Gulf South Powers America's AI and Industrial Boom

A CGCN Analytics study finds the five-state Gulf South region has captured $627.7 billion to $720.7 billion in disclosed industrial investment since January 2024, driven by industrial electricity prices 29 percent below the national average.

WASHINGTON, June 30, 2026 /PRNewswire/ -- The Gulf South Business Roundtable (GSBR) announced new white paper findings on Alabama, Arkansas, Louisiana, Mississippi, and Texas' role in the nation's AI and industrial investment boom.

"Today's report by CGCN Analytics makes clear what business leaders across our region have known for years: the Gulf South leads. This region isn't just along for the AI and industrial buildout, it's the place that makes it possible," said Ben Portis, Executive Director of the Gulf South Business Roundtable. "Alabama, Arkansas, Louisiana, Mississippi, and Texas bring affordable power, abundant natural resources, supportive regulatory environments, ports and logistics hubs, and a skilled workforce together in one place. No other region in the country can say that. Our CEO-led organization is working with policymakers to build on this advantage starting with energy affordability, as we plan the grid, workforce, and digital and industrial infrastructure of the Gulf South's future."

Key findings include:

• Outsized economic footprint: The five Gulf South states hold 13.9 percent of the U.S. population but generate 17.0 percent of national manufacturing GDP, 22.0 percent of electricity generation, 27.5 percent of industrial electricity sales, and 34.9 percent of total U.S. energy production.
• Lowest-cost industrial power in the country: A weighted 2024 industrial electricity price of 6.25 cents per kilowatt-hour across the five states; a 29 percent discount to the 8.84-cent average in the rest of the U.S.
• Leading the nation in data-center construction: Louisiana ranked second nationally in 2025 data-center construction starts at $15.0 billion, Mississippi ranked third at $13.9 billion, and Texas ranked fourth at $13.4 billion, placing three Gulf South states among the top four in the country.
• Nearly a third of planned U.S. data-center capacity: The region holds 30.6 percent of the nation's known planned data-center capacity.
• Top national rankings on a new Investment Position Index: Combining industrial opportunity, data-center power readiness, and constraint exposure, the index ranks Texas first in the nation, and 4 of the 5 states rank in the top 20.
• Hundreds of billions in tracked investment: The new  Gulf South Investment Tracker documents 110 verified industrial projects across 11 sectors, representing $627.7 billion to $720.7 billion in disclosed capital commitments between January 2024 and May 2026.

The white paper also outlines practical build-out priorities for the region, including protecting energy affordability as a strategic asset, building workforce pipelines around multi-state industrial corridors rather than individual states, and positioning the Gulf South as a hub for AI hardware supply chains, manufacturing, and infrastructure capital markets.

The full white paper, including state-by-state investment profiles, a regional energy-affordability case study, and the complete GSBR Investment Tracker, is available at: https://www.gulfsouthbusiness.org/white-paper

About the Gulf South Business Roundtable
The Gulf South Business Roundtable (GSBR) is an executive-led nonprofit that brings together energy producers, large industrial energy consumers and community leaders to strengthen economic competitiveness across Alabama, Arkansas, Louisiana, Mississippi and Texas. GSBR works to influence federal and regional policy, advance infrastructure priorities, and build strong partnerships that drive long-term growth across the Gulf South. For more information, visit www.gulfsouthbusiness.org.

Media Contact
Elizabeth Boney, [email protected]

SOURCE Gulf South Business Roundtable