Advanced Manufacturing

Utah’s Advanced Manufacturing industry includes various cutting-edge companies dedicated to expanding the advanced materials, manufacturing, technology development, and design sectors.

GOED works closely with the Utah Advanced Materials and Manufacturing Initiative (UAMMI) and the Kem C. Gardner Policy Institute to further advance Utah’s footprint in this vital industry.

A recent report released by UAMMI detailed the economic impact of COVID-19 on Utah’s advanced materials and manufacturing industry. The report assessed the economic effects and challenges the industry cluster faces, offered support to companies, and guided policymakers.

Based on the results from UAMMI’s outreach to 144 advanced materials and manufacturing companies in Utah, seven common themes emerged.

Companies with large government defense contracts have been mostly protected. For those companies, production is stable and, in some cases, increasing. However, all reported that they had to make workplace adjustments.
Aerospace suppliers are continuing production; however, their future is uncertain.
Recreational manufacturers had to pivot.
Companies making PPE cannot keep up with demand.
Accounts receivable impacted cash flow.
Projects have been delayed for nearly all companies.
Receiving supplies, except for PPE, has not typically been a problem, but there have been delivery delays.

A report from the Kem C. Gardner Policy Institute, commissioned by the Utah Governor’s Office of Economic Development, shows that in 2018 Utah’s manufacturing industry provided 7% of total state employment and paid 9.6% of overall earnings. The report also states the industry accounted for 11% of Utah’s gross domestic product.

In 2018, the total economic impacts of Utah’s manufacturing industry, both indirect and induced, included 427,980 jobs, $26.4 billion in earnings, and $44 billion in GDP. Overall, manufacturing supports one-fifth of all Utah jobs and one-quarter of Utah’s total GDP and earnings.

Other highlights of the report included:

Employment — Manufacturing provides 143,461 jobs in Utah, the state’s fifth-largest industry. Approximately two-thirds of Utah manufacturing jobs are in durable goods.
Earnings — In 2018, Utah’s manufacturing sector paid $10.4 billion in wages, the third-largest amount in the state. Average annual earnings in the manufacturing industry rank fourth at $72,565, 38.6% higher than the statewide average for all industries.
Gross Domestic Product — At $19.6 billion in 2018, manufacturing is Utah’s third-largest source of GDP and the second-largest private sector industry.

View the full report here.

Manufacturing supports one-fifth of all Utah jobs

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_Industry Director

Chanel Flores