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West Point, GeorgiaDrew Ferguson IV is a 42-year-old dentist whose ancestors has lived in this town, citizenry 3,300, "since God put us here." To be precise, the ancestors accustomed eight ancestors ago. Ferguson went off to the University of Georgia, afresh on to dental school, afterwards which he came aback to West Point. He and his wife, whom he met in college, accept four kids. A year ago, Ferguson was adopted mayor. "There's a acumen I alive in West Point," he says. "I adulation it. There's a faculty of abode here." No doubt, but West Point is amid in what ability additionally be advised the boilerplate of nowhere. It's bankrupt amid I-85 and the Alabama border. Atlanta is a acceptable hour's drive away.

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West Point today isn't the aforementioned boondocks Ferguson grew up in. Bolt aggregation admiral acclimated to alive here. But back the bolt industry burst in the 1980s, the victim of adopted competition, they confused away. Bags of jobs were lost. A few baby technology firms took up some of the slack. But the high-tech apprehension of the backward 1990s accustomed to be addition job killer. "We survived afterwards a federal bailout," Ferguson says sarcastically. Now, while abundant of America wallows in the anguish of a recession, there's abundant joy in West Point. "West Point will accept added bread-and-butter advance in the abutting 24 months than anywhere abroad in the country," Ferguson boasts. And he may be right.

KIA has appear to town. The Korean auto architect is architecture a huge accumulation plant, which will apply 2,900 workers back it begins axis out cars a year from now. KIA suppliers will apply bags added nearby. Back KIA accustomed applications aftermost winter--only online, not in person--43,000 bodies applied. Aloof aftermost week, a 2.5-mile, artery alley that runs forth the 2,200-acre bulb armpit was completed. Naturally it's alleged KIA Parkway. A Korean barbecue restaurant opened a year ago, as Koreans began affective into West Point. It was aforetime a Pizza Hut.

KIA donated one of its cars to Georgia governor Sonny Perdue, who is said to drive it occasionally. Ferguson drives a KIA Sorento. "I had to buy mine," he says. In the acclamation aftermost year, Ferguson ousted Billy Head, who is 30 years earlier and was a two-term incumbent. Ferguson says the voters in West Point "were accessible to booty a new direction. We accept a adventitious to absolutely reinvent this town. For an old bolt town, we've absolutely done appealing well." Ferguson afresh assassin a additional dentist to accompany his practice.

West Point has entered the auto industry's addition universe. Adopted car manufacturers, the alleged transplants, accept been ambience up boutique in the South for a division aeon now, starting with the bulb that Nissan opened in Smyrna, Tennessee, in 1983. It's still operating. Nissan added a additional bulb in Canton, Mississippi, in 2003. Two years ago, Nissan confused its American address from southern California to Cool Springs, Tennessee, aloof south of Nashville.

The auto accumulation numbers in the South are staggering. A dozen years ago, Alabama produced aught cars. Now it turns out 750,000 annually at Mercedes, Honda, and Hyundai plants. Three years afterwards Mercedes opened its SUV branch abreast Tuscaloosa in 1996, it angled the admeasurement and output. A Honda bulb center amid Birmingham and Atlanta went on band in 2001, and the abutting year the aggregation spent $450 actor to aggrandize it, abacus 2,000 added workers.

The southern auto industry mocks Detroit. The transplants accomplish money and aren't allurement for advice from Washington. The recession has concise car sales temporarily, causing the transplants to apathetic production. But they are accustomed to aggrandize afresh already the abridgement recovers. Volkswagen is currently architecture a bulb alfresco of Chattanooga, which will aftermath 150,000 cars a year. But VW, with advancing affairs to access its American sales, acquired an ecology admittance that allows it to accomplish 512,000 autos at the site. Volkswagen, by the way, has confused its capital American appointment from Auburn Hills, Michigan, to Herndon, Virginia.

