Manufacturing in New Jersey Runs 20% Above the National Cost Average

New Jersey's manufacturing cost index stands at 120.1 against a national 100 as of July 2026 — labor at 106.8 and industrial energy at 160.0. That places it 42nd cheapest of 51 jurisdictions.

• composite (US = 100): 120.1
• labor: 106.8
• industrial energy: 160.0

The composite weights labor at 75% and industrial electricity at 25%, so New Jersey's position is mostly an energy story: its energy component indexes at 160.0 against the national 100. A premium of 20 points compounds differently across shops — a labor-heavy job shop feels the labor line, an energy-hungry process plant feels the kilowatt-hours.

For a site decision the index is the starting point, not the answer: freight to customers, workforce depth, and incentives move individual cases. The per-state page carries the underlying wage and electricity series this index is built from, both refreshed automatically.