First we invented it here.Now, let’s make it here.
California can strengthen its leadership in innovation and manufacturing by investing in a manufacturing tax credit.
$3.5 billion in new
Why a Tax Credit?
Investing in manufacturing now is an opportunity for state leaders to strengthen California’s status as the nation’s leading manufacturing state while adding hundreds of thousands of jobs, billions of dollars in new economic activity and more sustainable manufacturing across California.
Benefit All Californians
Small and medium-sized manufacturers account for 70% of California’s output. A tax credit would make them more competitive with out-of-state producers while reducing barriers to entry and innovation for new and existing manufacturers in the Golden State – bringing jobs, more entrepreneurship, and economic benefits to the diverse array of communities that they call home.
Strengthen California’s Economy
A manufacturing tax credit would allow California’s manufacturers to deduct the full sales and use taxes from their state tax bill for purchases of manufacturing and R&D equipment.
Support the Green Transition
A manufacturing tax credit would enable producers to move rapidly to upgrade their operations to use more carbon-reducing equipment.
What Others Are Saying
Manufacturing is critically important to the state of California, contributing more than $300 billion every year to our economy. With over 30,000 manufacturing companies that employ 1.3 million people across California, it’s impossible to deny the invaluable role manufacturing plays in our state
Manufacturing is what made California a global hub of innovation and technological progress. Every Californian wins when manufacturing grows.
In recent years, California has received less than 1% of manufacturing investments in the USA… [a credit] will stimulate investment and create new jobs and create economic growth and prosperity all across our state.
California manufacturers are pillars of our local communities and economies that drive innovation, job creation and community development… If we can encourage manufacturers to stay in California, this will provide Californians opportunities for high paying, industry-leading jobs right here at home. This is an investment in California’s future.
Manufacturing businesses were built on ideas – innovation. However, manufacturing in our state is at a crossroads. Other states are becoming more competitive and the increasing costs of doing business in California make it harder, especially for small- and medium-sized businesses, to grow. Strong businesses create a strong supply chain to fuel the larger, well-known brands of California. Now, the state has an opportunity to build on its foundation by investing further in manufacturing.