The regional port industry in New York and New Jersey was responsible for $25.7 billion in personal income and $64.8 billion in business income last year, according to a recent study from the New York Shipping Association (NYSA).
The New York and New Jersey port industry accounted for about $8.5 billion in federal, state and local tax revenue in 2016, and supported more than 400,000 jobs, according to a new economic impact study released Oct. 27 by the New York Shipping Association (NYSA).
The port industry was also responsible for $25.7 billion in personal income and $64.8 billion in business income last year, according to the study, which was conducted by the New Jersey Transportation Planning Authority.
The study also revealed that the New York-New Jersey port industry currently employs 229,000 workers and supports another 171,000 indirect jobs, up nearly 20 percent since 2014.
New Jersey accounted for the greatest number of direct jobs last year with 200,350, and total jobs with 344,470, the study found. The state also was responsible for the bulk of the taxes generated by the port industry with nearly $7 billion in federal, state and local revenue, including over $2 billion in local and state taxes and nearly $5 billion in federal taxes.
The port industry’s expanded economic footprint, according to the NYSA, is primarily the result of growth in cargo movements, expansion in the cruise industry and an unprecedented increase in the region’s industrial space.
Because of this growth, the region’s maritime facilities handled almost 6.3 million TEUs of containerized cargo last year, up from 5.8 million TEUs in 2012; about 663,000 vehicles; 47.4 million tons of bulk cargo, up from 42 million in 2012; and roughly 140,000 tons of breakbulk cargo, up from about 110,000 tons in 2012.
“The significant economic contribution the Port of New York and New Jersey makes to this region has been demonstrated once again,” New York Shipping Association President John Nardi said of the study. “The cargo and passengers that move through our ports provide a substantial benefit to the region in terms of jobs and tax dollars, and those benefits continue to grow.”
The regional port industry, which encompasses 31 counties in New York, New Jersey and Pennsylvania, added tens of millions of square feet of capacity between 2014 and 2016, something that North Jersey Transportation Planning Authority Chair Peter S. Palmer said is part of landside infrastructure optimization.
“We recognize the value of this infrastructure as the connective tissue between the maritime terminals and regional businesses,” Palmer said.
“The billions of dollars we’ve invested to raise the Bayonne Bridge, deepen port channels and expand our on-dock rail capacity have made this an attractive place for international shippers to do business and provided a substantial boost in the jobs and economic activity supported by this port,” Port Authority of New York and New Jersey Director Molly Campbell explained. “Our goal is to continue to invest in infrastructure that will make this port the most attractive place for shippers to do business.”
The New York Shipping Association said it’s important to note that its economic impact assessment provides just a current snapshot of the contributions made by the New York-New Jersey port industry, measured in jobs, personal and business income and tax revenues.
“This economic value is ongoing – the continuing activities of the port industry generates and sustains jobs and revenues,” NYSA explained in a statement. “As those activities grow and change, the economic value generated reflect the new conditions.”