................................................... Page 21
Texas Automotive Market................................................................................................................ Page 23
Strategic Workforce Advantages.................................................................................................. Page 24
Diverse Energy Portfolio for Sustainable Manufacturing........................................................ Page 27
View additonal data online at www.txmxautomotivecom.

4. 4 Bexar County, Texas
No other U.S. state is home to more Fortune 1000
corporate headquarters. Texas ranked #1 on the
2012 Fortune 1000 list with 103 companies and #2
on the 2012 Fortune 500 list with 52 firms.
If Texas were a nation, it would rank as the 14th
largest economy in the world based on GDP,
ahead of Mexico, South Korea, the Netherlands,
Turkey, and many others.

5. 5Bexar County, Texas
State of Texas:
Top Economic Performer in U.S. »
“Asastate,wewillremaincommittedtoupholdingthepillars
to our success, including low taxes, restrained spending,
reasonable regulations and a fair legal system...”
- Hon. Rick Perry, Governor, State of Texas
Texas is one of the top U.S. state economies that leads the nation in
pro-business policies and international trade.
Various indicators show the strength and vitality of the Texas economy.
An array of industries contributed to Texas’ ability to come out of the
Recession quicker than other states. Those industries include: industrial
manufacturing, biotech and life sciences, information and electronics,
professional and financial services, and aerospace and aviation.
According to the Texas’ Comptroller’s Office, from 2001 to 2010, U.S.
real Gross Domestic Product (GDP) grew by 17% while Texas’ real Gross
State Product (GSP) grew by 24% over the same period. Texas replaced
all of its recession-hit jobs by December 2011, adding a wide variety of
jobs in industries such as manufacturing, oil and gas, and professional
and business services.
Texas leads the nation in exports and has for 11 consecutive years since
2002. The Texas unemployment rate has been at or below the national
rate for 72 consecutive months and was 6% for December 2012.
Gross Domestic Product (GDP) by State
State
2011
(in millions of USD)
Percent of
U.S. Total
U.S. 14,981,020 100%
Texas (TX) 1,308,132 9%
Alabama (AL) 173,122 1%
Georgia (GA) 418,943 3%
Mississippi (MS) 97,810 1%
Tennessee (TN) 266,527 2%
Source: U.S. Bureau of Economic Analysis.
Texas Select
Business Highlights
March 2013
Texas wins Site Selection’s
2012 Governor’s Cup for having
the most new and expanded
corporate facilities over the past
year. Texas had 761 projects in
2012, a 65% increase over 2011.
February 2013
Texas dominates Forbes’ “Best
Cities for Good Jobs” list. Dallas
topped the list, followed by #2
Houston, #3 Austin, #4 Fort
Worth, and #6 San Antonio.
Cities were ranked according to
recent and expected job growth,
current unemployment rate, and
current and expected per-capita
income.
January 2013
Business Facilities names
Texas 2012 State of the Year
because of its dynamic,
recession proof economy.
May 2012
Chief Executive’s 8th
annual CEO
Survey ranks Texas as the best
state to do business for the 8th
consecutive year.

6. 6 Bexar County, Texas
Industry Snapshot:
Select Texas Incentive
Package for Automotive
Assembly Project
Ten years ago the State of Texas and
local community partners provided
the following incentive package for
an automotive assembly facility.
Project impact:
• More than $2.7 billion in direct
and indirect capital investment,
and
• Approximately 5,700 total
jobs from assembly plant and
suppliers.
$133M Incentive Package:
• $27 million for job training and
recruitment,
• $15 million for a rail district,
• $47 million in phased-in taxes
and waived fees,
• $15 million for site
utility infrastructure,
• $14 million for land,
• $10 million for site
preparation, and
• $3 million for a city-provided
job-training center.
Incentives »
The State of Texas and local communities are committed
to offering the most competitive incentive packages for
foreign direct investment projects. Below is a general
overview of incentives followed by a breakdown of specific
tax-related incentives.
State Incentive: Texas Enterprise Fund (TEF)
The Texas Enterprise Fund (TEF) was established in 2003 and is the
largest “deal-closing” fund of its kind in the U.S. The TEF is used
as a final incentive tool for projects that offer significant projected
job creation and capital investment and where a single Texas site is
competing with another viable out-of-state option.
State Enterprise Zone Program
The Texas Enterprise Zone Program is a tool for communities
to partner with the State to promote job creation and capital
investment in economically distressed areas. Designated projects
are eligible for state and use tax refunds on taxes paid for equipment
and machinery, materials, taxable services, electricity and other
business expenses.
Workforce Development
Workforce programs are provided through the Texas Workforce
Commission to fund customized job training initiatives. The
Commission also disburses grants to community and technical
colleges for businesses who want to train new workers.
Grants
Qualified communities can access several types of grants to fund
public infrastructure (water, sewer, roads, etc.) and real estate
development (acquisitions, construction, and/or renovation)
needed to assist a business which commits to create and/or retain
permanent jobs, primarily for low and moderate-income persons.

