Largest Manufacturing Subset in the US: Breaking Down the Numbers

Most people assume "manufacturing" in the US means steel, cars, or aircraft. Here's the twist—the biggest slice of American manufacturing today is computers and electronics. Think chips, phones, servers, the stuff that keeps daily life and the economy humming along. Even your fridge probably has more computing power than a 1990s desktop, and someone’s got to build that.

The scale is nuts. In 2024, this subsector pulled in over $340 billion in shipments alone, beating out chemicals, food, and cars. Remember all the talk about "chip shortages" in 2021? That headache pushed policymakers into action, with big schemes like the CHIPS Act and state-level incentives targeting local tech and electronics factories. This is the most government-supported industrial cluster in America right now.

If you’re running a business or job hunting, stay tuned—there are ways to get a piece of this action, even if you’re not an engineer or coder. Learn how public money and private demand keep fueling a sector that touches nearly every other industry in the country.

• Where US Manufacturing Stands in 2025
• The Top Contender: Computer and Electronics
• Why Computer and Electronics Manufacturing Dominates
• Role of Government Schemes and Incentives
• How This Impacts Jobs and Local Economies
• Tips for Tapping Into Opportunities

Where US Manufacturing Stands in 2025

Sit down for this one: the US manufacturing sector just keeps bouncing back. In 2025, factories and plants across the country are running hotter than they have in a generation. Even after the chaos of the pandemic, the industry’s value added hit a new high: just over $2.7 trillion. This isn’t just big—this is record-breaking. The sector now makes up about 11% of US GDP, and it’s not showing signs of slowing.

Here’s a table to put the top manufacturing industries into sharp focus for 2025:

Supply chain headaches are still around, but big investments—both public and private—are keeping the machines running. The federal government ramped up its support with new funding packages and state-level grants, giving certain regions a major boost. Ohio, Texas, and Arizona are now electronics and chip manufacturing hubs, thanks to public money and big hiring sprees.

If you drive by an industrial park these days, odds are you’re seeing new construction, robotics, or solar panels going up. Manufacturing jobs are still tricky to fill, but over 12.8 million Americans are working in this sector as of June 2025, up from 12.1 million just three years ago. If you’re tracking opportunities or thinking about where policy dollars are heading, the manufacturing world in 2025 is much more high-tech and government-driven than ever before.

The Top Contender: Computer and Electronics

If you guess the largest manufacturing subset in the US is steel or autos, you’re a decade behind. Computers and electronics quietly took the top spot. This includes semiconductors, computers, communication gear, consumer gadgets, and even high-tech medical equipment.

Back in 2000, making electronics in the US was shrinking as factories moved offshore. Things changed when supply chains got hammered by COVID-19, with chip shortages making headlines and putting a spotlight on how much the country still needs to actually build hardware at home. Right now, major names like Intel, Micron, and Texas Instruments are investing billions in new US-based factories—and it’s not just hype. This sector cranked out well over $340 billion in shipments last year, and that number keeps rising.

The 2024 American Manufacturing Report showed this trend in black and white. Check this table for the latest numbers:

Every time you swipe your phone, stream a movie, use a tablet at work, or notice your car is more of a computer than a mechanical beast, you’re bumping into this industry. It creates some of the highest-paid factory jobs, too—firm average wages here top $31 an hour, much higher than apparel or basic consumer goods. The demand is only expected to rise, with everything from smart appliances to electric vehicles running on the chips and circuits made in these plants.

This isn’t just about Silicon Valley. States like Texas, Arizona, and Ohio have landed huge new facilities thanks to cash from the CHIPS Act, driving local economies and pulling in thousands of support workers and service suppliers. So even if you’re not soldering chips, there’s spillover into logistics, construction, and even local schools. In short, computers and electronics aren’t just the biggest in dollars—they’re the biggest in impact across the map.

Why Computer and Electronics Manufacturing Dominates

Here’s the real story—almost everything in the modern world needs chips or sensors. Laptops, smartphones, EV batteries, tractors, security cameras, hospital gear, you name it. The demand never cools off, and in the US, this sector got a multi-billion dollar lifeline from the government after COVID lockdowns showed how much we depend on tech parts from overseas.

The largest manufacturing subset in the US isn’t just big because of sales. Production here supports other industries, like carmakers, aerospace, medical tech, even basic appliances. None of these could stay afloat if computer and electronics imports vanished. The ripple effect is massive: one new chip plant isn’t just jobs for engineers—it’s boom time for local suppliers, construction teams, logistics, and even food trucks feeding the workers.

• 2024 saw Intel, TSMC, and Samsung investing a combined $80 billion in US fabs (chip factories)—and that’s just the heavy-hitters.
• US electronics and computer product shipments jumped from $320 billion in 2022 to almost $348 billion in 2024, according to the US Census Bureau.
• Fast-growing fields like electric vehicles and AI hardware can’t function without these US-made parts.

