Alabama has earned a 2026 Silver Shovel Award from business publication Area Development, with state leaders crediting major investments in defense, aerospace, manufacturing and pharmaceuticals for the recognition.
Governor Kay Ivey announced Tuesday that growth in Alabama’s defense sector and the announcement of a major pharmaceutical facility in Huntsville helped secure the award, which recognizes states for success in job creation and economic development.
Area Development presents the annual awards based on high-value job creation, capital investment, new facilities and industry diversity.
“Alabama saw a record-breaking amount of industry investment in 2025 as more companies recognize we have the space, prime locations, infrastructure and skilled workforce that will make them successful,” said Governor Ivey. “That investment – and this latest Silver Shovel Award – is further proof that the economic development policies developed in Montgomery and the work by local community leaders are creating quality jobs and opportunities for our citizens.”
According to Area Development, Alabama’s recognition was anchored by major projects in the defense and aerospace sectors.
“U.S. Space Command brings 1,312 defense jobs to Huntsville at no reported capital cost — a federal presence that reinforces the region’s role as a national hub for space and defense operations,” the publication stated. “Eli Lilly’s $6 billion pharmaceutical investment in Huntsville — a manufacturing project of the year — adds 450 jobs and signals that Alabama’s life sciences ambitions are serious.”
The announcement that Redstone Arsenal would become the permanent headquarters for U.S. Space Command came in September 2025, followed by Eli Lilly’s $6 billion investment announcement in December.
The projects contributed to Alabama recording a historic year for economic development in 2025, with $14.6 billion in new investment and 9,388 jobs announced across 234 projects, according to the Alabama Department of Commerce.
“The Alabama Department of Commerce’s paramount goals are to attract quality jobs for Alabamians and better the state’s communities through long-term investments,” said Commerce Secretary Ellen McNair. “To be recognized by Area Development for the results of that work is always appreciated.”
Area Development also highlighted continued growth in Alabama’s automotive and raw materials industries, including CPT America’s $163 million investment and 187 jobs in Tuskegee, Samkwang’s 114 new jobs in Tuskegee, ArcelorMittal Calvert’s $1.2 billion investment and 205 jobs in Calvert, and Alabama River Cellulose’s $800 million commitment in Monroeville.
Additional projects cited included Northrop Grumman’s $72 million investment in Huntsville, Diageo North America’s $415 million project in Montgomery, Owens Corning Corporation’s $325 million investment in Prattville, Pilgrim’s expansion in Russellville, Butting’s 100 new stainless steel processing jobs in Loxley and AGS America’s automotive facility in Opelika.
Alabama has received multiple Area Development honors over the years, including Gold Shovel Awards in 2006, 2013, 2019 and 2021, and Silver Shovel Awards in numerous other years.
This year’s other Silver Shovel winners in the 5 million to 8 million population category were Tennessee and South Carolina.