7. 7Bexar County, Texas
Incentives cont’d »
Tax Incentives Breakdown
State and local communities offer a variety of tax incentives and innovative solutions for corporations to expand in
Texas. Programs include Enterprise Zone sales tax refunds, manufacturing sales tax exemptions, property tax value
limitation, and freeport exemptions.
Texas Enterprise Zone Program
The Texas Enterprise Zone Program is an economic development tool for local communities to partner with the State
of Texas to promote job creation and significant private investment that will assist economically distressed areas of
the state. Approved projects are eligible to apply for state sales and use tax refunds on qualified expenditures. The
level and amount of refund is related to the capital investment and jobs created at the qualified business site.
Manufacturing Exemptions
Tangible Property
State sales and use tax exemptions are available to taxpayers who manufacture, fabricate or process tangible
property for sale. The exemption generally applies to tangible personal property involved in the manufacturing
process.
Natural Gas & Electricity
Texas manufacturing companies may be exempt from paying state sales and use tax on electricity and natural gas
used in manufacturing, processing, or fabricating tangible personal property.
Value Limitation and Tax Credits (Texas Economic Development Act)
An appraised value limitation may be extended to a taxpayer who agrees to build or install property and create jobs
in exchange for an eight-year limitation on the taxable value of the property. The value limitation applies to the local
school district maintenance and operations tax (M&O) portion of the property tax and a tax credit.
Freeport Exemptions
A freeport exemption is a property tax exemption. Freeport property includes various types of property that are
detained in Texas for a short period of time (175 days or less) to be transported out of Texas. The goods must be in
Texas for certain purposes.
Pollution Control Equipment Incentive
A Texas constitutional amendment providing an exemption from property taxation for pollution control was approved
in 1993. The intent was to ensure that compliance with environmental mandates, through capital investments, did
not result in an increase in a facility’s property taxes.
Renewable Energy Incentives
Various tax exemptions, franchise tax exemptions, and franchise tax deductions are available for renewable energy
equipment and systems. Renewable energy encompasses solar, wind, ethanol, and biodiesel energy.
Defense Economic Readjustment Zone Program
The Defense Economic Readjustment Zone Program (DERZ) was established to stimulate business recruitment
and job creation in adversely impacted defense-dependent communities. DERZ can provide assistance to Texas
communities, businesses, and workers impacted by, or vulnerable to, the closure or realignment of military
installations and the reduction of federal defense contracting expenditures.

8. 8 Bexar County, Texas
Incentives cont’d »
Select Texas Enterprise Fund (TEF) Projects
Company Location Industry
Direct
Jobs
Capital
Investment TEF Award
Est. Total
Jobs
Year
Announced
Rackspace Windcrest Web Hosting 4,000 $111,380,000 $22,000,000 10,360 2007
Apple Austin
Computer
Hardware/Software 3,635 $304,000,000 $21,000,000 10,685 2012
Triumph
Aerostructures
(formerly Vought) Dallas Aerospace Mfg. 3,000 $598,000,000 $35,000,000 29,377 2004
Caterpillar Seguin
Engine/
Machinery Mfg. 1,714 $176,800,000 $8,500,000 3,178 2008
T-Mobile Frisco
Wireless
Communications 855 $20,700,000 $2,150,000 2,062 2006
Santana Textiles Edinburg Textile Mfg. 800 $171,000,000 $1,650,000 1,232 2008
Visa Austin Financial Services 794 $27,240,000 $7,900,000 2,835 2012
GE Transportation Fort Worth Locomotive Mfg. 775 $96,000,000 $4,200,000 2,978 2011
Klein Tools Mansfield Hand Tool Mfg. 585 $18,000,000 $2,800,000 1,589 2010
Lockheed Martin Houston Aerospace Mfg. 550 $58,000,000 $5,480,000 2,043 2004
Continental
Automotive Seguin
Automotive
Parts Mfg. 300 $113,000,000 $1,200,000 522 2012
Becton, Dickinson
& Co. San Antonio Medical Devices 296 $6,350,000 $1,560,000 570 2010
Caterpillar Victoria
Construction
Machinery Mfg 238 $122,725,000 $1,175,000 1,943 2010
Layne Christensen
Co.
The
Woodlands
Heavy Construction
HQ 210 $10,350,000 $1,300,000 847 2012
Pactiv Corsicana
Plastic
Product Mfg. 200 $58,000,000 $930,000 515 2012
JTEKT Ennis Automotive Parts 200 $30,000,000 $333,000 562 2004
Jyoti Americas Conroe
Electrical
Transmission Equip 157 $27,610,250 $865,000 419 2010
Dow Chemical Freeport Chemical Mfg. 150 $1,700,000,000 $1,000,000 631 2012
CK Technologies Brownsville
Truck
Component Mfg. 121 $18,200,000 $425,000 156 2010
Source: State of Texas, Office of the Governor, Rick Perry.

9. 9Bexar County, Texas
Tax Environment »
Zero Corporate or Individual Income Tax
With no corporate income tax and no individual income tax, Texas has
one of the lowest tax burdens in the country and ranks as a Top 10 Best
State in the Tax Foundation’s 2012 State Business Tax Index.
Franchise Tax
In 2008, Texas replaced its franchise tax with a margins tax in order to
establish a broader, fairer tax assessed at a lower rate. The goal of the
reformed tax was to provide a level playing field for all businesses, to
have a broad base that includes all business entities that receive liability
protection from the state, to be competitive with other states to maintain
Texas’ reputation for having one of the best business climates in America,
and to reflect the realities of a rapidly evolving economy. The reformed
margins tax lowered the primary franchise tax rate from 4.5% to a tax of
1% on gross receipts less compensation or cost of goods sold.
Property Tax
Texas has no property tax at the state level. Local governments and
special taxing districts levy taxes on real and tangible personal property.
All property is appraised at full market value and is assessed on 100% of
appraised value. The total tax rate is the sum of all taxing units including
cities, counties, schools and special districts.
Local governments have the option to exempt goods in transit, or
“freeport goods”, from ad valorem taxation. Freeport goods are
inventories acquired or brought into the state by businesses and held
for no more than 175 days before being shipped out of the state. Local
governments can offer to businesses an abatement of local ad valorem
taxes on real and personal property for up to ten years.
Sales & Use Tax
The state levies a sales and use tax of 6.25% on sales of tangible personal
property and certain services. Additionally, cities, counties, and transit
authorities may add to the rate for a combined state and local rate
of 8.25%.
Sales and use tax exemptions are offered on machinery and equipment
used in the manufacturing process and on natural gas and electricity when
sold to commercial businesses that are “predominately” manufacturing.
Sales and use tax exemptions may also be available to qualifying
businesses in Enterprise Zones.

