In Arizona, we foster the most desirable corporate climate in the country…we engage in aggressive, global competition…and we win. And with peers such as Boeing, Raytheon, Honeywell, CAE, Avnet, Intel, Amazon, Banner, TGen, Roche, ebay, and more…you know you’ll be in good company in Arizona.
Arizona at a Glance
• 2.3 million
• 140,081 businesses
• 113,635 square miles
• 56.3 people/square mile
• Average age: 35.9 years
• Statewide: 6.4 million
• Statewide: $30,889
Arizona has reduced taxes or passed legislation favorable to business for 13 consecutive years with less burdensome government regulations. The state boasts a low cost of doing business and low total payroll cost, with the lowest workers’ compensation and unemployment insurance rates in the nation. Arizona’s overall state and local tax burden ranks 9th in the country, with 8.5 percent of per-capita income going to taxes, according to the Tax Foundation — that’s compared to a national average of 9.7 percent.
Arizona is a right to work state with competitive operating costs.
• Accelerated depreciation
• Lower personal property taxes on equipment and machinery
• Reduced commercial and industrial property taxes
• Corporate income tax rate to 4.9 percent
• 100 percent sales factor
Strategic Southwest Location
Arizona is strategically located in the southwest United States, within a oneday drive of 65 million people. Our state is surrounded by some of the world’s largest economies, including California (9th), Texas (13th), and Mexico (14th). We have two major interstates and five freeways into Los Angeles, Mexico, and east toward Texas; two transcontinental railroads; and 10 intrastate railroads that provide rail freight service. Arizona is also a six-hour drive to the Port of Los Angeles. Tucson, Arizona, is located 415 miles from Southern California, 64 miles from Mexico, and offers substantial freight handling and air service. Phoenix Sky Harbor International Airport is ranked 15th in the world for takeoffs and landings and serves more than 100 global destinations.
Educated Work Force
CNBC ranks Arizona number two for the quality and availability of its work force. Arizona has access to one of the largest concentrations of science and technology students and graduates in the country through its large public universities — Arizona State University, University of Arizona, and Northern Arizona University. In addition, Arizona offers an excellent network of junior colleges, specialty universities, and vocational schools and is home to major online learning institutions.
• Total colleges (community and university): 165+
• Four-year colleges: 35+
• Community colleges: 90+
Exceptional Quality of Life
From snow to sunny days, major sports teams to minor league baseball, Arizona’s quality of life is second to none.
• More sunny days than any other U.S. state
• Exceptional value in new and used homes; low property tax rates
• More than 400 public, private, and incomparable scenic golf courses
• Home to some of the most well-respected, recognizable healthcare facilities in the world
• Dozens of world-class resorts and spas, theatres, and entertainment
• All four major sports leagues, minor league baseball’s Cactus League, and Nascar
• More than 200 foreign companies have operations in Arizona
• Foreign direct investment (FDI) estimated at $10 billion
• 73,000 workers employed by foreign companies
Major trading partners include:
• Mexico (32.81% of exports, $5.71 billion)
• Canada (11.83%, $2.07 billion)
• China (5.74%, $1 billion)
• Japan (4.78%, $836 million)
• United Kingdom (4.51%, $789 million)
• Germany (4.4%, $770 million)
• Singapore (3.34%, $583 million)
• Thailand (3.16%, $553 million)
• Malaysia (2.85%, $500 million)
Arizona’s top five exports to the world:
• Electrical machinery ($5.4 billion, 30.9% of total) — semiconductors, electrical appliances, wiring/cables
• Machinery, nonelectric: ($2.1 billion, 12.1% of total) — gas turbines, computers and parts, office machine parts
• Aircraft and spacecraft ($2.05 billion, 11.8% of total) — civilian aircraft, engines, controls, other
• Ores, slag, and ash ($1 billion, 5.8% of total) — copper ore and molybdenum ore (used to fortify steel)
• Optics and medical instruments ($971 million, 5.6% of total) — orthopedics, medical instruments, optics machines
Arizona’s top five imports from around the world:
• Computer and electronic equipment ($4.3 billion, 24.7% of total) — processors and controllers, electronic integrated circuits
• Machinery, nonelectric: ($2.4 billion, 13.6% of total) — machines for manufacturing semiconductors, gas turbines
• Agricultural products ($2.18 billion, 12.4% of total) — tomatoes (fresh), pimenta fruits (fresh), grapes (fresh)
• Transportation equipment ($1.96 billion, 11.2% of total) — parts: insulated wiring sets for aircraft, refined copper cathodes, electrical plugs and sockets
• Electrical equipment ($1.34 billion, 7.7%) — photosensitive semiconductor devices, turbojet and propeller parts
The Arizona Commerce Authority spearheads the state’s efforts to attract new business and expand businesses already excelling in the state. It’s led by a group of the most formidable, visionary private and public-sector minds in Arizona, coupled with the most talented staff implementing the strategy. Engage with our experts today.
Senior Vice President, Business Attraction