According to new data compiled by MNI, publisher of the U.S. manufacturing data that powers IndustryNet, New Jersey manufacturing employment climbed 1.4% over the past year, reversing the downward trend that has plagued the state since the recession.
Employment gains were led by the state’s food processing sector, though growth was seen across a spectrum of key industries, helped by the state’s highly skilled workforce and competitive business incentives.
A number of new and expanding manufacturing facilities were announced over the year as well, laying the groundwork for future industrial growth in New Jersey.
New Jersey Manufacturing: the Year in Review
New Jersey is currently home to 10,121 manufacturers that employ 384,344 workers. The state added 5,312 jobs in 2018, representing a gain of 1.4%.
Food processing took the lead in employment gains, with that sector’s workforce growing by 6.5% over the year. Food products manufacturing currently employs the second-most manufacturing workers in New Jersey, employing 40,383.
Chemical processing accounts for the most industrial jobs in the state, employing 77,598. That sector also added jobs, up 2.5% over the year.
Other sectors adding jobs included transportation equipment (+5.4%); furniture/fixtures (+2%); electronics (+2%) and fabricated metals (+1.7%)
Not all New Jersey industries fared as well, with gains offset by a 4% decrease in printing/publishing employment.
Other losses included the stone/clay/glass industry, which declined 2.7% and primary metals manufacturing, which shed 1.4% of its workforce.
MNI’s city data shows Newark accounts for the most manufacturing jobs in the state, with 8,427 jobs, virtually unchanged over the year. Somerset accounts for the second-most most manufacturing jobs in the state, with 7,673 workers, up 3.6% in the past year.
Second-ranked Newark accounts for while jobs rose 5% in third-ranked Moorestown to a current level of 7,284
Pennsauken jobs also increased, up 8.5% to 6,616 jobs, while manufacturing jobs in Whippany declined 2% to 6,630.
A majority of New Jersey manufacturers are concentrated in the state’s Northeast region at 67%. Northwest New Jersey accounts for 14% of industrial companies, while the Southwest is home to 10%. The state’s Southeast region represents the smallest share of manufacturers, at 9%.
New Jersey Manufacturing Benefits and Challenges
For a number of years, New Jersey struggled to bounce back from the recession and current current job levels are far short of the 458,000 industrial jobs recorded in 2008, just prior to the recession.
High business costs and aging infrastructure combined with global competition put New Jersey’s manufacturing growth on hold even after the worse of the recession’s losses were over.
Automation also played a key role as well as manufacturers embraced technology and advanced manufacturing processes that required fewer workers.
New Jersey started to see things turn around in recent years, however, as a number of innovative enterprises were drawn to the state’s top-notch workforce and access to capital.
With industrial production becoming more high-tech, east coast states are now more appealing for manufacturers than ever as the skills gap in manufacturing has risen as a top concern among executives.
Related: Why Manufacturing Executives are Optimistic About 2019
The state offers multiple incentive programs, including an innovative apprenticeship program, aimed to help manufacturers build a qualified workforce. Other incentives include the Grow NJ Assistance Program and the Urban Enterprise Zones (UEZ) Manufacturers Energy Sales Tax Exemption.
New and Expanding Manufacturing Plants in New Jersey
A number of new and expanding manufacturers were announced in New Jersey, including Sweden-based Oatly, Inc. which swept into the state to establish an oat-milk production plant in Millville, following a nationwide oat milk shortage.
Packaging company Cascades Containerboard Packaging, set up shop in Piscataway, and eventually will employ 120.
Multiple New Jersey manufacturers in New Jersey also announced expansions over the year, including Ferrero USA, which announced it would expand packaging operations in Somerset.
In addition, the state’s emerging medical marijuana industry is poised to explode in the coming years, paving the way for additional cannabis products makers to get a foothold in the state.
New Jersey Manufacturing: By the Numbers
New Jersey’s 10,121 manufacturers employ 384,344 workers. Here is a further breakdown of the numbers:
Top New Jersey Cities by number of jobs
Newark – 8,427
Somerset – 7,673
Moorestown – 7,284
Whippany – 6,630
Pennsauken – 6,616
Top New Jersey Counties by number of jobs
Bergen - 61,802
Middlesex - 48,905
Morris - 42,872
Union - 36,800
Somerset - 31,648
The Largest New Jersey Manufacturers
Below is a list of the state's largest manufacturers based on number of employees.
| Company | Employees | City |
|---|---|---|
| Novartis Pharmaceuticals Corp. | 5,000 | East Hanover |
| Wakefern Food Corp. | 3,500 | Keasbey |
| Integra LifeSciences Corp. | 1,000 | Plainsboro |
| Ortho-Clinical Diagnostics, Inc. | 1,000 | Raritan |
| PIM Brands, LLC | 750 | Somerset |
| F & S Produce Co., Inc. | 650 | Rosenhayn |
| Subaru Of America, Inc. | 600 | Camden |
| ProBuild Co., LLC | 550 | Mount Laurel |
| Ferrero U.S.A., Inc. | 535 | Somerset |
| 151 Foods, LLC | 500 | Bellmawr |
| Komar & Sons Inc., Charles | 500 | Jersey City |
About this Data:
MNI’s extensive manufacturing data powers IndustryNet, an industrial marketplace that connects buyers with suppliers. MNI’s team of more than 80 researchers scours hundreds of sources on-and-offline to zero in on every manufacturer in the U.S. Each manufacturer is contacted multiple times annually to ensure its information remains up-to-date and complete.
IndustryNet allows users to search and source more than ten thousand types of products, parts, supplies, and services for free. IndustryNet® lists every U.S. manufacturer plus thousands of wholesalers & distributors and industrial service providers.
To connect with industrial suppliers in New Jersey and across the U.S. start your free search on IndustryNet. Or, to access detailed profiles of New Jersey’s 10,121 manufacturing companies and their 26,089 executives, learn more about MNI’s IndustrySelect database subscription.