10. 10 Bexar County, Texas
Tax Environment »
Tax Climate by Select State Comparisons (2013)
State Individual Income Tax Corporate Income Tax Sales Tax
Texas
(TX)
0% 0% 6.25%
Alabama
(AL)
5%
top rate
6.5%
flat rate
4%
Georgia
(GA)
6%
top rate
6%
flat rate
4%
Mississippi
(MS)
5%
3 brackets
5%
3 brackets
7%
Sales and excise taxes
Tennessee
(TN)
6%
flat rate
6.5%
flat rate
7%
Source: Tax Foundation.
State Business Tax Climate Index Comparisons, 2011 – 2013
2013 2012 2011
Change from
2012 to 2013
State Rank Score Rank Score Rank Score Rank Score
TX 9 6.09 9 6.09 9 6.12 0 0.00
AL 21 5.26 20 5.24 21 5.28 -1 +0.02
GA 34 4.86 34 4.92 35 4.83 0 -0.06
MS 17 5.37 17 5.39 18 5.39 0 -0.02
TN 15 5.67 13 5.69 13 5.72 -2 -0.02
Note: A rank of 1 is more favorable for business than a rank of 50. A score of 10 is more favorable for business than a score of 0. All scores are for fiscal years. D.C. score
and rank do not affect other states.
Source: Tax Foundation.

11. 11Bexar County, Texas
Strategic Region:
Texas-Mexico Automotive SuperCluster »
Texas-Mexico Automotive SuperCluster (TMASC) Region:
» Bi-national U.S. - Mexico manufacturing region
» States: Texas, Coahuila, Nuevo León, San Luis Potosí, Tamaulipas
» 8 automotive assembly and parts plants
» 7 commercial and military vehicle plants
» 10 heavy equipment manufacturers
» 3 specialty vehicle plants
» Over 230 OEM supplier plants
» Formula One Circuit of The Americas

12. 12 Bexar County, Texas
The TMASC Region is home to eight automotive assembly plants and parts plants. These plants employ over 17,000
workers and have a production capacity of over 800,000 units. In addition, there are seven commercial and military
vehicle manufacturing plants. Heavy equipment manufacturers in the region include Caterpillar, John Deere, Kalmar
RT, and Manitou, which together have ten plants in the region. There are also three specialty vehicle manufacturers.
Skyline manufactures recreational vehicles, Supreme Corp manufactures van bodies and armored vehicles, and
Frazer Bilt manufactures emergency response vehicles. The majority of the plants are clustered along the NAFTA
Highway, which consists of I-35 in Texas and MX-85 and MX-57 in Mexico.
Company Category Product City, State, Country
Chrysler Automotive Parts Engines Ramos Arizpe, COAH, MEX
Chrysler Automotive Light Trucks Saltillo, COAH, MEX
Chrysler Automotive Stamping Saltillo, COAH, MEX
GM Automotive Light Trucks Arlington, TX, U.S.
GM Automotive Stamping Arlington, TX, U.S.
GM Automotive Cars, Light Trucks, Engines, Transmissions Ramos Arizpe, COAH, MEX
GM Automotive Cars, Transmissions San Luis Potosí, SLP, MEX
Toyota Automotive Light Trucks San Antonio, TX, U.S.
BAE Systems Commercial and Military Vehicle N/A Sealy, TX, U.S.
Capacity of Texas Commercial and Military Vehicle Industrial Trucks and Trailers Longview, TX, U.S.
Daimler - Freightliner Commercial and Military Vehicle Class 8 Trucks Saltillo, COAH, MEX
Marcopolo Commercial and Military Vehicle Buses Monterrey, NL, MEX
Navistar - International Commercial and Military Vehicle Class 6-8 Trucks Escobedo, NL, MEX
Peterbilt Commercial and Military Vehicle Class 6-8 Trucks Denton, TX, U.S.
Caterpillar Heavy Equipment Parts Engine Heads Schertz, TX, U.S.
Caterpillar Heavy Equipment Parts Engines Seguin, TX, U.S.
Caterpillar Heavy Equipment Parts Excavator Buckets Waco, TX, U.S.
Caterpillar Heavy Equipment Hydraulic Excavators Victoria, TX, U.S.
Caterpillar Heavy Equipment Excavator cabins, Components Ciénega de Flores, NL, MEX
Caterpillar Heavy Equipment Mining Trucks Ciudad Acuña, COAH, MEX
John Deere Heavy Equipment Agricultural Machinery, Tractors Garza Garcia, NL, MEX
John Deere Heavy Equipment Agricultural Machinery, Tractors Saltillo, COAH, MEX
John Deere Heavy Equipment Lawn Mowers, Agricultural Equipment Ramos Arizpe, COAH, MEX
Kalmar Heavy Equipment
Rough terrain material
handling vehicles
Cibolo, TX, U.S.
Manitou North America Heavy Equipment Forklifts Waco, TX, U.S.
Frazer Bilt Specialty Vehicles Emergency Response Vehicles Houston, TX, U.S.
Skyline Specialty Vehicles Motor Homes, Trailers Mansfield, TX, U.S.
Supreme Corp Specialty Vehicles Van Bodies, Armored Vehicles Cleburne, TX, U.S.
Source: ELM Analytics, TIP Strategies research.
State abbreviations: Texas (TX), Coahuila (COAH), Nuevo León (NL), San Luis Potosí (SLP), Tamaulipas (TAMPS)
TMASC is the Capital for Truck, SUV, and
Heavy Equipment Manufacturing »

