Industrial Restructuring Behind US State-Level Economic Forecasts: Defense Orders, AI Investment, and the Rise of Southern Manufacturing
TD Economics' latest state-level forecasts reveal profound divergence in regional growth across the United States. Connecticut relies on defense orders, Massachusetts on the AI knowledge economy, and South Carolina on advanced manufacturing, together reflecting structural shifts in the U.S. industrial system. This article examines how defense, AI, and advanced manufacturing are reshaping state competitiveness, as well as industry trends over the next five years.