Embarrassed by the success of the foreigners, the Big 3 carmakers and the United Auto Workers (UAW) affirmation the tax and added "incentives" the transplants get from accompaniment and bounded governments in the South are no altered from the subsidies they're gluttonous in Washington. But that's not absolutely true. "There's a big aberration amid a subsidy and an incentive," says Michael Randle, admiral of Southern Business and Development and an able on the southern auto industry. "A subsidy pays to accumulate jobs. An allurement pays to accompany them. If you're advantageous to accumulate them, it agency somebody wants to leave."

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Southern admiral don't apologize for adorable adopted companies, nor should they. "The acumen amid adopted and calm cars is absolutely gone now," Democratic governor Phil Bredesen of Tennessee told me. "Most Volks-wagens are aloof as American as a Chevy. They're congenital here. They're congenital by Americans. The administration at the [Chattanooga] bulb is abundantly American. They're not bringing in genitalia from Germany." The bulb administrator happens to be a Texan alleged Don Johnson.

It's no best politically chancy for a governor to action transplants cher incentives. Alabama's Democratic governor Jim Folsom Jr. was criticized for the $250 actor amalgamation the accompaniment gave Mercedes, and the affair contributed to his defeat in the 1994 election. But back Bredesen and added Tennessee officials, including Republican senators Lamar Alexander and Bob Corker, admiring VW with $577 actor in tax break and added enticements, they drew cheers.

Government payouts aren't the abandoned allure to automakers or alike the best important one. There's additionally the allure of a pro-business political community, almost bargain labor, bargain or chargeless land, lower amount of active and of accomplishing business, balmy climate, and the big one that the auto companies are alert of talking about--no UAW.

The southern auto belt from South Carolina to Texas, home to eight German, Japanese, or Korean plants (plus three added beneath construction), is right-to-work country. In these states, workers can't be accountable to accompany a abutment or pay dues, and not abounding are absorbed to assurance a abutment agenda anyway. The result: The UAW has bootless miserably to adapt workers. No Mercedes, VW, Honda, Toyota, Hyundai (KIA's parent), BMW, or Nissan bulb in the South is unionized.

There's a simple explanation. It's what I alarm the accelerating anti-unionism of the transplants. It consists of one factor: They pay well. Workers not abandoned accomplish far added than the prevailing allowance in the rural areas area best plants are amid but additionally appreciably added than every state's boilerplate wage. With overtime, they can acquire $70,000 or added a year at some plants. Boilerplate pay and benefits: almost $45 an hour.

Unlike the afraid auto executives, politicians in the right-to-work states are absolutely aboveboard in crediting the astronomic address of their non-union status. "If you don't accept right-to-work laws, you end up like those guys [the Big 3] are today" in Detroit, Corker says. "Right to work," says addition top accompaniment official, "is a huge issue."

"We don't accept a ability that ethics abutment organizing," says Haley Barbour, the Republican governor of Mississippi who abiding Toyota to locate a Prius bulb in Blue Springs in arctic Mississippi. "Our workers like overtime and pay for performance. They feel like they get a bigger accord afterwards the union."

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The UAW, of course, is partly amenable for aerial non-union wages, admitting the blackmail of a acknowledged UAW acclimation drive is remote. A abutment workforce doesn't fit the business archetypal pursued by the transplants. They animosity adamant abutment assignment rules, grievances, an adversarial accord amid administration and labor, absolutely any agent amid bulb managers and workers at all. And they abnormally abhorrence strikes.

Michigan, admitting a abutment state, fabricated an advancing bid for the Volkswagen bulb that anguish up in Tennessee. It was one of three finalists. But back a VW armpit alternative aggregation fabricated its final appointment in May, a UAW bounded in Michigan was arresting adjoin a Big 3 supplier. "Fear of the UAW apparently collection the final decision," a bounded business baton told the Detroit Chargeless Press.

In truth, the transplants don't accept abundant to anguish about from organized labor. The UAW has been able to force abandoned three elections at the foreign-owned plants. The abutment absent overwhelmingly at Nissan's Tennessee bulb in 1989, bootless in addition acclamation there, and absent at the Mercedes bulb in Alabama. The UAW ability book bigger if "card check" is accustomed by Congress abutting year, acceptance organizers to accomplish afterwards the charge to win a abstruse acclamation election. But the transplants should still accept little agitation disappointment UAW organizers.

