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Sunday 25 October 2026

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Carrier plans more than $600 million Fort Worth cooling plant

The planned facility would make commercial chillers for data centres and other customers. A city tax agreement sets investment and hiring thresholds for Carrier.

A Carrier heat pump unit beside a house, with its logo visible.
Photo: FanFan61618, CC BY-SA 2.0, via Wikimedia Commons (cropped)

Carrier Global announced on 22 October that it plans to invest more than $600 million over three years in a manufacturing and engineering centre at AllianceTexas in Fort Worth, above the approximately $433.8 million in qualifying investment set out in an earlier city agreement, The Dallas Express reported. The plant would make cooling equipment for data centres and other commercial customers, and Carrier projects 1,500 jobs.

Key points

  • Carrier plans to make air- and water-cooled commercial chillers at the Fort Worth plant.
  • Carrier reported an $8 billion second-quarter backlog, up 40% from a year earlier, excluding long-term agreements with data centre hyperscalers.
  • Fort Worth’s seven-year agreement provides for a 60% abatement of qualifying city property taxes, subject to investment and employment requirements.
  • Carrier expects the plant to begin operating in 2027.

Carrier expands chiller capacity at AllianceTexas

Carrier’s planned output includes air- and water-cooled commercial chillers for data centre, healthcare, education and industrial customers. The company is adding capacity as orders build across those markets. During its second-quarter earnings call, Carrier reported an $8 billion backlog, up 40% from the previous year, excluding long-term agreements with data centre hyperscalers, the Fort Worth Business Journal reported.

The Fort Worth investment is a manufacturing commitment by Carrier, which reported net sales of $21.75 billion in 2025 and employed 47,000 people worldwide at the end of that year. Its customer base for the new chillers extends beyond data centres. Carrier said the plant responds to backlog across several commercial industries, including healthcare, education and industrial markets.

The building is described as 1.2 million square feet by the Fort Worth Business Journal. The Fort Worth Report, a local nonprofit news outlet, describes the facility as more than 1 million square feet and places it at 1501 Distribution Drive. The site is next to a Wistron plant that makes data centre components.

In May 2025, Carrier announced a plan to invest $1 billion over five years in US manufacturing, with an expected 4,000 jobs in research and development, manufacturing and field service. The company’s plans included capacity for components used in heat pumps and battery assemblies, alongside work on liquid cooling for data centres. The Fort Worth project is the largest single-facility investment in Carrier’s history.

Fort Worth ties tax relief to jobs

Fort Worth City Council approved a seven-year tax-abatement agreement with Carrier Corporation on 15 September. It authorises a 60% reduction in qualifying city property taxes, estimated at $10.9 million, subject to investment and employment requirements, The Dallas Express reported. The agreement set a minimum of 495 jobs, with minimum average annual salaries of $75,000, alongside approximately $433.8 million in qualifying investment.

Those agreement thresholds sit below Carrier’s later projections of more than $600 million in spending and 1,500 positions. To qualify for the incentives, Carrier would have to invest $433.8 million in property and equipment and create at least 495 full-time jobs by the end of 2029 at the stipulated pay level, the Fort Worth Business Journal reported.

The accounts differ on the value of the city’s support. The Dallas Express puts the estimated value of the tax abatement alone at $10.9 million. The Fort Worth Business Journal says a proposed Texas Enterprise Zone benefit worth $2.5 million would bring total incentives to $10.9 million. Fort Worth also nominated Carrier for that state programme, the Fort Worth Report reported.

A city presentation forecast $5.8 million in additional tax receipts over seven years, net of tax breaks and adjusted for rising prices. The tax agreement makes the city’s contribution dependent on Carrier’s investment and hiring, while the company bears the cost of building out the manufacturing and engineering operation.

Fort Worth adds AI equipment manufacturing

Carrier chose Fort Worth after considering a site in Alabama, citing the local workforce, location and manufacturing base. Other investments reported at AllianceTexas include an $876 million campus by Celestica to support data centre infrastructure and estimated $761 million supercomputer plants by Wistron. Those facilities make equipment for computing infrastructure rather than operate server campuses.

The distinction matters to the development debate in Texas. AI Affairs reported that the state attorney general sought water-use records from 156 data centre developments. It also reported that data centre approvals continued after Governor Greg Abbott called for a permit pause. Carrier’s Fort Worth project is a factory supplying cooling equipment to such facilities.

Carrier expects operations at the Fort Worth plant to begin in 2027, the Fort Worth Report reported.

Sources

Topics: Data centres, Manufacturing, Workforce