Understanding Houston’s Economy: What is Houston’s economy known for? 

Houston is known for many things. It is a city loved by all who visit. 

Tourists come to Houston to admire its diverse architecture and experience the fun lifestyle in Downtown Houston. The food and diversity of culture in Houston also attract many. 

However, if you’re moving to Houston, you should consider Houston’s economy and what it’s known for?

What is Houston’s economy known for? 

Houston’s economy is known for being predominantly driven by the oil and gas markets. However, it does include a range of rising industries and businesses today. 

Major Industries in Houston

Living in Houston means being able to work in some of the best industries in the world. Here are a few of the significant industries making an impact on Houston’s economy today.

Aerospace & Aviation

Houston is aiming to redefine the limits of aerospace and aviation. 

The space that includes the Earth’s atmosphere and the space beyond is called aerospace. Contrarily, aviation refers to the operation of aircraft or flying.

Houston was a cutting-edge aviation and aerospace center long before the iconic Apollo 11 mission in 1969. They even made a movie about it. 

However, the task didn’t end there. 

Scientists and engineers from Houston have contributed to significant space projects. Some of Houston’s most famous space projects are the Gemini and Skylab projects.

The space station program at NASA continues to explore the limits. 

One of the world’s only genuinely urban commercial spaceports and NASA’s Johnson Space Center are at the center of a vibrant future for Houston. The exploration into aerospace and aviation technology has barely touched the service. 

Five hundred businesses and institutions in Houston are engaged in producing aircraft or spacecraft. These businesses deal with technological research and other operations supporting the aviation industry.

In fact, the top fifty U.S. aerospace manufacturing firms are in Houston. So it is of no surprise that aircraft, spacecraft, and components commerce in Houston totaled billions of dollars. 

After all, it is some of Houston’s largest foreign trading items. 

The future envisioned by the best in aerospace and aviation technology may not be as far off as we think. Who knows, with the rate NASA is going, Mars may be on the horizon for Houston. Imagine that!

Suppose you’re considering a career in aerospace & aviation after university. In that case, these two places in Houston should be at the top of your list.

NASA Johnson Space Center

The entire world follows NASA’s Lyndon B. Johnson Space Center (JSC) in Houston on an ongoing adventure of human exploration, discovery, and achievement for more than 50 years. JSC has planned and carried out every human-crewed space mission for the United States since 1961. 

Every crewed mission is from the Houston region, where every astronaut has resided and trained. Scientists and engineers who call Houston home are already planning future missions—to the moon, Mars, and beyond. 

JSC has made discoveries in science, technology, engineering, and medicine that let people explore the world and the universe like never before and benefit enormously from it.

Houston Spaceport

Houston Spaceport provides unmatched access to a burgeoning aerospace sector, an urban commercial spaceport with FAA licensing. 

Houston Spaceport offers laboratory office space, including technology incubator space and sizable hardware production facilities. It is also a future launch and landing location for suborbital, reusable launch vehicles. 

Houston Spaceport stands out as a hub for cooperation and innovation among the various spaceports with a government license. No other spaceport can claim to have such a relationship, especially one in a major aerospace and aviation operations center.

The spaceport is at Ellington Airport and smoothly integrates into one of the major international transport infrastructures in the world. The spaceport keeps developing innovative ways to provide value for tenants and partners and enhance current facilities and services.

Energy

Energy is in everything, including the human body. But the energy Houston is a major supplier of is not just the type of energy that keeps the lights on in your home. 

There is more to energy than just electricity. 

Every energy business sector, including exploration, production, transmission, marketing, supply, and technology, has its headquarters and intellectual center in Houston. With 4,600 energy-related businesses, the area continues to lead foreign energy investment.

There is potential for all energy industry sectors. This is due to the critical mass produced by such a large concentration of businesses and thought leaders in one location. 

More engineers are available in Houston than in any other U.S. city. Houston has access to three million workers. 

Houston is home to more than six hundred exploration and production corporations. Over a thousand oilfield service providers and one hundred eighty pipeline transportation businesses are in Houston too.

A rising emphasis is on energy technology and renewable energy sources.

Houston is the origin or hub of innovative energy technologies. This includes hydraulic fracturing and deep-water offshore technology. 

Furthermore, Houston’s petrochemical industry has been expanding historically. Any chemical produced from crude oil and natural gas, as opposed to fuels and other products obtained from these raw materials used for a range of commercial uses, is referred to as a petrochemical. 

Petrochemicals from oil and natural gas are essential for renewable energy sources. Many turn to solar power to meet their energy demands as the demand for renewable energy in the country rises. 

However, most people are unaware that chemicals produced using fossil fuels are needed to help harvest solar energy. The ecosystem in Houston gives energy companies engaged in solar, wind, biomass, and other renewable energy sources a competitive edge. 

More than a hundred solar-related businesses are in Houston. Many apartments in Houston have solar panels on the roof. 

Solar panels are popping up everywhere in Houston, like Tex-Mex street tacos. You can even get solar panels on your home, but the property tax may increase.

The energy industry remains one of the top career choices in Houston’s economy. Because Houston continues to use sustainable energy, like solar panels. 

Here are a few of the best corporations in the energy industry.

ConocoPhillips 

ConocoPhillips is a multinational oil and gas corporation that safely locates and supplies energy for the entire planet. 

