Punching above its weight: SC’s $38 B trade engine

 

From vehicle manufacturing to workforce training to global partners, a lot of elements are leading South Carolina trade along a strong path, lifting the state above national averages.

South Carolina ranked as the No. 17 largest exporter of goods in 2024, collecting $38 billion in economic impact, according to research from the Office of the U.S. Trade Representative.

Even as exports boom, the overall trade health for South Carolina and the country is facing some setbacks.

For economists such as Joey Von Nessen, research economist at the University of South Carolina, the theme of 2026 is “uncertainty.”

As tariffs shift, Von Nessen said businesses tend to go into a “wait-and-see mode,” unsure of following through with investments and hiring. The goods sector is seeing the primary slowdown, more so than the services sector.

South Carolina has seen a much milder slowdown in overall economic health than at the national level. Von Nessen said he expects the slight boost to be related to population growth, or as he refers to it, the “secret sauce.”

What is truly playing a role in the success of South Carolina trade?

South Carolina-made products now reach three times the number of export markets they did 20 years ago.

Regionally, state exports are affecting every corner of South Carolina; Charleston with $9.5 billion, Columbia with $2.2 billion, and Greenville, Anderson, Greer and Spartanburg with $17.7 billion. Of the total GDP, export revenue accounted for 11.6%.

In a state study on 2024 export sales, South Carolina’s top three export products were completed passenger vehicles, aircrafts and parts, and machinery and parts. Germany was the No. 1 export market for the state with nearly $5 billion, followed by Canada and Mexico.

According to the study, South Carolina exporters reached 197 countries and territories in 2024. For the 10th year in a row, the state was the top exporter of tires, representing almost 37% of the national market

Von Nessen said the Southeast is expected to see more population gains over the next decade than any other region of the country. That increase is what makes the global goods producers more attracted to the region.

“One of the main focuses should be on recognizing and addressing the high level of growth we are seeing in the state for business growth and economic growth, as well as population growth,” Von Nessen said. “One area where we see this is the need for infrastructure to keep up with the growing demand.”

South Carolina is active in both large and small local business communities, making sure success isn’t only defined by the Volvos and BMWs in the state, Von Nessen said. A total of 6,261 companies sent products abroad in 2023, and 84% of them were small- and medium-sized companies.

Von Nessen said the last five years have been very disruptive overall, between pandemic repercussions and new tariffs. Manufacturing and logistics were some of the most impacted industries, but Von Nessen said it doesn’t seem to undermine the state’s bullish long-term outlook.

All South Carolina logistics leaders come to the same conclusion for South Carolina’s trade success: transportation infrastructure. Being located on the coast with access to the Charleston Port, railways and highways.

Von Nessen said the workforce training programs in the state’s colleges and universities have been credited as one of the reasons companies are moving into the region. Employees in jobs supported by the exports of goods, which includes 112,000 jobs in the state, are estimated to make 18% above the national average.

Dorothy Weaver, director of marketing and communications for the South Carolina Chamber of Commerce, said components drawing businesses and employees to the region include a competitive tax and regulatory culture, strong workforce development and training programs, and a focus on economic development, which includes export assistance.

“Industry recruitment has fundamentally changed South Carolina’s economic structure, establishing the state as a hub for world-class, high-value manufacturing,” Weaver said. “This expanded the local supply base into globally competitive firms and created tens of thousands of skilled, high-paying jobs.”

The workforce behind the bustling, modern logistics hub

No matter the uncertainties each year, shipping and trucking are not going anywhere.

Taylor Jackson, president and CEO of Maritime Association of South Carolina, said tariffs do complicate the efficiency of trade from South Carolina, but at the end of the day, shipping isn’t going to stop. Even with increased production costs, squeezed margins and different delays, cars and tires still have to be made and exported.

“It’s kind of that quiet thing where you order something from Amazon and two days later it shows up,” Jackson said. “Not a lot of people really realize the work and the amount of people that are involved to make that seem so seamless,”

Jackson said that following the COVID-19 pandemic, a lot of The Maritime Association’s focus has been on education and workforce. For students going into the workforce, logistics provides a lot more travel, financial and flexible schedule opportunities than it did in the past.

“If you walk into a classroom of students and ask if they’ve heard of logistics, not that many raise their hand. But, if you ask if they’ve heard of Amazon, everyone’s hands go up,” Jackson said.

Jason Toombs, general manager of domestic transportation for BW Mitchum Trucking, said 100% of BW Mitchum’s outbound freight comes out of the Lowcountry with routes as far north as Pennsylvania, as far west as Texas and as far south as Florida.

The trucking company operates differently than most. Where most drivers are getting home after three to five weeks, BW Mitchum drivers are often home every two to three days.

BW Mitchum operates private terminals in Summerville, Mount Pleasant, Greer and Wilmington, N.C. Through three divisions — domestic, regional container and local container — about 140 drivers exclusively work with international trade.

Yet the demand for a trucking company like BW Mitchum relies heavily on rates for shipping and availability of drivers.

“It used to be, if you needed 10 drivers, you could advertise and in a couple days you would have 10 drivers. It’s not what it used to be,” Toombs said. “There’s so many trucking companies in the area. You’re competing with so many other people to get good, dependable employees.” The average salary in the maritime industry is higher than the average state salary.

Operating primarily out of the Lowcountry, Toombs said the region is set up for success for local companies such as theirs, even as global headquarters of others make their way into the region.

With population growth comes increased infrastructure projects. Toombs said those types of projects have definitely aided in the continued success of the long-standing trucking company.

“We see growth in the future. If everything falls in line with employees — and rates, of course — I think there is great opportunity for growth in the next five to 10 years, but it’s going to be a process.”

Jackson said she would like to see more innovation come into the maritime business to make the state a Southeast  hub, leaving behind a bit of the “old school” tendencies of the industry.

In the past year or two, Jackson said the maritime industry has gone back to its pre-pandemic operations.

“For a state our size, we definitely punch above our weight,” Jackson said.

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