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Transportation, logistics, and distribution networks form the cornerstone of our modern and global economy. These systems enable businesses to reach markets, access key inputs, store and manage inventories, and sufficiently meet customer demands. They are critical for driving economic growth, supporting supply chain resilience, and fostering regional and national competitiveness.
From the movement of raw materials to the delivery of finished goods, a well-functioning logistics network ensures that businesses can thrive and communities across the nation can access the goods and services they need. In our increasingly complex economy, support for transportation, logistics, and distribution is a vital priority for business and economic development leaders to ensure their region remains competitive.
Recognizing these critical roles, leaders across the United States have ramped up investments in logistics and distribution infrastructure. In regions that present significant challenges, leaders are placing a particular priority on finding creative, innovative solutions to bridge the gap. This article will detail those recent investments and highlight insights from work Camoin Associates has conducted for the Maine Department of Economic and Community Development to support domestic trade and business development.
US Investment in Transportation, Logistics, and Distribution
In 2024, over $50 billion was invested in logistics, distribution, and transportation networks across 610 projects throughout the United States. In total, nearly $400 billion has been invested in more than 5,400 projects since 2014, peaking in 2020 and maintaining strong momentum in the last five years. This includes all state-to-state domestic investments as well as capital expenditures (CapEx) flowing from international sources.
According to fDi Markets, more than three-quarters of these projects in the last 10 years have been in new facilities and infrastructure, as opposed to expansions and co-locations.
It is worth noting that Amazon is the single largest investor in logistics, distribution, and transportation projects across the US. In the last 10 years, Amazon has accounted for 21% of all CapEx and 14% of all of these projects nationwide.
From 2014-2024, the top five states where these investments are occurring were Texas, California, Florida, Georgia, and Illinois. During that time period, these states accounted for a combined 35% of projects and 40% of CapEx for logistics, distribution, and transportation investments across the US.
Some examples of major projects in the US in 2024 include:
- In November 2024, Amazon announced the construction of a new operations facility in Cleburne, Texas. The $200 million investment will result in a 1.7 million SF facility about 30 miles south of Fort Worth, TX.
- In November 2024, Le Creuset announced the expansion of operations in Hampton County, SC, with the construction of a $30 million, 300,000 SF distribution facility. The facility is expected to be operational in March 2026 and create 30 new jobs.
- In January 2024, APM Terminals, the subsidiary of Denmark-based A.P. Moller-Maersk and one of the largest shipping terminal operators in the world, announced it signed a letter of intent to build a new container terminal in Plaquemines Parish, LA. The investment in the terminal will cost an estimated $500 million and will encompass 200 acres, on-dock rail, and a berth capable of handling the largest ships traveling to the Panama Canal.
Facilitating State Support for Transportation, Logistics, and Distribution Networks
Camoin Associates has been working with the Maine Department of Economic and Community Development (DECD) since 2022 to study how the state can support businesses engaging in domestic trade and selling their goods and services across state lines.
As a part of this domestic trade initiative and recognizing the vital importance of transportation, logistics, and distribution networks to bolster domestic trade, Camoin Associates and DECD facilitated a business roundtable focused on assessing challenges, identifying opportunities, and developing creative solutions for Maine. The event culminated in a broader study focusing on Maine’s infrastructure, supply chains, and existing transportation and logistics ecosystem.
In October 2024, we convened key stakeholders across all sectors of Maine’s economy to engage in meaningful discussions about the state’s transportation, logistics, and distribution landscape. The roundtable’s success was the result of its balanced approach, combining data and analytics with qualitative input from a broad spectrum of key players. Participants included:
- Business leaders
- State- and local-level economic development leaders
- State government officials (DECD, DOT)
- Transportation and logistics providers
- Academic and research institution representatives
Panel discussion at the Maine DECD business roundtable in Augusta, ME, on October 30, 2024.
