Even in a year marked by slowed global growth, rising tariffs, and persistent inflationary pressure, one sector of the American economy continues to surge ahead: electronics manufacturing.
A new study released by the Global Electronics Association, "Powering the U.S. Economy: The Economic Reach of Electronics Manufacturing," highlights the industry's critical importance to U.S. economic strength, competitiveness and resilience.
According to the report, the U.S. electronics manufacturing industry supports approximately 5.2 million American jobs, contributes $853 billion to the country's GDP, and generates a total economic output of nearly $1.8 trillion. From semiconductors and circuit boards to advanced communications and defense systems, electronics remain deeply woven into every part of the modern economy.
A Stabilizing Force in an Uncertain Global Climate
Global trade tensions and geopolitical shifts have made supply chains more fragile than ever. However, as the report indicates, electronics manufacturing is helping to stabilize the U.S. economy during this period of uncertainty.
The industry’s reach extends far beyond the products it manufactures. Electronics underpin the technologies that drive innovation across nearly every sector, including automotive, aerospace, healthcare, energy, and consumer devices. As the report notes, global trade in electronic components alone exceeded finished electronic goods by $408 billion in 2023, illustrating how central components and subsystems have become to the world’s supply networks.
High-Wage Jobs Fueling Local Economies
One reason electronics manufacturing delivers such outsized value is its creation of high-skill, high-wage jobs. The industry directly employs 1.3 million Americans, offering average annual wages of $156,000, which is more than 20 percent above the average for the broader manufacturing sector.
These roles span design, fabrication, assembly, and testing, and they form the backbone of the nation’s innovation ecosystem. Each direct electronics manufacturing job generates three additional jobs elsewhere in the economy, supporting a total employment footprint of more than five million jobs nationwide.
Yet even with its strong economic performance, the industry faces a significant challenge: a shortage of skilled workers. Without sustained workforce development and training pipelines, U.S. electronics manufacturers risk losing ground in the global race to innovate and compete.
A Call for Bold Partnerships and Investment
Decades of offshoring and capacity erosion have left the U.S. electronics ecosystem more vulnerable than many policymakers realized, until global supply-chain disruptions made those vulnerabilities impossible to ignore. The Global Electronics Association argues that the country must now act decisively to rebuild and strengthen the sector.
The report calls for a government–industry partnership focused on three major priorities:
1. Workforce Investment.
Developing a next-generation workforce capable of operating and innovating in advanced manufacturing environments.
2. Infrastructure Modernization.
Upgrading the physical and digital infrastructure that enables leading-edge PCB fabrication and electronic assembly.
3. Strategic Supply-Chain Partnerships.
Diversifying and safeguarding U.S. supply chains to reinforce national security and enable domestic firms to compete on the world stage.
By fostering innovation, sustainability, and secure supply chains, the U.S. can stay competitive in the global electronics industry.
For more insights and the complete findings, read the full report.
