Governor Newsom celebrates Manufacturing Month, highlighting California’s dominant role in American manufacturing
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Oct 6, 2025

Governor Newsom celebrates Manufacturing Month, highlighting California's dominant role in American manufacturing

What you need to know: California remains the undisputed leader in American manufacturing — creating more jobs and contributing more to the nation's GDP than any other state. With over 45,000 manufacturers and 1.24 million workers, no one else even comes close.

SACRAMENTO — In recognition of Manufacturing Month, Governor Gavin Newsom today celebrated California's unrivaled role as the backbone of America's manufacturing economy, powering innovation and opportunity at a scale no other state can match.

California is the manufacturing capital of America — period. We create more jobs, produce more output and drive more innovation than anywhere else in the country. From aerospace and clean energy to semiconductors and life sciences, what gets built in California shapes the future and fuels the nation's economy.

Governor Gavin Newsom

In 2024, California's manufacturing sector alone delivered $405.6 billion in output — nearly 10% of the state's GDP — more than any other state in the nation. Backed by unmatched talent, strong unions, cutting-edge industries and a relentless drive to innovate, California is setting the standard for the future of manufacturing.

Driving innovation and productivity across sectors

Building on its rich manufacturing legacy, California stands as a global hub, home to more than 45,000 manufacturing establishments and employing over 1.24 million workers. Earlier this year, Governor Newsom released the California Jobs First State Economic Blueprint, highlighting the strength of the manufacturing industry in California, and emphasizing opportunities in advanced and precision manufacturing across several industry verticals, including aerospace and defense, clean tech, high-tech, life sciences, and working lands and water.

California also continues to supply the world with a diverse array of manufactured goods — from high-tech devices and aerospace components to pharmaceuticals, semiconductors and industrial chemicals. In 2024, the state exported $155.2 billion worth of manufactured goods, underscoring its role as a global leader in trade.

Companies are doubling down on California

Major manufacturing companies continue to expand their footprint in California, further solidifying the state's dominance. Recent announcements include:
  • Zoox opened the very first purpose-built robotaxi production facility in the United States, which spans 220,000 square feet in Hayward.
  • Amgen invested more than $600 million in a new, state-of-the-art center for science and innovation at its global HQ in Thousand Oaks.
  • Gilead breaking ground on a new pharmaceutical development and manufacturing center as part of its broader $847 million investment to expand its Foster City campus.
  • Firestorm Labs opened a new 60,000 square foot defense technology manufacturing facility, tripling their footprint in San Diego.
  • Anthro established a new 31,000 square foot headquarters in Alameda to scale sustainable energy solutions, allowing the company to produce 1,000 times their previous capacity.
  • SOHM expanded into a new 24,000 square foot industrial building in Vista, supporting their manufacturing, R&D and biotech commercialization.
  • Bombardier transitioned into a 46,000 square foot advanced manufacturing facility in Moorpark.

Taking action to support the sector

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California continues to invest in the workforce, innovation and infrastructure that define the manufacturing sector.

In June 2025, Governor Newsom signed groundbreaking reforms to CEQA, streamlining the environmental review process for advanced manufacturing facilities in areas already zoned for industrial use, with the goal of making it easier for leading edge industries to build in California. This historic bill also streamlines the CEQA process for large ($100M+) infill housing projects and farmworker housing, both of which will support manufacturing jobs across the state.

The state is also helping to support the manufacturing sector through the following:
  • The Governor's Office of Business and Economic Development (GO-Biz) hosts the Business Ready Sites Program, which offers fully zoned and entitled sites suitable for headquarters, R&D and industrial manufacturing facilities across the state to help businesses and site selectors quickly find ready-to-develop sites.
  • California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA) offers a sales and use tax exclusion (STE) to advanced manufacturers to reduce equipment purchasing costs.
  • IBank offers the Industrial Development Bond, tax exempt securities up to $10 million to provide money for the acquisition, construction, rehabilitation, and equipping of manufacturing and processing facilities for private companies.
  • The Employment Training Panel (ETP) partners with dozens of organizations across the state to provide small and medium-sized California manufacturers with subsidized, high-quality training.
  • The California Energy Commission (CEC) Clean Transportation Program provides funding to support in-state manufacturing of zero-emission vehicles (ZEVs) and ZEV-related supply chains.

California's economic strength

California is not only a national economic powerhouse — it is driving the future. California is the world's fourth-largest economy. California feeds the country and is the nation's top state for new business starts, access to venture capital funding, manufacturing and agriculture. With an increasing state population and record-high tourism spending, California's economy continues to build in key regions and sectors.

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