New Jersey, October 17, 2025
New Jersey has announced the launch of its $500 million Next New Jersey Manufacturing Program, which aims to attract and retain manufacturers through a new tax credit. This initiative is designed to spur innovation, create jobs, and promote economic growth in advanced industries across the state. Applications are now open, and the program seeks to bolster the manufacturing sector’s contributions to the state’s economy, ensuring that New Jersey remains competitive in the advanced manufacturing landscape.
Trenton, New Jersey – New $500 Million Tax Credit Program Aims to Boost Manufacturing Sector
The state of New Jersey has introduced the Next New Jersey Manufacturing Program, a $500 million tax credit initiative focused on enhancing investment and job opportunities in the manufacturing sector. This program, administered by the New Jersey Economic Development Authority (NJEDA), provides significant tax incentives to eligible businesses.
Program Details
Manufacturing companies, including those in advanced manufacturing, non-retail food and beverage, defense, clean energy, and life sciences, can receive tax credit awards of up to $150 million. The award amount is determined by the lesser of:
- 0.1% of the company’s total capital investment multiplied by the number of new full-time jobs created.
- 25% of the company’s total qualified investment.
- $150 million per project.
For the first two years, $100 million in tax credits is specifically allocated for clean energy product manufacturers in sectors like solar, geothermal, and green hydrogen. Any unused funds from this reserve will subsequently roll over into the general manufacturing allocation.
Eligibility Criteria
To qualify for the Next New Jersey Manufacturing Program, businesses must:
- Engage primarily (over 50%) in manufacturing activities.
- Make a capital investment of at least $10 million at a qualified business facility.
- Create a minimum of 20 new full-time jobs with salaries at least 120% of the county median manufacturing income.
- Commit to maintaining the facility and jobs for an approved period.
- Collaborate with a New Jersey-based institution or organization.
Additional bonuses are available for companies with New Jersey Business Certifications, including Minority and Women Business Enterprises or those located in Opportunity Zones.
Application Process
Applications for the Next New Jersey Manufacturing Program opened on September 25, 2025, and will remain open until all funds are committed or until March 1, 2029, whichever comes first. Interested businesses can apply through the NJEDA’s official website.
Background
Governor Phil Murphy signed bipartisan legislation on August 13, 2025, to create the Next New Jersey Manufacturing Program. This initiative is intended to strengthen the state’s manufacturing industry while promoting long-term economic growth and job creation.
Impact on New Jersey’s Manufacturing Sector
The program is expected to attract significant investment and create new manufacturing jobs, reinforcing New Jersey’s role as a leader in the manufacturing industry. Through competitive tax incentives, the state encourages companies to invest within its borders and support long-term economic stability.
Conclusion
The Next New Jersey Manufacturing Program signifies a major commitment to the state’s manufacturing sector by providing substantial tax incentives. By adhering to the program’s criteria, companies can access valuable resources necessary for expansion and contribute to New Jersey’s economic growth.
Frequently Asked Questions (FAQ)
What is the Next New Jersey Manufacturing Program?
The Next New Jersey Manufacturing Program is a $500 million tax credit initiative designed to stimulate investment and job creation in New Jersey’s manufacturing sector. Administered by the New Jersey Economic Development Authority (NJEDA), the program offers substantial incentives to eligible businesses.
Who is eligible for the program?
Eligible businesses include those in advanced manufacturing, non-retail food and beverage, defense, clean energy, and life sciences sectors. To qualify, companies must engage primarily (over 50%) in manufacturing activities, make a capital investment of at least $10 million, create a minimum of 20 new full-time jobs with salaries at least 120% of the county median manufacturing income, and collaborate with a New Jersey-based public or private university, high school, workforce development organization, vocational or technical school, or labor organization.
How can businesses apply for the program?
Applications opened on September 25, 2025, and will remain open until all funds are committed or March 1, 2029, whichever comes first. Interested businesses can apply through the NJEDA’s official website.
What are the tax credit awards based on?
The tax credit award is determined by the lesser of:
- 0.1% of the company’s total capital investment multiplied by the number of new full-time jobs created.
- 25% of the company’s total qualified investment.
- $150 million per project.
In the first two years, $100 million in tax credits are reserved for clean energy product manufacturers in industries such as solar, geothermal, and green hydrogen. Unused funds from this allocation will roll over into the general manufacturing allocation.
What are the benefits of the program?
The program offers tax credits to eligible businesses to offset against their state tax liability and for companies to engage in building and fostering New Jersey’s fast-growing AI ecosystem. Additionally, these tax credits are transferable under the program.
Key Features of the Next New Jersey Manufacturing Program
| Feature | Description |
|---|---|
| Program Name | Next New Jersey Manufacturing Program |
| Total Tax Credit | $500 million |
| Administering Authority | New Jersey Economic Development Authority (NJEDA) |
| Eligible Industries | Advanced manufacturing, non-retail food and beverage, defense, clean energy, life sciences |
| Maximum Tax Credit per Project | $150 million |
| Reserved Credits for Clean Energy Manufacturers (First Two Years) | $100 million |
| Application Opening Date | September 25, 2025 |
| Application Closing Date | March 1, 2029, or until funds are committed |
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Author: NEW JERSEY STAFF WRITER
The NEW JERSEY STAFF WRITER represents the experienced team at constructionnjnews.com, your go-to source for actionable local news and information in New Jersey and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the New Jersey Build Expo, major infrastructure projects, and advancements in construction technology showcases. Our coverage extends to key organizations like the Associated Builders and Contractors of New Jersey and the New Jersey Builders Association, plus leading businesses in construction and legal services that power the local economy such as CMiC Global and Gibbons P.C. As part of the broader network, including constructioncanews.com, constructionnynews.com, and constructiontxnews.com, we provide comprehensive, credible insights into the dynamic construction landscape across multiple states.
