Gov. Phil Murphy announced Sept. 3 the launch of the Office of Strategic Defense Investment, intended to support New Jersey’s defense industry by attracting new missions, safeguarding the competitiveness and sustainability of the state’s existing defense infrastructure, and fostering industry growth.
The new office is part of the New Jersey Economic Development Authority and will provide New Jersey’s defense sector with support, advocacy, and strategic planning for long-term growth.
“New Jersey’s defense sector is a cornerstone of our state’s economy and our nation’s security. With world-class military installations and a vibrant network of defense contractors, the Garden State plays a critical role in advancing cutting-edge military technology,” said Murphy. “We will continue working closely with our partners in government, industry, and the military to strengthen New Jersey’s defense ecosystem.”
The state hosts major military installations such as Joint Base McGuire-Dix-Lakehurst, Picatinny Arsenal, Naval Weapons Station Earle, and the 177th Fighter Wing, along with a strong network of defense contractors. Among the defense contractors located or based in New Jersey are Some of the leading defense and space companies in New Jersey include Lockheed Martin, L3Harris Technologies, Raytheon Technologies, and BAE Systems.
The defense sector is a significant employer in New Jersey, with more than 54,000 personnel working directly on the three major military bases, including more than 46,000 at Joint Base McGuire-Dix-Lakehurst, 6,000 at Picatinny, and 1,500 at Naval Weapons Station Earle. An additional 22,000 New Jerseyans are employed as contractors or within the supply chain.
These installations and contractors bring substantial federal investment to the state, with the Department of Defense allocating about $9.4 billion to New Jersey in fiscal year 2023.
New Jersey is home to about 7,091 defense contractors who collectively receive about $7.3 billion in defense contracts. Of this, more than $1.4 billion supports manufacturing and research and development across more than 1,700 New Jersey companies, underscoring the state’s critical role in advancing defense technologies.
In July, Gov. Murphy sent a letter to Secretary of Defense Pete Hegseth and Secretary of the Army Daniel Driscoll expressing his concerns regarding the Army’s proposed Transformation Initiative. The plan to restructure the Army’s acquisition enterprise by consolidating 12 Program Executive Offices into seven Capability Executive Offices could directly impact Picatinny Arsenal.
