Michigan – Michigan has climbed from the middle of the pack to the front row of America’s business competition.
Seven years after ranking No. 24, the state is now No. 6 in CNBC’s 2026 America’s Top States for Business report. It is Michigan’s fifth Top 10 finish under Gov. Gretchen Whitmer and matches the highest position the state has reached.
“Michigan is a place where everyone can succeed,” Whitmer said. “I’m proud of the work we’ve done to make this ranking possible, such as creating jobs, bringing advanced manufacturing home, preparing our workforce, and lowering costs. This national recognition is a sign that Michigan is on the move, and when people do business here, they win big. Let’s keep rolling up our sleeves and getting things done for every Michigander.”
Michigan first reached No. 6 in 2025, its best result since CNBC launched the ranking 20 years ago. The state held that position for 2026 despite market pressure and policy changes pushing companies to reconsider supply chains, site selection and investment plans.
Ohio ranked first, followed by North Carolina, Virginia, Texas and Minnesota. Michigan placed ahead of Georgia, Florida, Tennessee, Indiana and Illinois.
CNBC evaluates all 50 states using 138 measurements across 10 categories tied to the factors companies consider when deciding where to invest, expand or relocate.
Michigan again ranked No. 4 for Cost of Doing Business. That category considers taxes, wages, utilities, office and industrial space, insurance expenses and projected premium increases. It also examines incentives and tax breaks, including those supporting development in disadvantaged communities.
Quentin Messer Jr., CEO of the Michigan Economic Development Corporation, said the recognition reflects the state’s strategy of investing in people, places and projects.
“I’m grateful Team Michigan’s strategic execution of investing in People, Places, and Projects has been recognized by such an influential ranking as CNBC,” Messer said. He added that Michigan remains committed to improving so employers, workers and entrepreneurs continue to view the state as a sound choice.
The ranking comes as the Whitmer administration points to broader economic gains. Michigan recorded more people moving in from other states than leaving for the first time since the 1990s. It also ranked first for the fastest foreign direct investment job growth over the past five years and placed among the top five states for workforce and opportunity.
State officials cite the fastest small business growth in 23 years and a 24 percent increase in revenue. Michigan was also named a top five state for workforce development by Site Selection.
The state remains No. 1 nationally for the auto industry and has risen into the top three for manufacturing and semiconductor jobs. Whitmer also established the Michigan Innovation Fund, approved a research and development tax credit and directed state agencies to increase contracts with small and geographically disadvantaged businesses.
Hilary Doe, president and CEO of MoveDetroit, said three years of population growth in Michigan and Detroit are strengthening the economy and expanding the talent pool. She credited affordability, quality of life and growing economic opportunities, while noting that continued investment is needed.
For Michigan, the latest CNBC ranking marks a sustained rise from No. 24 in 2019 to a second straight year at No. 6. The next test is whether the state can hold that ground and climb higher.