Alabama

Alabama's economic evolution demonstrates ecological succession after industrial collapse. The state lost 82,000 textile jobs—88% of its old-line industry—as globalization stripped the manufacturing base that had defined small-town economies for generations. But this disturbance created open niche space that attracted a new colonizer: in 1993, Mercedes-Benz stunned the business world by choosing Tuscaloosa County for its first US manufacturing plant, lured by $250 million in incentives.

Like pioneer species that colonize after forest fires, Mercedes was the first to establish in barren ground—but the real transformation came from the ecosystem it enabled. Honda, Hyundai, and Toyota followed, each automaker functioning as a keystone species that supports complex food webs. Today, 150 Tier 1 suppliers cluster around these assembly plants, creating dense networks of interdependence. The state has assembled over 15 million vehicles since 1997 and leads the nation in vehicle exports at $11.2 billion annually.

This path dependence now shapes Alabama's future trajectory. The same infrastructure that assembles combustion engines is transitioning to electric vehicles—Mercedes invested $1 billion to launch EV production, while Hyundai added hybrid and electric lines. With a $337.7 billion GDP in 2025 and unemployment at 3.2%, Alabama has transformed from a textile monoculture into a diversified automotive ecosystem. The original 1993 decision to court Mercedes continues to compound, proving that economic succession, like its ecological counterpart, builds complexity from simple beginnings.