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Thursday, Apr 18, 2024

Despite Job Losses Manufacturing Still Strong in Southern California, Says Report

Los Angeles County continues a 20-year pattern in a loss of manufacturing jobs, according to a new report from the Los Angeles County Economic Development Corp. Still, despite fewer jobs Southern California remains the nation’s top manufacturing area with the value of shipments from the five county area having increased between 1997 and 2007, the latest numbers available from the U.S. Census Bureau. Nationally, the U.S. has a 20 percent share of global manufacturing, a number that has stayed steady for nearly two decades. “Industrial restructuring has intensified, making U.S. manufacturing more competitive than ever,” said Nancy D. Sidhu, chief economist for the LAEDC and author of the “Manufacturing: Still a Force in Southern California” report. For Los Angeles County, manufacturing employment stood at 389,300 in 2009, a drop of 16 percent from the 463,100 jobs in 2006. In 2000, the county had 615,500 manufacturing jobs. The computer and electronics parts sector led with the most jobs, followed by apparel, transportation equipment and fabricated metal products. Strengths for manufacturers to be located in Los Angeles County include access to global markets and suppliers through the ports and airports; an educated workforce, and a network of ground and air infrastructure, according to the report. On the negative side are the high utility costs, a difficult regulatory environment, strict air quality standards, a lack of sufficient industrial land, and a poor understanding of the importance of manufacturing to the local economy.

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