## The Lehigh Valley’s Transformation: A Tale of Renewal
### Looking Back at the Twilight of Industry
In the mid-1990s, the sun seemed to be setting on the industrial prowess of the Lehigh Valley. It was a time when Bethlehem Steel [made its last cast](https://www.mcall.com/2016/02/27/remembering-the-last-cast-at-bethlehem-steel/) and ended hot metal production. Adding to the gloom, Allentown’s last silk mill closed, alongside Hess’s department store shutting its Center City location. It appeared that the region’s economic vitality was waning.
### The Dawn of a New Era
However, 1995 saw local leaders establish the Lehigh Valley Economic Development Corp. (LVEDC) to attract fresh industries. Fast forward 30 years, and the scene is dramatically different. The area now experiences population growth outpacing the rest of Pennsylvania. Indeed, with the largest workforce ever, the focus has shifted significantly. No longer are all industrial developments welcomed with open arms.
### An Adapted Economic Strategy
“Our economic strategy has changed,” remarked Don Cunningham, the steadfast president and CEO of LVEDC since 2013. “We can be more selective about [which companies] can come here.” During a bustling annual meeting at the ArtsQuest Center at SteelStacks in Bethlehem, this strategy was explored in celebration of the organization’s 30th anniversary. Attended by a crowd of 900, it included notable speakers like state Secretary of Community & Economic Development Rick Siger.
### The Lehigh Valley: Pennsylvania’s Economic Engine
Jay Garner, president and founder of Atlanta-based Garner Economics, spoke highly of the Lehigh Valley. He likened its growth to that seen in cities and states across the Sun Belt. “The Lehigh Valley is the economic engine for the entire commonwealth,” he stated. Here’s a glimpse of four key insights from this pivotal meeting:
### Drawing In Young Talent
The Valley’s population has swelled by nearly 10,000 between 2020 and 2023, primarily due to newcomers. Both Lehigh and Northampton counties sit snugly in the top 5% for domestic and international migration in the U.S. This surge in 18-34-year-olds is vital, Cunningham noted. “Employers don’t stay or relocate to areas losing population and its young people,” he asserted, celebrating the shift from ‘brain drain’ to ‘brain gain’.
### Embracing a New Home
A panel of younger Valley business members extolled the region’s draw. Paul Hodges, CEO of Soltech Solutions, shared why they chose Bethlehem for producing home-grow lights. “This place has the infrastructure to support entrepreneurs,” he declared. The support and referrals were, to his surprise, ample. Karianne Gelinas of LVEDC noted her husband’s admiration for the local festivals.
### Progress and Potential Pitfalls
“Here in the Lehigh Valley, things are really on the rise,” said Secretary Siger. He discussed plans to replicate this success elsewhere in Pennsylvania, citing large site development investments and fast-track permitting for infrastructure projects. The state also tackles housing shortages, with programs encouraging home construction, funding repairs, and providing tax credits for buyers. “The cost of housing is increasing and that’s a result of the amazing economic impacts we’ve been having,” Siger remarked.
### The Road Ahead for Lehigh Valley
So, what does the future hold for the Valley? Garner suggested a focus on sectors such as biomedical, life sciences, and artificial intelligence while enhancing traditional industries like food and beverage. He outlined six focal points:
– Develop affordable workforce housing options
– Grow workforce participation through employer-sponsored private/public child care
– Enhance the entrepreneurial ecosystem
– Partner with Martin Guitar for an annual marquee singer/songwriter’s event
– Create World Trade ABE
– Advocate for a new statewide economic development funding model
“I can’t wait to see what happens in the next 10 years,” Garner anticipates eagerly.
_Morning Call reporter Evan Jones can be reached at [email protected]._
Originally Published: March 18, 2025 at 7:32 PM EDT