The event’s schedule reflected this comprehensive approach. In the morning, attendees heard from a keynote speaker, Christopher Lloyd, Senior Vice President and Director of Infrastructure and Economic Development at McGuireWoods Consulting. Attendees also participated in a panel discussion featuring experts from both the public and private sectors.
These sessions provided valuable context, insights, and data about the sector’s challenges and opportunities. The afternoon shifted to collaborative workshops, where attendees broke into small groups to identify the state’s challenges, brainstorm creative solutions, and find actionable strategies for strengthening Maine’s transportation and logistics ecosystem.
This event highlighted the power of bringing together diverse stakeholders to tackle complex economic development challenges. By fostering open dialogue, leveraging data-driven insights, and creating a space for collaboration, the roundtable advanced critical conversations about how Maine can better support its business and economy.
Convening leaders from all sectors of the economy is essential to ensuring that transportation, logistics, and distribution networks remain resilient, efficient, and capable of driving economic growth.
5 Steps to Assess and Support Your Transportation, Logistics, and Distribution Networks
Based on the work we completed for Maine and other states, Camoin Associates has identified five critical steps a state and its regions can take to support and diversify supply chains for business and economic development opportunities.
1. Seek Data-Driven Insights
Start by taking a full inventory of transportation, logistics, and distribution networks in your region. This quantitative analysis should include general information about the industry, such as how it’s grown or declined in recent years, whether there are key subsectors that perform well, and how your region compares to the nation. Pair this with information about the existing infrastructure available, such as the quantity and quality of warehouse or cold storage space, the quality of physical infrastructure like roads and bridges, and the types of infrastructure critical to your region’s target sectors. Finally, get a better understanding of how and where commodities flow to and from your region with data on freight flows.
2. Engage in One-On-One Conversations with Experts
Identify regional subject matter experts and leaders within the transportation, logistics, and distribution space, particularly pertaining to commercial trade. For example, these may include directors of airports or intermodal facilities, Department of Transportation officials, transportation or logistics industry association executives, or leaders of businesses that have demonstrated creative logistics solutions. These one-on-one conversations may lead to deeper insights that can shape your opportunities and strategies.
3. Consider the Unique Assets, Challenges, and Opportunities for Your Region
Transportation, logistics, and distribution strategies are not one-size-fits-all. For example, is your region located within a hub of large companies that engage in significant trade operations, or is it primarily made up of smaller and medium-sized businesses looking to grow their markets? Which industries in your region most demand these services — and do they require truck, rail, air, etc.? Are you located near existing infrastructure like airports and interstate highways, or do you have geographic challenges? Is your infrastructure well-maintained and demonstrating existing market support, or is it aging into obsolescence and in need of significant investment? By considering these unique qualities, you can formulate an agenda for wider stakeholder engagement and strategy building.
4. Host a Business Roundtable
Keeping in mind the takeaways from the data analysis, one-on-one interviews, and your region’s unique characteristics, plan and facilitate an event that will drive the conversation forward. Engage business leaders, transportation and supply chain experts, and economic developers at the local, regional, and state levels. Create a day full of speakers and workshops to get people involved to bring challenges and opportunities forward in a forum that is inviting and comfortable. Take the time to market the event and schedule the right kind of experts who can speak on the key issues that your region faces.
5. Keep Communicating
Keep the conversation going by elevating priorities that came out of the business roundtable with partners that are able to create actionable strategies to make transportation changes. Economic developers are the connectors in the community, and this is a role that can bring the private and public sectors together to make important investments, policies, and plans for a strong supply chain network.
It is important that this work be ongoing as part of business and economic development as opposed to “one-off” events or studies. Additionally, it must be a fully collaborative approach among economic development organizations, regions’ business, and industry and service providers.
Camoin Associates is a trusted economic development and business prospecting consulting firm that helps communities and organizations achieve sustainable and equitable growth through expert analysis, effective strategies, and intentional connections.
By providing valuable insights, best-in-class data, and personalized, actionable strategies, we empower our clients to make well-informed decisions that drive economic success and foster strong, competitive markets.
