CMTA Raises Concerns About Tax Increases in Governor’s Budget

May 14, 2026

Budget includes positive investments to help manufacturers navigate recycling mandates

Sacramento, Calif. – In response to Governor Newsom’s 2026-2027 May Revise budget proposal, California Manufacturers & Technology Association (CMTA) President & CEO Lance Hastings released the following statement:

“We appreciate Governor Newsom’s proposed investments to strengthen in-state recycling and remanufacturing, which will help manufacturers navigate California’s recycling mandates.

“At the same time, the Governor’s budget once again asks California employers to pay more to cover the state’s financial shortfalls. At a time when manufacturers are already struggling with high costs and heavy regulation, raising taxes will make it even harder to invest, grow, and keep good-paying jobs in California.” – Lance Hastings, President & CEO of CMTA

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About CMTA
The California Manufacturers & Technology Association (CMTA) has advocated for pro-growth laws and regulations before the California legislature and administrative agencies since 1918. The total output from manufacturing in California is $382 billion per year, roughly 10 percent of the total economic output of the state. Manufacturers employ 1.2 million Californians paying wages more than $2,500 higher than other non-farm employers in the state.