13. 13Bexar County, Texas
TMASC Supplier Density »
According to ELM Analytics, the TMASC Region has more
than 230 OEM suppliers that employ over 130,000 workers.
Strong clusters of suppliers have developed in the Dallas-Fort Worth area, in
the Monterrey-Saltillo Corridor, and straddling the border in the Lower Rio
Grande Valley. Most of the top global OEM parts suppliers are located in the
TMASC Region. Of the top 15 global suppliers, 12 have a significant presence
in the region.
TMASC’s OEM supplier base is robust. In terms of employment, it is comparable
to that of Michigan’s. Coahuila and Tamaulipas each rank in the Top Ten
Supplier States in North America. Nuevo León ranks 16th
and Texas 24th
. In
terms of the number of supplier plants, only Michigan, Ohio, and Ontario have
more supplier plants than the TMASC Region.
Suppliers within 400 miles of the
TMASC’s NAFTA Highway
TMASC has a robust supplier network
located within the region and is in close
proximity to other large supplier clusters.
From TMASC, an assembly plant can
access supplier networks in Oklahoma,
Arkansas, Louisiana, Puebla, Mexico, and
Guanajuato within 400 miles.
According to ELM Analytics, the TMASC
Region has more than 230 OEM suppliers
that employ over 130,000 workers. Most
of the top global OEM parts suppliers are
located in the TMASC Region.
Top Global Suppliers
in TMASC
Aisin (JP)
Bosch (DE)
Continental (DE)
Delphi (USA)
Denso (JP)
Faurecia (FR)
Johnson Controls (USA)
Lear Corporation (USA)
Magna (CAN)
TRW (USA)
Yazaki (JP)
ZF (DE)
Source: ELM Analytics.

14. 14 Bexar County, Texas
TMASC Supplier Density cont’d »
TMASC Supplier Count
State within TMASC Region # of Suppliers Employment
Coahuila, Mexico (COAH) 58 44,013
Nuevo León, Mexico (NL) 46 26,003
San Luis Potosí, Mexico (SLP) 19 5,899
Tamaulipas, Mexico (TAMPS) 52 44,632
Texas, U.S. (TX) 55 13,694
TMASC TOTAL 230 134,241
Source: ELM Analytics, TIP Strategies research (2011).
Supplier plants located within TMASC
are generally larger than traditional U.S.
automotive manufacturing states.
Average employment per plant in the TMASC
region is 584 workers per plant. For comparison,
the average employment per plant in Michigan is
163 and in all of North America is 307.
Industry Snapshot:
Texas Successfully Supports a Global Assembly Plant with On-site Suppliers
Toyota Motor Manufacturing, Texas, Inc. (TMMTX), established in 2006, was the first OEM in North America
to co-locate suppliers on the same campus with its assembly plant for the Tundra full-size truck and Tacoma
pick-up truck. TMMTX is located on 2,000 acres of flat land just south of downtown San Antonio. The
assembly plant includes state-of-the-art stamping, welding, paint, and plastics facilities.
Integrated into the main plant are 21 individual and parts suppliers who separately produce/assemble on 1.8
million square feet. On-site suppliers expand total on-site team members by an additional 2,100 workers.
TMMTX took a unique approach to on-site supplier selection by leveraging the opportunity to increase its
minority-owned supplier base. Of the 21 on-site suppliers, seven are minority owned and six are new joint
ventures between well established U.S./Japanese suppliers and San Antonio businesses.
Key benefits generated by TMMTX on-site suppliers:
• Reduced shipping and logistics costs
• Lowered supply chain disruptions and risks for just-in-time production
• Immediately strengthened communication for modifications and production adjustments
• Increased percentage of locally sourced parts and components
• Expanded U.S. minority supplier base
• Created local brand recognition in the U.S. market
• Strengthened leadership in workforce diversity and inclusion initiatives

