Gov. Murphy signs $500M program to boost manufacturing investment, job creation in New Jersey
NEW JERSEY — Gov. Phil Murphy on Wednesday signed legislation creating a $500 million tax credit program aimed at spurring manufacturing investment and job growth in New Jersey.
The Next New Jersey Manufacturing Program, to be administered by the New Jersey Economic Development Authority (NJEDA), will provide long-term incentives to manufacturing companies, targeting sectors such as advanced manufacturing, defense, clean energy, life sciences, and non-retail food and beverage.
“From the industries that powered our early growth to the advanced facilities driving innovation today, manufacturing continues to play a vital role in shaping New Jersey’s economy and its future,” Murphy said. “The Next New Jersey Manufacturing Program builds on that progress, providing the support needed to accelerate growth, enhance our competitive position, and deliver lasting economic benefits for New Jersey manufacturers.”
Eligible businesses can receive tax credits equal to the lesser of 0.1% of their total capital investment multiplied by the number of new full-time jobs created or 25% of their total qualified investment, capped at $150 million per project. For the program’s first two years, $100 million will be reserved for clean energy product manufacturers, including those in solar, geothermal, and green hydrogen. Any unused funds after two years will be shifted to the general manufacturing pool.
NJEDA Chief Executive Officer Tim Sullivan said the program will “encourage manufacturers to establish and grow successful operations in New Jersey, producing impactful economic benefits for the state and its residents for generations to come.”
The initiative also offers stackable bonuses for businesses holding New Jersey Business Certifications, including Minority and Women Business Enterprises, firms in Opportunity Zones, and those with collective bargaining or labor harmony agreements.
The program expands on existing NJEDA efforts, including the New Jersey Manufacturing Voucher Program, which has awarded over $66.2 million to 431 applicants since its launch, leading to more than $252 million in private manufacturing upgrades.
