Manufacturing
Manufacturing is the Heart of the Commonwealth’s Economic Engine
Pennsylvania’s manufacturing sector has a strong legacy as a critical driver of economic growth and has served as the heart of the Commonwealth’s economic engine for over 250 years. Manufacturing is the Commonwealth’s largest economic sector in terms of contribution to state GDP, comprising 13% of Pennsylvania’s economic output. Manufacturers employed 9.5% of Pennsylvania workers in May 2022, about 562,700 people in total. Today, the manufacturing industry presents a path toward a technologically integrated future in which Pennsylvania leads as an innovator in the development and deployment of cutting-edge technology in production and distribution.
Areas of Impact
Factory of the Future
“Factory of the Future” refers to the integration of information technology (IT), operational technology (OT) systems, and the adoption of AI. Connected factories are capital intensive, driven by data shared through interconnected devices across the supply chain, and staffed with highly skilled workers focused on responding to rapidly changing markets. Pennsylvania’s ability to continue to lead in manufacturing depends on developing and deploying cutting-edge technology in production and distribution. By leveraging its world-class research institutions and existing technological assets, the Commonwealth is poised to capitalize on this economic opportunity.
Factory of the Future is a free online resource for Pennsylvania manufacturers. It was launched by Team PA to demystify the integration of advanced manufacturing technologies and to connect manufacturers with local organizations who can support them throughout the process.
Industrial Decarbonization
More sustainable practices in energy-intensive manufacturing include the electrification of and shift to low- to no-carbon feedstocks and fuel sources as a means of increasing energy efficiency, reducing carbon emissions, and boosting the long-term sustainability of industrial processes and facilities. Pennsylvania is a major contributor to emissions as a result of substantial industrial activity. As an energy powerhouse, it can be a global leader in industrial decarbonization with thoughtful investment and technology adoption.
Supply Chain
Pennsylvania sits at the intersection of a broad and deep manufacturing sector, enormous R&D in automation, and an incredibly strategic geographic location. These factors are the fundamentals to supply chain efficiencies and resiliencies. At every stage, from raw materials to distribution, Pennsylvania is presented with opportunities to enhance its economic competitiveness across the supply chain by intentionally unlocking these facets to the benefit of priority sectors, including agriculture, energy, and life sciences, as well as aerospace, defense, plastics, and lumber.
Pennsylvania Manufacturing Competitiveness Cross-Sector Collaborative
In May 2023, Team Pennsylvania launched the Manufacturing Competitiveness Cross-Sector Collaborative to tackle these issues. Collaborative participants are building on the work of the Pennsylvania Manufacturing Advisory Council and the Council’s Manufacturing Competitiveness Playbook.
View a list of Manufacturing Competitiveness Collaborative Participants.
Ready to be involved?
Contact manufacturing@teampa.com to learn more about our manufacturing work.