15. 15Bexar County, Texas
Number of OEM TIER 1 Supplier Plants by State: Cars & Light Trucks
OEM
Coahuila
(COAH)
Nuevo León
(NL)
San Luis Potosí
(SLP)
Tamaulipas
(TAMPS)
Texas
(TX)
Audi 0 1 0 1 0
BMW 3 2 1 5 1
Chrysler 29 23 12 23 23
Fiat 0 1 0 0 0
Ford 31 28 13 29 25
GM 39 23 16 39 23
Honda 2 5 0 6 11
Hyundai 1 0 0 0 0
Jaguar 0 1 0 2 1
Land Rover 0 0 0 0 1
Mazda 0 1 0 2 1
Mercedes-Benz 4 6 4 5 0
Mitsubishi 1 2 0 5 5
Nissan 12 14 12 13 2
Porsche 0 0 0 1 0
Renault 5 3 2 1 0
Subaru 3 0 0 4 2
Toyota 8 7 0 9 11
Volkswagen 15 10 9 7 1
Volvo 1 1 1 0 3
Source: ELM Analytics, TIP Strategies research (2011).
Largest Supplier Plants by Employment
Parent Assembly Plant City State Employment
Alcoa Arneses y Accessorios de Mexico Ciudad Acuña COAH 9,300
Delphi Delnosa (Plants I – V) Reynosa TAMPS 6,600
Cifunsa Cifunsa (Plants I – IV) Saltillo COAH 5,813
Delphi Deltronicos de Matamoros Matamoros TAMPS 5,200
Texas Instruments Texas Instruments Sherman TX 3,600
AEES Manufacturera de Componentes Electricos de Mexico Piedras Negras COAH 3,500
Nemak Nemak (Plants I – IV) Garza Garcia NL 3,300
Trico Trico Componentes Matamoros TAMPS 3,200
Takata Falcomex Ciudad Acuña COAH 2,500
TRW TRW Vehicle Safety Systems de Mexico Reynosa TAMPS 2,400
Source: ELM Analytics, TIP Strategies research (2011).

16. 16 Bexar County, Texas
TMASC is the
North American Epicenter of Trade »
The TMASC region facilitates robust intra-industry trade between the U.S., particularly between Texas and Mexico.
Texas has the longest border with Mexico of any U.S. state that is dotted with suppliers, final assemblers, and
logistics providers on both sides. It is common for engine blocks to cross the border, return as engines, and cross
once more as assembled autos.
Intra-industry trade solidifies Texas’ ranking as the third state for transportation equipment exports - valued at over
$25.2 billion - with Mexico and Canada as the top two destinations, respectively. Underlying cross-border activity is
NAFTA’s rule of origin which provides duty-free entry for goods with 62.5% American, Mexican, or Canadian content.
Further facilitating trade is key infrastructure within TMASC. Automakers located in Texas access the largest U.S. rail
and road infrastructure, and the most U.S. ports of entry to ensure assembly plants have uninterrupted access to the
world for in-bound and out-bound logistics.
Texas assemblers like GM, Toyota, Caterpillar, and Peterbilt, export their products by leveraging U.S. (19) and Mexico
free trade agreements to enter foreign markets. As a result, Texas’ consistent ranking as the top exporting U.S.
state for the 11th
consecutive year in 2012 with over $251 billion (USD) of goods further illustrates the region’s global
manufacturing environment.
TMASC Region Preferential Trade Partners
Texas assembly plants operate at the epicenter of international trade within the North American
Free Trade Agreement (NAFTA) corridor.

17. 17Bexar County, Texas
Competitive Manufacturing
Bolstered by Robust Infrastructure »
Border Crossings
The TMASC Region includes 12 border crossings.
Five of these crossings rank in the top 20 busiest
U.S. border crossings for truck traffic. Four of
these crossings – Brownsville, El Paso, Laredo,
and McAllen – each see over seven million
vehicles, trucks, and rail cars transit bi-nationally
each year.
Laredo, with four vehicle bridges and one rail
bridge, has the most cross-border traffic in the
region. Laredo is also the most active crossing
for commercial trucks, with 1.6 million crossing
in 2010. McAllen, El Paso, and Pharr are very
active crossings for commercial trucks as well.
Multi-Modal Facilities & Inland Ports
A wide range of multimodal facilities are
available in the TMASC Region. Air-to-truck
connections are available at many airports
including the Alliance in Fort Worth, Amarillo,
Austin, Brownsville, Dallas - Fort Worth, El Paso,
Houston Intercontinental, Laredo, Lubbock,
and San Antonio.
In addition, ports throughout TMASC have truck-port-rail connections, including Port Arthur, Houston, Galveston,
Port Lavaca, and Brownsville. Railroads have installed intermodal facilities around TMASC in areas with advantages
for logistics and warehousing.
BNSF has five intermodal facilities in Texas: Amarillo, El Paso, Fort Worth, Houston, and the Port of Houston.
Kansas City Southern has seven intermodal facilities in the TMASC region: Dallas, Laredo, and Rosenberg in Texas, and
Altamira, Ramos Arizpe, Saltillo, and San Luis Potosi in Mexico.
Union Pacific railroad has six intermodal facilities in Texas: Dallas, Donna, El Paso, Houston, Laredo, and San Antonio.
2010 North & Southbound Crossings by Truck
Source: Texas A&M International University.
Note: Truck information includes only 2 to 6 Axle Loaded and Unloaded Commercial Vehicles.

