Governor Phil Murphy has signed bipartisan legislation establishing the Next New Jersey Manufacturing Program, a $500 million tax credit initiative designed to support manufacturing investment and job creation across the state. The program will be managed by the New Jersey Economic Development Authority (NJEDA) and aims to bolster growth in advanced manufacturing, non-retail food and beverage, defense, clean energy, and life sciences.
Governor Murphy said, “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. Since taking office, my administration has advanced policies that create good-paying jobs, attract cutting-edge manufacturers, and expand opportunity in communities across the state. 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.”
The new program offers eligible businesses a tax credit equal to either 0.1 percent of their total capital investment multiplied by new full-time jobs or 25 percent of their qualified investment—whichever is less—with a cap of $150 million per project. For the first two years, $100 million will be reserved for clean energy product manufacturers in sectors like solar and green hydrogen. After this period, unused funds will shift into broader manufacturing allocations.
NJEDA Chief Executive Officer Tim Sullivan stated: “Under Governor Phil Murphy’s leadership, the NJEDA has remained focused on strengthening the industries of the future through programs that encourage job growth, promote expansion, and strengthen communities across the state. The Next New Jersey Manufacturing 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.”
In line with efforts to create an inclusive innovation ecosystem in New Jersey, companies holding certifications such as Minority and Women Business Enterprises or those located in Opportunity Zones may receive additional stackable bonuses under this program.
The legislation was sponsored by Senators Michael Testa and Linda Greenstein along with Assemblymembers Louis Greenwald, Antwan McClellan, and Verlina Reynolds-Jackson.
Senator Testa remarked: “Manufacturing has long been the backbone of New Jersey’s economy, and this historic investment reaffirms our commitment to revitalize this vital sector. The ‘Next New Jersey Manufacturing Program’ is designed to drive innovation, attract new investment, and create high-quality careers for our residents. Through targeted incentives, we’re giving manufacturers and entrepreneurs the tools they need to grow, compete globally, and succeed right here in the Garden State. It is a modern revival of the message proudly displayed on the Lower Trenton Bridge— ‘Trenton Makes, The World Takes.’”
Senator Greenstein added: “This is a landmark piece of legislation that will drive major investments in New Jersey’s manufacturing sector. With the generous tax incentives included, the ‘Next New Jersey’ program will create high-quality jobs and solidify our state’s status as a leader in clean energy manufacturing. I am proud to sponsor this bill and will continue to push New Jersey toward a more economically prosperous and sustainable future.”
Assembly Majority Leader Greenwald said: “The Next New Jersey Manufacturing Program makes clear that our state is open for business and we are ready to compete for the industries and innovation that will define the future. This is about building a stronger, smarter New Jersey that prioritizes good paying jobs and long-term economic growth.”
Assemblywoman Reynolds-Jackson noted: “Manufacturing is more than machines; it’s people, neighborhoods, and opportunities. This bill is a bold investment in our workforce and our future. With the right tools, New Jersey can lead the way in bringing back high quality manufacturing jobs.”
Congressman Rob Menendez commented: “The Next New Jersey Manufacturing Program is a powerful example of how our state is leading the way on creating good jobs and investing in local businesses. Manufacturing is a vital part of our economy and I’m grateful to Governor Murphy and our partners in state government for prioritizing this initiative. It’s crucial that we continue to collaborate across all levels of government to ensure that we are meeting the moment and moving our great state forward.”
Eddie Russnow of MAC Products Inc., where Governor Murphy signed A-5687 into law said: “We are honored to host Governor Murphy at MAC Products Inc. for the signing of A-5687. This legislation aligns with our decades-long commitment to strengthening New Jersey’s manufacturing backbone,” adding that it would propel local investment while supporting job creation.
Peter Connolly from NJMEP emphasized workforce development alongside financial incentives: “This bill represents a vital investment in New Jersey’s future… NJMEP is prepared to stand alongside NJEDA... With this robust support in place, this $500 million incentive can translate into real high-quality jobs…”
Tom Bracken from NJ Chamber of Commerce stated: “This investment reflects New Jersey’s commitment... By combining targeted tax incentives with strengths of our workforce… we’re creating a stronger environment for businesses…”
The NJEDA continues previous efforts such as its Manufacturing Voucher Program (NJMVP), which has approved hundreds of applications resulting in significant private investments from participating companies.
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