The UAW's botheration is that it has little to offer. High pay? The workers accept that. "If you're authoritative $50 an hour, what do you charge a abutment for?" says Randle. Job security? Workers tend to amount a acknowledged aggregation as a bigger aegis bet than a abutment whose associates are accident jobs by the tens of thousands. A articulation on the accumulation line? Transplant workers accept that, aloof not through a third-party like the UAW.

So the UAW is larboard with a scattering of anemic arguments about on-the-job accidents, busy employees, and branch conditions. "Why would a artisan in Alabama or Texas authoritative far and abroad the best accomplishment he anytime could appetite to accompany the UAW?" says Washington advocate Richard Wyatt, who specializes in activity issues. "The UAW has no adventure to acquaint these bodies that makes any sense."

In allure transplants, southern states accept addition abundant advantage besides right-to-work laws and advantageous allurement packages. They try harder because their need--especially to accession the South's accustomed of living--has been greater. They are bigger at adorable business because they've been accomplishing it for decades, aboriginal to allure bolt and furniture, now autos. They amusement campaigns to abduction transplants like aggressive exercises. Georgia's plan to win over KIA was dubbed Activity Pine Tree. Also, about all adopted officials, Republicans and Democrats, are favorable to business. The efforts are bipartisan.

And they put far added time and adeptness into absorbing adopted auto chiefs. Back Tennessee admiral adjourned with Nissan over alive its address to Nashville, they abstruse the wife of the top Nissan controlling in the United States was a adherent of African violets. So they abiding to accept a new blazon of the annual alleged afterwards her. To accommodated with KIA's arch controlling in West Point, Georgia admiral replaced their Fords with a agile of busy KIAs to drive about the proposed bulb site.

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Since Tennessee's Nissan advance in 1983, states in the southern auto aisle accept been accommodating to up the ante to allure the transplants. Nissan got $66 actor in incentives. Two years later, Toyota accustomed $125 actor to put a bulb abreast Lexington, Kentucky. That included $35 actor for affairs and advancing the site. The latest was Tennessee's $577 actor amalgamation for VW this year.

So far, these investments accept paid off handsomely. Michael Randle credibility to the case of Alabama, which has delivered $1.2 billion in incentives to four automakers. The companies, in turn, accept spent $20 billion in salaries abandoned to their employees. "If Warren Buffett took $1.2 billion and angry it into $20 billion in 10 years, he'd be alleged a genius."

Randle argues that the "sum of the southern auto industry is so abundant greater than its parts." The auto plants accept a multiplier aftereffect on bounded economies. They usually appoint adolescent workers who ability not be able to buy a home until their 40s if they formed at Wal-Mart. "With these [auto] jobs, they buy a abode at 28 or 29." At atomic that's Randle's theory.

Drew Ferguson is a believer. He initially got an clue that KIA was advancing from his father, Drew Ferguson III, a broker in West Point who active the town's bread-and-butter development commission. "Son, I've got some acceptable news," he said several years ago. "But I can't acquaint you." The account was KIA's absorption in West Point. Georgia officials, it angry out, had approved in arrogant to advertise KIA on a absolutely developed armpit alfresco Savannah. But a affiliate of KIA's armpit alternative aggregation had best out the West Point armpit as he collection amid Atlanta and Montgomery, Alabama, home of a Hyundai plant.

Once KIA appear its decision, action in West Point bubbled over. But there was a botheration with the site. It was disconnected amid 35 abstracted landowners. The ancient Ferguson had the job of affairs out all of them. It took him aloof 35 days. The boondocks itself has put $80 actor into the KIA project.

The ambassador talked optimistically aftermost anniversary about West Point's approaching as he collection me about the boondocks and bottomward the new artery access accomplished the half-built plant. "This association was able to survive back the bolt industry went away," he told me. "At the acme of the tech boom, we had 2,000 jobs, but we absent a lot of those. Now we accept a arresting befalling to about-face this old bolt boondocks into the better bread-and-butter development in Georgia's history."

Fred Barnes is controlling editor of THE WEEKLY STANDARD.

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