18. 18 Bexar County, Texas
Competitive Manufacturing
Bolstered by Robust Infrastructure cont’d »
TMASC Class I Railroad
Source: U.S. Department of Transportation, INEGI.
Rail Infrastructure
The TMASC Region is serviced by five Class I railroads –
Kansas City Southern de Mexico, Ferrocarril Mexicano,
BNSF, Kansas City Southern, and Union Pacific. Together,
the Class I railroads operate 23,199 kilometers of track.
Another 4,345 kilometers of rail operated by local,
switching, and terminal railroads complement the
regional rail system. This rail system connects directly
to the Mexican ports of Manzanillo and Lazaro Cardenas,
which handle most of the country’s automobile trade.
Kansas City Southern is building a line between Monterrey
and Nuevo Laredo by installing 43 track kilometers with
new 136-pound rail and 75,000 concrete ties; replacing
56,000 ties between Colorado and Lazaro Cardenas to
support 136-pound rail; installing more than 312,000 ties
and a total of 111 kilometers of both 115 and 136 pound rail
on routes.
TMASC Class I Railroad
in Kilometers
Total
Class I
Kansas City
Southern de
Mexico
Ferrocarril
Mexicano
Kansas City
Southern
Railway
BNSF
Railway
Union Pacific
Railroad
Total Railroad
(Including
Class I)
Texas 19,483 0 0 1,318 7,968 10,197 23,112
Coahuila 1,230 169 1,061 0 0 0 2,218
Nuevo León 805 544 261 0 0 0 192
San Luis Potosí 998 982 16 0 0 0 1,234
Tamaulipas 684 296 476 0 0 0 937
Source: Association of American Railroads, Secretaría de Comunicaciones y Transportes.

19. 19Bexar County, Texas
Sea Port Infrastructure
The TMASC Region has 19 ports along the Gulf of Mexico.
Houston is the largest and Beaumont is the second largest in
terms of cargo tonnage. In terms of container traffic, Houston
and Altamira are the two largest in the region.
The Port of Houston is the 13th
largest port in the world,
recording almost 215 million metric tons of cargo in 2011. Its
top import containerized trading partners in March 2013 were:
Brazil, Belgium, Netherlands, China, Colombia. Houston’s top
export containerized trading partners were: China, Germany,
Brazil, Italy, and India.
The eighth largest port in the U.S. by total tonnage is the Port
of Corpus Christi that offers 125 acres of open storage and
fabrication sites, 27,453 square meters of covered dockside
storage, and a 14-meter-deep channel. Its top import
containerized trading partners in March 2013: Saudi Arabia,
Venezuela, Denmark, China, and Brazil. Corpus Christi’s top
export containerized trading partners were: Nigeria, Mexico,
Morocco, Angola, and Vietnam.
Though the ports of the TMASC Gulf Coast Region already see a considerable amount of traffic, the Panama Canal
expansion will likely increase traffic through these Gulf Coast ports. The new parallel canal, that opens in 2015, will
accommodate much larger ships that can carry up to 160% more 40-foot containers. Several other market factors
will likely push more traffic toward the Gulf ports:
• Increasing regulation, congestion, and costs to operate in California,
• Better access to population centers in the US South and Midwest, and
• Growth in trade with Brazil and other Latin American countries.
Competitive Manufacturing
Bolstered by Robust Infrastructure cont’d »
U.S. Waterborne Foreign Trade 2012 by Rank
Select U.S. Customs Districts by Volume of Cargo (Metric Tons, 000s)
Exports Imports Total Trade
Rank Tons Rank Tons Rank Tons
Houston-Galveston, TX 2 100,318 1 147,019 2 247,337
Savannah, GA 11 17,724 10 15,194 13 32,919
Port Arthur, TX 12 16,978 5 47,190 6 64,168
Source: U.S. Census Bureau, U.S. Merchandise Trade, Selected Highlights (Report FT 920).
TMASC Ports
Source: American Association of Port Authorities, Secretaría de Comunicaciones
y Transportes.

20. 20 Bexar County, Texas
Shorter Time to Market
For Large Consumer Regions »
The region’s proximity to major population centers in North America from Texas consistently ranks as one of the top
reasons for site selection location within TMASC. The 300-, 600-, and 900-mile radii represent markets that can be
reached within a half-day, one day, and one-and-a-half day drive.
Approximately 36 million people in 11 million households live within a half-day drive of central Texas, 62 million
people in 20 million households live within a one-day drive, and 176 million people in 52 households live within a
one-and-a-half drive. This ring analysis also shows that the region’s reach extends to power markets in Mexico like
Monterrey, San Luis Potosi, and Mexico City and in the U.S. like Houston, Atlanta, St. Louis, Denver, Phoenix, and
other mid-Western markets.
Ring
Population
(in Millions)
% U.S. & Mexico
Population
Households
(in Millions)
% U.S. & Mexico
Households
300-mi/483-km 36 9% 11 8%
600-mi/966-km 62 15% 20 14%
900-mi/1,448-km 176 42% 52 37%

21. 21Bexar County, Texas
Increase Market Share
Among the Hispanic Demographic »
Hispanics are key for any automaker’s future success in the U.S. market.
The Hispanic market has unique cultural and economic ties to the TMASC region - once a territory of New Spain.
TMASC is a majority-minority region with large populations of Hispanics who are expected to wield $1.5 trillion in
purchasing power by 2015, according to Nielsen America. The Hispanic market’s astounding growth is fueled by
50,000 Hispanics turning 18 years of age each month for the next two decades.
A presence in the region provides first-hand knowledge into cultural characteristics and consumer behavior, along
with key insights for marketing and advertising efforts that further propel major brand recognition among Hispanics
in North America.
U.S. Hispanic Population
2000 2010
Change in Hispanic
Population 2000-2010
Total
Population
Total Hispanic
Population
Hispanic
- Percent
of Total
Population
Total
Population
Total Hispanic
Population
Hispanic
- Percent
of Total
Population Number Percent
U.S. 281,421,906 35,305,818 13% 308,745,538 50,477,594 16% 15,171,776 43%
TX 20,851,820 6,669,666 32% 25,145,561 9,460,921 38% 2,791,255 42%
AL 4,447,100 75,830 2% 4,779,736 185,602 4% 109,772 145%
GA 8,186,453 435,227 5% 9,687,653 853,689 9% 418,462 96%
MS 2,844,658 39,569 1% 2,967,297 81,481 3% 41,912 106%
TN 5,689,283 123,838 2% 6,346,105 290,059 5% 166,221 134%
Source: U.S. Census Bureau.