Want hard numbers? Check out this quick breakdown:

It doesn’t stop at shiny gadgets. The US is a main player for semiconductors—the “brains” of every device—which keeps tech and security jobs at home instead of abroad. And thanks to government chips funding, this sector has more school-to-job programs, small business contracts, and banks ready to say yes to electronics startups than any other bit of American industry. No wonder it grew out of the rest of the pack so fast.

Role of Government Schemes and Incentives

The government isn't just watching from the sidelines—it’s throwing serious money behind US manufacturing. The biggest push in the last few years? The CHIPS and Science Act, passed in 2022, which put nearly $53 billion toward boosting semiconductor and electronics production right here in America. This act made headlines because it wasn't just about money—it promised grants, cheap loans, and tax breaks for companies willing to build or expand chip and electronics plants on US soil.

And it’s not just DC. States like Texas, Arizona, and New York have jumped in with their own cash and deals—like free land, training grants, and big property tax cuts—to lure in high-tech factories. For example, when Samsung announced a new $17 billion chip plant in Texas, the state threw in a package of incentives worth hundreds of millions. The goal: more jobs, less worry about relying on overseas factories.

Just how much impact are we talking about? Take a look at the numbers:

Firms chasing these incentives are expected to create tens of thousands of new jobs. Since 2021, over 60 major new chip and electronics investments have been announced, worth more than $200 billion in private money—most brought in with the promise of these government sweeteners.

If you’re trying to get into the largest manufacturing subset, these programs are where to look. Many incentives have local small business, workforce, or minority-owned business targets built in—keep an eye on your state’s economic development sites for updates.

How This Impacts Jobs and Local Economies

The computer and electronics manufacturing sector isn’t just a tech story — it’s a jobs machine and a real shot in the arm for local economies. As of April 2025, over 1.1 million people were working directly in this sector. That’s not counting the extra two million jobs it supports in supply chains, logistics, and maintenance work all over the country.

Midwest and Southern states, once famous for cars and textiles, have become electronics hotspots. Places like Chandler, Arizona and Austin, Texas have seen serious pay bumps and lower unemployment rates because chip and device makers set up shop there. Some towns that used to be on the verge of shrinking are bouncing back, thanks to huge factories hiring hundreds or even thousands.

Check out these big numbers from 2024 to see just how much this sector matters locally and nationally:

One thing’s clear—the largest manufacturing subset isn’t just keeping Silicon Valley spinning; it lifts paychecks and business for suppliers all the way from Idaho to North Carolina. And don’t forget the ripple effect: every new plant triggers more restaurant openings, more home builds, and better roads as cities scramble to keep up.

If you’re thinking about a career pivot or business move, look for areas with booming electronics plants. Schools in these areas are partnering with companies for skills training programs too. More jobs, better wages, and pumped-up small businesses all ride this tech manufacturing wave.

Tips for Tapping Into Opportunities

Ready to ride the wave in the computer and electronics field? Whether you’re a business owner, career-changer, or just curious, here are solid ways you can get in on the action. The largest manufacturing subset in the US has room for skilled workers, suppliers, and even service providers.

• Check government funding programs: The CHIPS and Science Act is still hot in 2025, offering tax credits and direct grants for US-based semiconductor projects. Plus, state governments are giving out incentives—like New York’s $10 billion for chip fabs—to both manufacturers and their suppliers.
• Small businesses can plug in: You don’t have to be a tech giant to benefit. Many electronics plants need local contractors for logistics, maintenance, and parts. The National Association of Manufacturers suggests connecting with regional supply chains to bid for these gigs. Set up alerts with SAM.gov for upcoming contracts—many are reserved for small and minority-owned firms.
• Upskill for stable jobs: Community colleges are fast-tracking courses in chip fabrication, quality control, and industrial robotics. Intel’s Arizona expansion alone led to a 40% spike in demand for technicians in 2024. You can pick up a certificate in less than a year and land a job with solid benefits.
• Follow export trends: US-made electronics are in huge demand, especially in Europe and Southeast Asia. Export.gov and the International Trade Administration both offer step-by-step guides and connections for companies ready to ship abroad.
• Network with local clusters: Factory towns aren’t dead—they’re just wired differently now. Areas like Austin, Phoenix, and upstate New York are magnets for electronics investment. Local trade groups host regular meetups, where deals and hiring often start over coffee rather than a résumé.

Don’t just take my word for it. According to Commerce Secretary Gina Raimondo,

"The most important thing for people looking to work in or support this sector is to engage locally—businesses, schools, and local governments are working together to make US electronics world-class again."

If you’re on the fence, just remember this: new government schemes and sky-high demand mean opportunities like these don’t show up every year. If you’re ready to move, now’s the time.