Target Industry Sectors
Advanced Manufacturing
The Advanced Manufacturing sector includes businesses and industries that use innovative technologies and processes to create products of all kinds. The sector encompasses a broad range of manufacturing activities and outputs and is unified by the incorporation of automation, sensing, and other cutting-edge technologies in production. Within the Advanced Manufacturing sector, the state has identified four target clusters: Aerospace Vehicles, Aircraft, and Defense; Automotive; Computers, Electronics, and Semiconductors; and Production Technology and Heavy Machinery. Texas is a state of doers and makers, and this spirit is reflected in the strength of its Advanced Manufacturing sector. Fueled by its access to domestic and global markets, business-friendly climate, and world-class education programs, Texas is poised to design and build the products of the future.
Sector Profile: Advanced Manufacturing
Energy Evolution
The Energy Evolution sector is centered on the production and transmission of energy of all kinds, including oil, gas, and renewables. The sector composition reflects Texas’ all-of-the-above energy strategy and positions the state to maintain its role as a global energy leader for generations to come. Within the Energy Evolution sector, the state has identified three target clusters: Electric Power Generation and Transmission; Oil and Gas Extraction, Production, and Transportation; and Renewables.
Texas’ Energy Evolution sector powers the state, the country, and the world. Texas is the leading producer of oil, gas, wind, and utility-scale solar energy in the U.S. and home to large energy companies and innovative startups alike. Texas is internationally recognized for its strength in energy, and the sector will continue to be a cornerstone of our economy in the coming decades.
Sector Profile: Energy Evolution
Food and Livestock Products
The Food and Livestock Products sector is focused on creating a wide variety of high-quality food products ranging from beef and poultry to tortillas and snack foods. The sector is critical to the food supply in Texas and beyond and is linked to a number of other target sectors, including the Advanced Manufacturing and Life Sciences and Biotechnology sectors. Within the Food and Livestock Products sector, the state has identified two target clusters: Food Processing and Livestock Processing.
With large tracts of affordable land well-suited to food manufacturing and livestock processing, Texas is a promising destination for food companies looking to grow and expand. Sector leaders and innovators come to Texas to design and produce some of the best food products our country has to offer.
Sector Profile: Food and Livestock Products
Hospitality, Tourism and Culture
The Hospitality, Tourism, and Culture sector is focused on the provision of services and experiences to entertain and accommodate Texans and visitors alike. This sector is built upon Texas’ rich diversity of experiences, events, and geographies. Within the Hospitality, Tourism, and Culture sector, the state has identified two target clusters: Film, Music, and Culture; and Hospitality and Tourism.
Texas’ iconic locations, skilled workforce, competitive incentive programs, and unique cultural attractions make our state a top destination for Hospitality, Tourism, and Culture businesses. The sector is essential to the economy not only as a creator of jobs and opportunity, but also as a promoter of the Texas brand and identity.
Sector Profile: Hospitality, Tourism and Culture
Information Technology
The Information Technology sector includes a variety of industries that use computer systems to exchange information and manage, process, and protect data. Within the Information Technology sector, the state has identified one target cluster that has experienced rapid growth and is expected to drive innovation in other industries: Information Technology and Artificial Intelligence.
As the world and our economy become increasingly digitized, nearly every industry from art to agriculture to manufacturing is adopting new forms of technology, accelerating the growth of the Information Technology sector. Texas’ robust university system, skilled workforce, and growing tech hubs have propelled Texas to the forefront of the sector and position it to create and deploy pioneering IT products and services for years to come.
Sector Profile: Information Technology
Life Sciences and Biotechnology
The Life Sciences and Biotechnology sector includes the research, development, and production of scientific solutions focused on living things. The sector spans a variety of industries related to biology, medicine, and agriculture and includes two target clusters: Biotechnology, Pharmaceutical, and Medical Devices; and Agricultural Science and Technology.
World-renowned research and medical institutions and a robust sector supply chain provide Texas a competitive advantage in life sciences and biotechnology. Entrepreneurs and businesses choose Texas because they can take new products and technologies through the full product lifecycle — including research, testing, trials, and commercialization — all without leaving the state. The sector is growing rapidly in Texas, and the state is poised to emerge as a global center of Life Sciences and Biotechnology.
Sector Profile: Life Sciences and Biotechnology
Petroleum Refining and Chemicals
The Petroleum Refining and Chemicals sector is focused on the conversion of crude oil into petroleum products, including chemicals, fuel, and plastics. Within the Petroleum Refining and Chemicals sector, the state has identified three target clusters: Industrial Chemical Products, Petroleum Refining, and Plastics.
Texas’ abundance of natural resources and raw materials, along with our supportive regulatory environment, afford the state a strong competitive advantage in these clusters. Industrial Chemical Products, Petroleum Refining, and Plastics have all seen a rise in exports and are projected to continue to grow. Though the sector experienced decline in some areas during the COVID-19 pandemic, the clusters recovered post-pandemic as global petroleum demand rebounded and are poised for future growth.
Sector Profile: Petroleum Refining and Chemicals
Professional Services and Corporate Operations
The Professional Services and Corporate Operations sector is focused on providing support for a variety of industries through information technology, business, and financial services. Within this sector, the state has identified two clusters positioned to excel in Texas: Business Services and Corporate Headquarters, and Financial Services.
Texas’ low tax burden, network of leading businesses, and top tier talent have both cultivated the development of homegrown businesses as well as attracted companies from across the nation to the Lone Star State. Texas can continue to grow and capitalize on this momentum by supporting innovation in the sector, preparing workers to fill high-demand roles, advertising our sector strength, and ensuring that our business incentives remain competitive.
Sector Profile: Professional Services and Corporate Operations
Rare Earth Elements and Mineral Mining
The Rare Earth Elements and Mineral Mining sector is focused on the extraction of both metal and nonmetal elements, including a variety of metal ores, crushed stone, sand, and rare earth elements. Within this sector, the state has identified two clusters positioned for growth in Texas: Metal Mining and Nonmetal Mining.
The clusters within the Rare Earth Elements and Mineral Mining sector play an important part in the development of infrastructure and provide vital inputs for a variety of businesses. Metal mining supports high-tech and defense industries essential to economic and national security, and nonmetal mining products are essential to construction and oil extraction. Texas’ deposit of natural resources combined with its mining expertise have positioned it as a leader within Rare Earth Elements and Metal Mining.
Sector Profile: Rare Earth Elements and Mineral Mining
Transportation and Logistics
The Transportation and Logistics sector is focused on the movement of people and goods via multimodal transportation as well as the distribution of products through physical and electronic retailers. Within this sector, the state has identified two target clusters: Distribution and E-Commerce, and Transportation and Aviation Services.
Texas’ central location within the United States, robust transportation system, and efficient logistics infrastructure have made our state one of the most globally connected locations in the world. Texas leads the nation in exports and is home to the number one port in the country as of 2023 — Port Laredo. This unique combination of factors offers businesses direct access to global trade and the opportunity to easily reach customers worldwide.