Cheniere Energy 

Cheniere Energy, Inc. is a global energy business headquartered in Houston, Texas. They provide clean, secure, and affordable energy to the entire world. 

Additionally, Cheniere Energy has construction and development operations to promote national economic and energy development.

CITGO Petroleum 

Citgo Petroleum Corporation refines, transports, and markets lubricants, petrochemicals, and other industrial goods.

Murphy Oil 

Murphy Oil Corporation has a robust portfolio of worldwide offshore and onshore assets that produce oil. 

In addition to conducting exploration activities globally, Murphy produces natural gas in the United States, Canada, and Malaysia.

Life Sciences & Biotechnology

Major industry sectors in Houston include life sciences, which are top-notch institutions and qualified personnel support. 

The existence of the Texas Medical Center is a significant factor in the booming life sciences industry in the larger region. It is a center for producing medicines, medical devices, and health care. 

More than three hundred thousand people are employed in local healthcare, biotech, and allied industries. This is more people than the oil industry in Houston. 

Houston is also home to more than 1,760 life sciences businesses, state-of-the-art hospitals, healthcare facilities, and research institutions.

Texas Medical Center

This is where to go if you get injured while in Houston. Texas Medical Center is home to some of the best medical brains. 

It is more than a normal hospital. Texas Medical Center fosters inter-institutional cooperation, creativity, and innovation through its 61 member institutions. 

The Texas Medical Center’s Innovation Institute oversees the work of many life science-focused incubator and accelerator programs in health and medical technology.

By giving startups access to the immense resources of the greatest medical facility in the world, the group hopes to aid new medical technology commercialization.

Advanced Manufacturing

A lot of things we purchase usually have a tag that says where it’s made from. Sometimes products are made in China or within the United States. 

This is a part of manufacturing. The manufacturing industry makes goods in large quantities from raw materials and valuable products.  

Whether you realize it or not, manufacturing companies are everywhere. Such as bakers and dressmakers. 

Manufacturers do not provide services. They create products we use every day. 

Houston has access to international markets due to its geographic centrality within the Americas and the United States. 

Two international airports, four deep water ports, rail, and world-class infrastructure around them all assist businesses in reducing their transportation and distribution costs locally and internationally. 

More than 230,000 industrial workers in specializations such as fabricated metal, machinery, and chemical manufacture make up the skilled labor in this industry. 

Houston has also established itself in emerging and expanding businesses like medicines, food and beverage, and medical devices.

More than 6,400 manufacturers yearly produce more than eighty billion dollars worth of goods in Houston.

Companies can reduce transportation and distribution costs in North America and worldwide thanks to Houston’s first-rate infrastructure.

So the next time you purchase something online, it may have gone through Houston’s manufacturers.

Transportation & Logistics

Transportation is the act of moving goods from one place to another. This can be done by car, ship, or even plane. 

Without transportation of goods, we wouldn’t be able to buy anything from the store. 

Logistics involve many facilities, people, and supplies. Logistics is not only moving the products but the personnel too. 

Houston provides an outstanding range of logistics and distribution channels to transfer commodities across the nation and the world. 

Houston is an excellent location for businesses requiring nationwide product distribution. It is equally far from the east and west coasts and only a few hours by flight from any major city in the nation. 

The biggest container port on the Gulf Coast and the No. 1 foreign trading port in the United States by tonnage are both in Houston, making it a hub for international trade.

The region’s extensive roadway network connects the four deep-water seaports, the Houston Airport System, and the city’s mainline trains. 

 Interstates 10, 45, and 69 are in Houston. Once finished, I-69 will connect Canada, the industrial Midwest of the United States, Texas, and Mexico.

Digital Technology 

AI, like Apple iPhone Siri or Amazon’s Alexa, is a part of digital technology. Simulation, virtual reality, robotics, and more are all digital technology.

While we haven’t seen many robots around Houston, it’s not too far off. Houston has a long history of excellence in technology. 

Houston’s top businesses, like energy and health care, employ most of the city’s technical personnel. Other subsectors, like software development, programming, and database administration, are also expanding. 

Houston has experienced one of the country’s highest overall growth in IT talent in recent years. Incubators and accelerators for innovation are blooming in Houston right now to support the growth of new entrepreneurs in industries like cleantech and software.

It has the requisite corporate, personnel, and infrastructure components. This includes innovative businesses, a sizable network of business experts, and corporate decision-makers. 

Houston is a natural location for concentrations in industrial IOT, logistics, robotics, and cyber security due to the city’s strong corporate and industry presence. 

Houston’s Innovation Corridor 

Houston’s Innovation Corridor lies at the epicenter of an extraordinarily potent social and economic confluence. It is a business district in Greater Houston. 

The four-mile-long Corridor connects by light rail, bike lanes, and walkways. It provides unrivaled access to important institutional and business actors and a wide range of facilities.

The Corridor goes north along Houston’s light-rail line through the 700-acre Hermann Park and Museum District. 

It goes beyond the diverse Montrose area and through Midtown, which has a variety of housing, food, and entertainment options that cater to millennials. 

Downtown, the hub of corporate offices, financial institutions, professional service firms, and a wide range of cultural and recreational activities, marks the northernmost point of the Corridor.