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American Manufacturing: Driving Our Economy, Creating Jobs, and Fueling Innovation
Manufacturing serves as the backbone of the American economy. From automobiles to everyday electronics, many of the essentials we depend on are produced in factories nationwide. This interconnected industry not only generates jobs but also boosts local economies and enhances national security—keeping the U.S. at the forefront of innovation and global competitiveness. As part of the Manufacturing Extension Partnership (MEP), they're an instrumental part in empowering small and mid-sized manufacturers to drive sustained economic growth across the country.
Manufacturing's Major Role in the U.S. Economy
Manufacturing continues to be a powerful driver of the U.S. economy. In Q3 of 2024 alone, the sector contributed $2.93 trillion—an increase from $2.91 trillion the previous quarter—accounting for 10% of the nation’s GDP. If considered independently, U.S. manufacturing would rank as the world’s seventh-largest economy.
Beyond its direct contribution, manufacturing generates a significant ripple effect. Every dollar spent in the sector results in $2.69 in overall economic activity—one of the highest multipliers of any industry. With U.S. exports of manufactured goods hitting a record $1.6 trillion in 2023, the sector has made a strong post-pandemic recovery. It also fuels a vast supply chain, driving demand for raw materials, transportation, and support services across numerous industries.
Millions of Quality Jobs Added
As of January 2025, over 13 million people were employed by more than 244,000 manufacturing companies across the U.S., according to the National Association of Manufacturers (NAM)—surpassing pre-pandemic employment levels. These jobs offer competitive wages, averaging over $102,000 annually, along with benefits such as health insurance, empowering American families with economic stability.
Interestingly, the majority of U.S. manufacturers are small businesses—over 93% have fewer than 100 employees, and nearly 75% have fewer than 20. While these smaller firms are essential to the economy, they often lack the resources for advanced technology, consulting, or specialized workforce development. That’s where MEP Centers step in, providing cost-effective, local support to help these manufacturers strengthen their workforce and create lasting, high-quality employment opportunities.
Fueling Innovation and Advancing Technology
American manufacturing has long been driven by visionary thinkers and groundbreaking inventions. From Eli Whitney’s cotton gin to Henry Ford’s assembly line, these innovations revolutionized production. Key milestones like Patrick Hanratty’s CAD software, George Devol’s industrial robot, Lynn Conway’s contributions to computer chip design, and Chuck Hull’s creation of the first 3D printer have cemented the U.S. as a global leader in manufacturing technology.
Today, innovation remains at the heart of the industry. The U.S. Department of Defense reports that manufacturing accounts for 55% of all U.S. patents, highlighting its critical role in technological advancement. In 2021, manufacturers conducted $326 billion in domestic R&D—more than half of the nation’s total—demonstrating the sector’s continued leadership in making manufacturing smarter, faster, and more advanced.
How Manufacture Nevada Can Help
Manufacture Nevada is a vital resource for manufacturers across the state, offering expert guidance, tools, and support to help businesses grow, innovate, and stay competitive. As part of the MEP National Network, Manufacture Nevada connects small and medium-sized manufacturers with the resources they need to succeed—whether that’s adopting advanced technologies, improving workforce development, streamlining operations, or navigating complex compliance requirements. With a strong focus on strengthening Nevada’s manufacturing sector, they provide tailored solutions that drive productivity, boost profitability, and create long-term economic impact across local communities. Connect with a Business Advisor today to learn more.
Content from this blog is sourced from the Manufacturing Extension Partnership (MEP).
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