— Jeff Ward, Lehigh Valley News
The Lehigh Valley’s Gross Domestic Product has reached $55.7 billion, according to a local economic-development group.
The Lehigh Valley Economic Development Corp., citing figures from the U.S. Bureau of Economic Analysis, said Tuesday that the regional GDP in 2023 grew 4% from 2022, factoring in inflation.
The LVEDC said with less plausibility that if the Lehigh Valley were a country, it would rank 88th in the world. That is a nice sound bite, but if other regions in the U.S. and developed world were also counted as countries, the Lehigh Valley would not be anywhere near 88th.
Gross Domestic Product (GDP) is the value of finished goods and services produced within a country’s borders (in this case, within a region) in a set time period.
Here is a link to the statement, and the entire release, cut-and-pasted:
Lehigh Valley GDP Sets New Record at $55.7 Billion
LEHIGH VALLEY, PA – The Lehigh Valley’s Gross Domestic Product grew to a record $55.7 billion in 2023, with manufacturing continuing to be a leading driver.
When factoring in inflation, the Lehigh Valley’s economy grew by 4% from 2022, faster than the state, the Northeast, and the nation. The data released by the U.S. Bureau of Economic Analysis (BEA) on Dec. 4 is the most-recent available, as GDP data lags by one year.
The growth in GDP coincides with the Lehigh Valley being named the No. 1 mid-sized market for economic development in 2023 by Site Selection magazine, an authority in the corporate real estate and economic development field. The ranking is based on the number of projects that meet criteria for size, job creation and financial investment.
“The steady growth of the Lehigh Valley’s economy in recent years is a testament to what can be accomplished when the public and private sector work together,” said Don Cunningham, President and CEO of Lehigh Valley Economic Development Corporation (LVEDC).
“A GDP of more than $55 billion is an impressive number, but what’s more important is how that growth is driving up the quality of life for families. Wages are up. Household income is increasing. There are opportunities for everyone,” Cunningham said.
Factors driving the Lehigh Valley’s economic growth include a growing population, which increases the workforce. Located within a day’s drive of one-third of U.S. consumers, and with access to regional ports and international airports, the Lehigh Valley’s location makes it easy for producers to get their goods to market.
Manufacturing output rose to $9 billion, comprising 16% of the region’s GDP. That’s an increase from BEA’s adjusted 2022 figure of $8.2 billion. Production of non-durable goods, such as food and beverages and consumer and health products drove that growth. Nationwide, manufacturing makes up 12% of GDP.
The Lehigh Valley’s economy is the 67th largest in the country, up from 68th in 2022.
The Lehigh Valley is the 55th largest manufacturing market in the U.S., up one place from in 2022. It ranks among the top 15% of manufacturing markets in the nation.
The diverse manufacturing economy includes more than 700 companies producing a range of items such as semiconductors and other technology, medical and life sciences devices, food and beverages, consumer goods, and plastics, among others.
Top Contributors to Lehigh Valley GDP in 2023
• Manufacturing ($9B)
• Finance, Insurance, and Real Estate ($8.7B+, data partially suppressed by BEA)
• Education, Health Care, and Social Assistance ($8.4B)
• Professional and Business Services ($6.9B)
• Retail Trade ($3.8B)
• Wholesale Trade ($3.8B+, data partially suppressed by BEA)
• Transportation and Warehousing ($3.3B)
• Information ($3.2B)
The Lehigh Valley’s economy is larger than the economy of three states: Alaska, Vermont, and Wyoming.
If the Lehigh Valley were a country, it would be the 88th largest economy in the world.
About LVEDC
Lehigh Valley Economic Development Corporation markets the economic assets of the Lehigh Valley and creates partnerships to support the recruitment, growth, and retention of employers and the creation of jobs for people of all skill and education levels. Our vision is of a diverse Lehigh Valley economy that provides economic growth and opportunity for people of all skills and education and strengthens all our cities, boroughs, and townships.
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