22. 22 Bexar County, Texas
By 2016, Hispanics will contribute roughly $14 billion
to the Car and Automobile Manufacturing industry,
representing annualized growth of 7% from 2011.
The Hispanic population increased by 15 million between
2000 and 2010, accounting for over half of the 27 million
increase in the total population of the U.S.
Source: IBISWorld Inc.
Source: U.S. Census Bureau.

23. 23Bexar County, Texas
Texas SUV Registrations vs Select States (2011)
State Total Sport Utilities Registrations Percentage of U.S. Registrations
USA 17,202,408 100.00%
TX 982,043 5.71%
AL 243,332 1.41%
GA 505,413 2.94%
MS 83,299 0.48%
TN 308,143 1.79%
Source: U.S. Department of Transportation Federal Highway Administration Office of Highway Policy Information.
*Sport Utilities as defined by the U.S. Department of Transportation
Texas Automotive Market »
It’s no coincidence that GM and Toyota both build SUVs and trucks in Texas - one of the top markets for large vehicles.
In 2011, national comparisons ranked Texas number two for pick-up truck and number three for SUV registrations.
TMASC Large Vehicle Production by Assembly Plant, December and YTD
Brand/Location Vehicle
Dec.
2012
Dec.
2011
Dec. %
Change
12 mos.
2012
12 mos.
2011
12 mos. %
change
Chrysler
Saltillo, Coah., MEX
Ram Hvy-Duty 11,893 7,952 50% 165,802 119,905 38%
Ram Lt-Duty 1,796 2,627 -32% 28,334 21,713 31%
General Motors
Arlington, TX, U.S.
Cadillac Escalade 1,058 1,038 2% 16,473 17,085 -4%
Cadillac Escalade ESV 480 489 -2% 9,275 7,769 19%
Chevrolet Suburban 3,348 2,985 12% 59,823 58,185 3%
Chevrolet Tahoe 7,381 4,748 56% 108,307 100,134 8%
GMC Yukon 3,976 2,663 49% 48,435 50,091 -3%
GMC Yukon XL 2,032 1,672 22% 33,445 34,965 -4%
General Motors
Ramos Arizpe, Coah., MEX
Cadillac SRX (T) 4,685 5,664 -17% 90,177 85,465 6%
Chevrolet Captiva Sport (T) 2,994 4,051 -26% 57,118 42,798 34%
General Motors
San Luis Potosi, SLP. MEX Chevrolet Trax (T) 4,518 0 – 11,378 0 –
Toyota
San Antonio, TX, U.S.
Tacoma 6,978 7,237 -4% 109,616 65,122 68%
Tundra 6,423 8,849 -27% 109,582 83,895 31%
Source: AutoNews.

24. 24 Bexar County, Texas
Strategic Workforce Advantages »
With over 12.6 million workers, Texas has the nation’s
second largest civilian labor force, providing businesses
an extensive pool of candidates from a variety of diverse
backgrounds for highly-educated and skilled hires.
In Texas, over 800,000 workers, or about 6% of the civilian labor
force, are employed by the manufacturing sector in a right-to-work
environment. The average weekly wage of Texas workers in the
vehicle and vehicle parts manufacturing sector is 8% to 14% less than
the national average.
Regionally, the population in TMASC is young relative to the rest
of North America and other vehicle producing nations. In 2010, the
median age in Texas was 33.6 years and in Mexico was 26.6. These
median ages were well below those of the U.S., Japan, Canada, and
China. In the U.S. overall, the median age was 37.2 years of age.
Over the next 20 years, Texas’ population is expected to age only
slightly. During that same period, the population of Japan, China,
Brazil, Mexico and India are all expected to age quite rapidly, each
with a gain in median age of over 6 years.
In comparison to other vehicle producing states, Texas and Mexico
had younger populations in 2010 than every other state. By 2030,
the TMASC Region will have a younger population than every other
vehicle producing state except Georgia. South Carolina, Mississippi,
Alabama, New Jersey, Michigan, Ohio, and Kentucky are all expected
to have median ages of 40 or over.
The implications of this are significant. An aging population will
affect the availability of labor (as well as costs associated with
employer-provided healthcare). By comparison, the TMASC Region
provides advantages in both of these areas.
Comparative Median Age
Nation or
U.S. State 2010 2030 Change
Japan 44.7 51.4 +6.7
Germany 44.3 48.8 +4.5
MS 36.0 41.1 +5.1
AL 37.9 41.0 +3.1
US 37.2 38.7 +1.5
TN 38.0 38.3 +0.3
Brazil 29.1 37.4 +8.3
Mexico 26.6 36.2 +9.6
GA 35.3 35.6 +0.3
TX 33.6 34.6 +1.0
Source: Population Division of the Department of Economic
and Social Affairs of the UN Secretariat, World Population
Prospects. The 2010 Revision (Mexico and Canada reflect
2010 and 2030 estimates); U.S. Census American FactFinder;
Statistics Canada; CIA World Fact Book.

