INDUSTRY OVERVIEW
Helping Grow The Region’s Economy
Manufacturers in the region are running an impressive race. They have put Oregon and Southwest Washington in the top tier of regions when it comes to manufacturing output, productivity and wage increases.
Oregon and Southwest Washington have approximately 1,500 companies involved in the manufacturing of products based on metals, materials fabrication and composite technologies. Many of these companies have the ability to make products or repair components for consumers and industry, as well as for defense applications.
In Oregon: The economic impact of manufacturing in Oregon is broad and deep. Active in every county, manufacturing provides more than 200,000 jobs to Oregonians, representing a larger share of the workforce than in California, Washington or the nation.
In 2006, durable goods manufacturing represented more than 20 percent of growth in Oregon’s gross domestic production (GDP), and 19 percent of the total state GDP, or $27.2 billion for 2005. Eighty-five percent of Oregon exports are in manufactured goods, generating more than $10.5 billion dollars in sales.
The industry’s payroll in the state was $7.8 billion, according to 2005 census data. The average annual manufacturing wage in Oregon is $58,656.
In Washington: There are approximately 290,000 manufacturing jobs statewide. In Clark County (Vancouver area) almost 14,000 persons are employed in the manufacturing sector, contributing to a median household income of $51,682.
Elsewhere in the Southwest part of the state, four counties bordering the Columbia River provide the following statistics:
- Wahkiakum County is notable as the only county with 30 percent or more of the workforce employed by manufacturers;
- Cowlitz and Klickitat counties follow with 20 to 29 percent of the workforce in manufacturing; and
- Skamania County has between 10 and 19 percent of its workers employed in manufacturing.
Beyond the direct employment figures, each manufacturing job has a multiplier effect, creating 1.7 new jobs in related trade and services, according to calculations by Washington’s Employment Security Department. As a sector, manufacturing in Washington is forecast to grow 2 to 2.5 percent during the next few years.
For all these numbers, the message is simple enough: Manufacturing plays a vital role in the economic health of the Pacific Northwest. With quality job creation, extensive linkages to related sectors and the vast majority of exports, manufacturing is a bright spot in the economic outlook of our region, and poised to grow brighter.
