New Jersey Industry Facts

Snapshot of the Chemical Industry In New Jersey

Source: American Chemistry Council, 2005, New Jersey Chemical Industry Profile

::download pdf version of the New Jersey Chemical Industry Profile::

Total Employment

72,216

State Rank

3

Chemical Industry Average Wages

$86,677

State Rank

2

Value of Output ($mill)

27,476

State Rank

6
Gross State Product ($mill) 19,231    
Number of Chemical Establishments 878    
Exports ($mill) 5,229    
Capital Expenditures ($mill) 1144    
Taxes on Production/Imports ($mill) 489    

Economic Impact Generated by the Chemical Industry in New Jersey

In addition to the 72,216 jobs directly created by the chemical industry in New Jersey, a total of 342,493 jobs in New Jersey are generated indirectly by chemical industry activity in New Jersey and other states. For every chemical industry job in New Jersey, a total of 4.9 jobs are created within the state, a total 283,537 jobs. Another 58,384 New Jersey jobs come from chemical industry activity generated outside the state. In total, 414,709 jobs in New Jersey are supported by the chemical industry. These jobs generate $22.4 billion in earnings and $1.0 billion in state and local taxes on personal
income.

More than 41,500 non-chemical manufacturing jobs in New Jersey are supported by the chemical industry in New Jersey and beyond. Employment in the industries that support the chemical industry in New Jersey and beyond are listed in the table below.

Indirect Employment by Industry

 
Agriculture 3,022
Mining 285
Utilities 1,868
Construction 2,751
Manufacturing 41,592
Wholesale Trade 25,999
Retail Trade 37,906
Transportation 23,906
Information 9,354
Finance and Insurance 17,884
Real Estate 16,510
Professional, Scientific, Technical Services 38,924
Management of Companies and Enterprises 14,198
Administrative and Waste Management Services 23,757
Educational Services 7,376
Health Care and Social Assistance 34,507
Arts, Entertainment, and Recreation 5,044
Accommodation and Food Services 18,676
Other Services 18,933
Total Indirect Employment 342,493

Chemical Process Industries

In addition to the jobs generated by chemical industry business activity, many other New Jersey jobs are dependent on chemical products. These industries use chemical products or chemical-derived products as raw materials. An industry is defined as being dependent on chemical products if 10% or more of its material inputs are derived from chemical products. For service industries, the threshold is 20% due to the fact that these industries consume relatively little in terms of physical products. Looking across the entire US economy, these chemical dependent industries account for 25.2% of GDP and 26.6% of jobs.

Industries that use chemical or chemical-derived products include: farming, new residential construction, plastic bottle manufacturing, upholstered furniture manufacturing, dry-cleaning services, building services and health care, to name just a few.

In New Jersey, more than 980,500 jobs (25.3% of all jobs in New Jersey) are dependent on chemical products. These jobs generate $47.9 billion in earnings.

Chemical Process Industries - Employment by Industry

 
Agriculture 8,681
Mining & Utilities 6,309
Construction 132,183
Durable 108,249
Nondurable 105,576
Wholesale 19,318
Information 37,235
Services 177,097
Health Care 385,880
Total 980,528

 

::download pdf version of the New Jersey Chemical Industry Profile::

Related Links

:: Industry Statistics

:: chemFactor
The ChemFactor for an industry represents an industry’s purchases of chemistry and chemistry-derived products as a percentage of total material purchases.
::chemFactor::