25. 25Bexar County, Texas
Automotive Manufacturing Employment in Texas
2012 Third Quarter
Sector (Industry code) Employees Firms Average Annual Wage
Motor Vehicle Manufacturing (3361) 8,707 26 $68,068
Motor Vehicle Body & Trailer Manufacturing (3362) 7,831 165 $40,820
Motor Vehicle Parts Manufacturing (3363) 17,280 285 $46,176
TOTAL 33,818 476 $50,572
Source: Texas Workforce Commission.
Strategic Workforce Advantages cont’d »
Top Automotive Manufacturing Employers in Texas - 2012
Rank Company Texas Operations Product Employees
1 General Motors
Assembly, Metal Stamping,
IT Innovation Center
Full-sized SUVs 3,500
2 Toyota Assembly Full-size truck and pick-up 2,900
3 Peterbilt Motors Assembly Heavy duty trucks 2,215
4 Continental Automotive Systems Parts Manufacturing Automotive electronics 1,290
5 Caterpillar Engine Assembly Engines, components 1,120
Source: Texas Workforce Commission.

26. 26 Bexar County, Texas
Strategic Workforce Advantages cont’d »
Workforce Program Examples
Houston Community College - Manufacturing Engineering Technology Program
Houston, TX
The Manufacturing Engineering Technology program is designed to develop competent support technicians for employment in the field
of manufacturing engineering and related occupations. The curricula are designed to provide broad-based education with opportunity
for specific employment and personal interest goals.
The shop has more than forty pieces of manual equipment (such as turning and milling machines), computerized numerical controls
(CNC), six robotic arms, a computer integrated manufacturing (CIM) cell, hydraulic and pneumatic trainers, and personal computers with
up-to-date training materials.
South Texas College - Rio South Texas Manufacturing College Alliance
McAllen, TX
South Texas College serves as the lead agency in the Rio South Texas Manufacturing College Alliance and the North American Advanced
Manufacturing Research Education Initiative. It is charged with leading the implementation of a regional skills credentialing customized
training system in the region focused on advanced Manufacturing skills. A few of the programs included in this effort are: tool and die,
industrial maintenance, precision manufacturing, plastics, leadership and supervisory training.
Toyota Advanced Manufacturing Technician (AMT) Program
San Antonio, TX
The Toyota AMT program partners with Alamo Colleges to offer a two-year associates degree whose goal is to produce the world class
technicians to fill the gap in manufacturing. Specific program details include:
• Two-year associates degree
• Real-world experience integrated into AMT program
• Technical workers bypass several years of on-the-job training
• Graduating students ready to fill advanced positions in manufacturing
• Students work at Toyota Motor Manufacturing, Texas, three days a week acquiring experience
• Toyota provides students an average of $30,000 compensation over the two-year program
• One more “additional pathway” for young adults who graduate from high school

27. 27Bexar County, Texas
Diverse Energy Portfolio for
Sustainable Manufacturing »
“Industry accounts for 50 percent of all energy used in Texas, compared
to a 32 percent share for the U.S. as a whole. Much of Texas’ energy
consumption, then, fuels industries producing products used across
the U.S. and around the world.” - Susan Combs, Texas Comptroller
Diversifying the energy mix of Texas’ electricity market is a state-
wide priority, helping to lower electricity prices. According to the U.S.
Department of Energy, Texas’ electric power industry generated 48.35
million megawatt hours (MWh), 12 percent of the nation’s capacity from
August 2010 to August 2011. Texas relies on a variety of fuel sources
to meet the growing demand for electricity, including 55 percent from
natural gas, 33 percent from coal, 7 percent from nuclear, 1 percent from
hydroelectric , and 4 percent from other renewables.
Independent Power Grid
Texas is the only state with its own power grid, making it completely
independent from other national networks, where one state’s
decisions may affect electricity markets in all other states. The Texas
grid is not subject to federal regulation over electrical transmission,
which expedites the regulatory process for new energy development.
Companies benefit from Texas’ electricity production that generates
approximately 11 percent of the nation’s capacity.
Renewable Sources for Sustainable Manufacturing
If Texas were a nation, it would rank #6 for installed wind capacity
behind only China, the rest of the U.S., Germany, Spain, and India.
Texas leads the U.S. in installed wind energy capacity (10,394 MW as of
January 2012).
The Lone Star State is home to six of the ten largest wind power projects
in the nation and two of the three largest wind farms in the western
hemisphere, Roscoe Wind Farm and Horse Hollow Wind Farm. By 2014,
Texas will have new transmission capacity to integrate over 18,500 MW
of wind energy onto its grid.
TEXAS NET ENERGY
GENERATION IN
MILLION Mwh
Texas’ industrial and
commercial electric energy
costs an average of 12
percent less (per kWh) than
the rest of the U.S.
U.S. Energy Information
Administration
Natural Gas
Coal
Nuclear
Other Renewables
Hydroelectric
*August 2010 - August 2011
15.72
26.57
3.590.46
2.06

28. 28 Bexar County, Texas
Texas is the only state with its own power grid,
making it free from federal regulation over
electrical transmission and expediting the
regulatory process for new energy development.
Texas municipally-owned utilities are leading
the industry in developing renewable sources by
launching initiatives like CPS Energy’s 400MW
solar project in 2012.

29. 29 Bexar County, Texas
Notes »

30. 30Bexar County, Texas
Notes »

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32. Hon. Kevin Wolff, County Commissioner
County of Bexar, Texas • 101 W. Nueva St., 10th Floor • San Antonio, Texas 78205
Office: (210) 335-2613 • www.bexar.org