Gov. Jeff Landry’s administration is launching a new strategy to convince foreign businesses to invest in Louisiana, scrapping a broad-based approach that tried to win business in nearly a dozen countries to instead focus on companies in Japan, Australia and parts of Europe.
Louisiana Economic Development Secretary Susan Bourgeois, who has led the changes, said in an interview last month that those markets are where there’s the most opportunity for growth in energy, aerospace, logistics and other sectors that were identified as areas deserving of special attention in LED’s economic development strategy adopted earlier this year.
LED, Bourgeois said, was focused on the “sectors that the plan said we had the best opportunity to win in” and the “countries or regions that have the most need for or opportunity in that space.”
The targeted approach, which was discussed Wednesday at the meeting of the Louisiana Board of International Commerce in Baton Rouge, is a departure from years past, when Louisiana contracted with consultants in China, Brazil, Austria, Taiwan and several other countries. LED terminated those contracts in October.
“It was really more of a spaghetti on the wall approach,” Bourgeois said of the past strategy. “That was a lot of places without a specific, ‘We’re here because of A, B and C.'”
Gregory Rusovich, chair of the Louisiana Board of International Commerce, in an interview ahead of Wednesday’s board meeting, said the markets selected are the “most likely to invest in Louisiana.”
LED is contracting with the World Trade Center of New Orleans to manage the new consultants once they’re hired. Louisiana has allocated $550,000 to the foreign marketing efforts.
Japan is already one of Louisiana’s top foreign investors, with companies like Shintech, the U.S. subsidiary of Japanese plastics giant Shin-Etsu Chemical Co. Ltd, operating manufacturing plants in Iberville and West Baton Rouge parishes.
Harrison Crabtree, executive director of the World Trade Center of New Orleans, said during the meeting that Japan was chosen for its leadership in energy, logistics, precision manufacturing and robotics.
In February, the Japanese chemical company UBE broke ground on a nearly $500 million plant that will make electric vehicle battery ingredients.
Because of the time zone difference, Japan is also a market “where having a physical presence is really important,” Crabtree said.
Masato Izumihara, President and Representative Director of UBE Corporation, center, participates in a traditional Kagami-wari sake ceremony during the groundbreaking ceremony of UBE C1 Chemicals America, Inc. (UCCA) at the Tchoupitoulas Plantation at Cedar Grove in Waggaman on Thursday, February 13, 2025. (Staff photo by Brett Duke, The Times-Picayune, NOLA.com)
STAFF PHOTO BY BRETT DUKE
Louisiana’s representative in Europe will work in Italy, Germany and France, with a focus on businesses in manufacturing and energy, Crabtree said.
BASF, the German chemical company, already operates three manufacturing sites in Louisiana, Rusovich noted.
In June, Landry led a delegation to the International Paris Air Show. Paige Carter, chief development officer at Louisiana Economic Development, said that trip resulted in around a dozen leads on potential investments.
Australia is investing heavily in “the future of energy,” and looking to the U.S to grow their companies, Crabtree said, adding that Louisiana is among the first states in the South to tap into that market.
There’s also opportunity for investments from Australian companies in the defense and aerospace sector, Crabtree said.
The consultants selected must agree not to represent any other U.S. states.
“We will be having a global presence that’s loyal to Louisiana and that’s focused on Louisiana,” Rusovich said.
Carter recalled a company calling her to say that one of Louisiana’s previous representatives had given them his Arkansas business card.
Louisiana’s new strategy doesn’t mean it will ignore the rest of the world, Crabtree said, pointing to an upcoming trade mission to Norway centered on maritime innovation.
“Wherever there’s an international lead, we’re going to pursue it,” he said.
AloJapan.com