Southern California: U.S.'s Biggest Manufacturing Economy

A new study from the Los Angeles Economic Development Corp. found that Southern California is the country’s largest manufacturing economy and “dispels the myth that manufacturing in the region is disappearing.”

According to the study, the United States is the world’s largest manufacturing economy, producing 21 percent of the planet’s manufactured products in 2009. Domestic manufacturing generated $1.6 trillion worth of output, which represented 11 percent of the country’s total gross domestic product.

California tops the list of states with the highest manufacturing employment, with 1,275,900 manufacturing workers. Los Angeles County alone accounted for 3.3 percent of the United States’ total manufacturing employment in 2009, and the manufacturers in the six-county Southern California region account for 6.5 percent of the United States’ total industrial employment—making it the country’s largest manufacturing economy.

In 2007, the value of manufacturing shipments in Los Angeles County was $153 billion. According to the LAEDC, the value of total manufacturers’ shipments in the six Southern California counties was approximately $271 billion in 2007, up 32 percent from $206 billion in 2002.

Computer and electronic-product manufacturers are the county’s largest manufacturing center, with 51,323 jobs. The apparel industry has the second-highest number of employees, with 48,107 jobs.

Despite Southern California’s strong manufacturing base, the area did suffer steep job losses during the recession. Manufacturing employment in California plummeted 15.5 percent between 2007 and 2009, losing approximately 64,000 jobs.

According to the LAEDC, manufacturing employment across the country declined by 16.3 percent between 2006 and 2009.—Erin Barajas