Still a loss for S.C.

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DaimlerChrysler has decided against building a van plant near Savannah, Ga., which is a loss for South Carolina, too. Former Gov. Jim Hodges calls it vindication for his administration, which lost the bidding war with Georgia over the plant. He may be right.

But the reasons for bidding high to bring DaimlerChrysler to South Carolina are still sound and defensible. Like BMW, it is a manufacturing anchor capable of spawning more business and further transforming this state's automotive economy. The plant was projected to have a $250 million annual impact on the local economy.

Consider what South Carolina is losing by the plant not locating near its border. The $750 million plant would have employed 3,300 workers, though most of those likely would have been Georgians. But more jobs would have been created with the network of suppliers that would have grown up around the plant. Job-starved Jasper County desperately needs those jobs.

DaimlerChrysler said a lack of confidence in the economy forced it to pull the plug. Hodges, who was defeated last November by Mark Sanford, said his administration pulled out of negotiations after refusing to buy the tract of land that would have been the plant's site. Georgia spent $60 million to acquire and develop a site.

Hodges says, understandably, that he did not want to be left holding the bag. Realistically, Georgia will recoup its investment just as South Carolina would have. Hodges can claim vindication. But the lesson here is not on the need to exercise caution. It is on the defensible lengths states must be willing to go to land a development asset with the impact of a DaimlerChrysler.