New federal data shows the region’s Gross Domestic Product has reached a record $57.3 billion, reflecting the strength of a balanced, diversified economy led by manufacturing and supported by growth across multiple industries. 
That growth is translating into real opportunity.
Total employment in the Lehigh Valley has reached an all-time high of 343,975 jobs. Median household income has risen to a record $84,260, outpacing both Pennsylvania ($77,971) and the United States ($80,734). Over the past five years alone, median household income has increased by more than $17,000 — faster than inflation.
“This latest report shows that the economic renaissance of the Lehigh Valley continues and the impact has spread throughout the region,” said Don Cunningham, President & CEO of Lehigh Valley Economic Development Corporation (LVEDC). “The region’s growth is fueled by manufacturing, health care, and a diversity of employment sectors that are anchored by an expanding talent pipeline.”
A $57.3 Billion Economy — Larger Than Two States
The GDP data is for calendar year 2024, the most recent available, from the U.S. Bureau of Economic Analysis. It shows the Lehigh Valley economy grew by 1.9% over the previous year after adjusting for inflation.
The growth in GDP coincides with the Lehigh Valley being ranked the No. 3 mid-sized market for economic development in 2024 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. Rankings for 2025 will be released in early March.
The region’s economy is now the 68th largest in the United States, with output exceeding two states - Vermont and Wyoming. Lehigh and Northampton counties account for $49.2 billion of the metro area’s total output.
Leading contributors to GDP include:
- Manufacturing
- Health care and social assistance
- Finance, insurance, and real estate
- Professional and business services
- Retail trade
- Transportation and warehousing
- Information
- Wholesale trade
GDP measures the total market value of the goods and services produced by the private sector in the metro region that comprises Lehigh, Northampton, Carbon, and Warren (N.J.) counties. Data for finance, insurance, and real estate; information; and wholesale trade are incomplete because some data was partially suppressed by BEA.
Manufacturing Remains a Competitive Advantage
Manufacturing continues to be a defining strength of the regional economy.
In 2024, manufacturing output rose to $8.9 billion, an increase from BEA’s adjusted 2023 figure of $8.6 billion.
Manufacturing accounts for 16% of the Lehigh Valley’s GDP — the national average is 11%. That growth was driven in part by production of non-durable goods such as food and beverages, consumer products, and health-related goods.
The Lehigh Valley is now the 54th largest manufacturing market in the U.S., ranking in the top 15% nationally and moving up one spot from the previous year.
More than 700 manufacturers call the region home, producing everything from semiconductors and advanced technology to medical devices, food and beverages, plastics, and consumer goods.
Employment in manufacturing has grown at three times the national rate since 2010, underscoring the sector’s long-term momentum.
Growth That Benefits Residents
Economic expansion is coinciding with a decrease in the region’s poverty rate. It has decreased to 10.3%, which is less than both the state (11.7%) and national (12.5%) averages.
Population growth and workforce development continue to support this progress. The Lehigh Valley’s 11 colleges and universities and three career and technical schools graduate more than 11,000 students annually, strengthening the region’s talent pipeline.