New Study: CT Manufacturing Costs Among Highest in U.S.May 2, 2017
Sectors such as aerospace and defense, are cornerstones of the state's economy now and in the future.
A recent report by the Hartford Business Journal highlights what many business owners already know: Connecticut is a costly place for manufacturers.
Connecticut is one of the most expensive states in the U.S. to operate an advanced manufacturing plant, according to a new analysis from online comparative business relocation costs specialist BizCosts.com.
Manufacturing jobs, especially advanced and highly-skilled manufacturing, are critical to a successful economy, according to the U.S. Department of Commerce:
The role of the manufacturing sector in the U.S. economy is more prominent than is suggested solely by its output or number of workers. It is a cornerstone of innovation in our economy: manufacturing firms fund most domestic corporate research and development (R&D), and the resulting innovations and productivity growth improve our standard of living. Manufacturing also drives U.S. exports and is crucial for a strong national defense.
If Connecticut loses a competitive edge in these fields, it will be another body blow to the state’s economic health. Connecticut leaders have acknowledged that part of the problem is taxes. Last month, leaders of the Finance, Revenue and Bonding Committee had approved tax relief, but themselves admitted it would “never come to pass.”
Recent developments in Connecticut’s budget free fall have all but crushed any hopes of “tax relief,” with state income tax revenue down by $450 million:
Plummeting state income tax collections are experiencing their worst decline since the last recession, falling $450 million below anticipated levels for April — one-and-a-half times the free fall projected just one day ago.
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