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New York and New Jersey’s port industry supported more than 563,000 jobs and pays US$15.7 billion in tax revenue in 2022, a new economic impact study shows
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The pandemic, global trade issues and port congestion on the West Coast ports, diverted ships to East Coast ports, driving up volumes at the New York-New Jersey gateway
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The report cites the port’s impact on a 31-county region in New York, New Jersey and Pennsylvania, highlighting the economic value of the port
The New York-New Jersey port industry powered up the region’s economy in 2022, accounting for nearly $15.7 billion in tax revenue, supporting more than 563,700 jobs, and generated $47.2 billion in personal and $135.3 billion in business income, says a new economic impact study released on June 22 by the Shipping Association of New York and New Jersey.
Port of New York and New Jersey has experienced rapid shifts in global supply chains since the 2020 Economic Impact Assessment was undertaken. The COVID-19 pandemic, combined with additional international trade concerns, led to significantly higher cargo volumes at the New York-New Jersey port.
The port was both the largest operation on the US East Coast and, for several months, the largest US container port, as retailers and shippers shifted their import cargoes east due to congestion and delays at the West Coast ports.
In addition, more cruise passengers used the port, and the region’s industrial space continued to increase with millions of square feet added and occupied, according to the study conducted by the North Jersey Transportation Planning Authority (NJTPA).
The report cited the port’s impact on a 31-county region in New York, New Jersey and Pennsylvania. It also provides data on the economic value generated for the entire states of New York and New Jersey.
“This report highlights something that the NJTPA has long recognized — that the goods movement industry is critical to our region’s economy,” said NJTPA chairman John W. Bartlett, a Passaic county commissioner.
Bartlett said the industry offers diverse employment opportunities, with direct jobs that include trucking, warehousing, port operations, and banking, and even more indirect jobs, such as construction and equipment sales.
“We’re proud to play a role in supporting this economic growth by maintaining and improving infrastructure throughout our region, including the roads and rails that keep freight moving,” Bartlett said.
The study said the NY-NJ port industry powers up job generation, with 266,200 workers directly employed and another 297,500 having indirect jobs — up from the 506,000 jobs supported in 2019. Container volume has also grown by almost 2 million boxes since 2019.
“The growth of the New York-New Jersey port industry continues to be the fuel that drives the economic engine of the region, generating over 57,000 additional jobs compared with our 2020 report,” said John Nardi, president of Shipping Association of New York and New Jersey.
While the number of cruise ships fell, the number of passengers rose. This reflected the increased calls of larger cruise vessels with greater passenger accommodations at the port’s three cruise terminals.
At the same time, industrial real estate grew substantially between 2019 and 2022 as companies, responding to greater demand and increased use of ecommerce, sought to keep more inventory on hand. As a result of this growth, the region’s maritime facilities handled:
- Nearly 9.5 million twenty-foot equivalent containers (TEUs).
- Close to 424,000 vehicles.
- Nearly 222,000 tons of breakbulk cargo.
- 270 larger capacity cruise vessels.
“The Port of New York and New Jersey’s ability to absorb the tremendous cargo growth it handled in the past few years has proven to our business partners and port stakeholders that the port’s operations are reliable, efficient and capable of much more to come,” said Bethann Rooney, director of the port department at the Port Authority of New York and New Jersey.
Rooney said in just a decade, the NY-NJ port industry has more than doubled the number of direct and indirect jobs in myriad businesses that support its operations to nearly 564,000 as a vital part of the regional economy.
