Ohio is experiencing a manufacturing renaissance that is transforming its economic landscape. From semiconductor fabrication to aerospace and defense, billions of dollars in investment are flowing into the Buckeye State.

But behind this resurgence lies a critical, often underappreciated driver: Ohio’s oil and gas industry. The state’s abundant natural gas and crude oil resources are not only fueling factories, but also creating conditions for long-term industrial growth.

Manufacturing is energy intensive. Whether it’s producing steel, assembling automobiles, or fabricating microchips, reliable and affordable energy is nonnegotiable, and Ohio’s oil and gas sector delivers exactly that. In 2024, Ohio was ranked in the top 10 for both natural gas and crude oil production. Natural gas production is four times greater than in 2014, and oil production has increased an incredible 21% since 2023.

Natural gas, in particular, has become the backbone of Ohio’s power grid. It fuels the most megawatts of electricity daily through the PJM Interconnection, the largest regional transmission organization in the U.S. During peak demand periods, Ohio’s natural gas infrastructure has delivered thousands of additional megawatts to maintain grid stability and keep factories running. For manufacturers, this reliability is a major competitive advantage.

The oil and gas boom has sparked a wave of economic activity across Ohio. Since 2012, shale-related development has attracted more than $114 billion in investment, helping local businesses and funding infrastructure improvements. The industry supports more than 680,000 manufacturing jobs, which contribute $137.9 billion to Ohio’s economy. These jobs pay well – manufacturing jobs average $76,000 per year, and oil and gas jobs average $87,000 per year, far above the state average wage.

This economic strength complements Ohio’s manufacturing boom. High-tech projects like Intel’s $28-billion semiconductor plants and Anduril’s nearly $1 billion drone technology investment require massive amounts of energy. Without Ohio’s abundant oil and gas resources, these transformative investments would be harder to secure. Energy availability isn’t just a convenience – it’s a prerequisite for attracting advanced manufacturing.

Ohio’s energy advantage extends beyond raw production. The state is home to four major oil refineries with a combined capacity of more than 600,000 barrels per day, producing gasoline, diesel, jet fuel, and petrochemical feedstocks essential for manufacturing. These facilities shorten supply chains and reduce transportation costs for manufacturers, enhancing Ohio’s appeal as a production hub.

Petrochemical derivatives from oil and gas are critical for plastics, chemicals, and advanced materials used in automotive, aerospace, and electronics manufacturing. As Ohio positions itself as a leader in advanced technologies like semiconductors, these oil and gas building blocks become even more important.

Critics often question whether fossil fuel growth can coexist with environmental responsibility. Ohio’s experience shows it can. Despite record oil and gas production, Ohio’s greenhouse gas emissions continue to fall, thanks largely to the shift from coal to cleaner-burning natural gas for power generation. Since 2011, Ohio has reduced its carbon emissions by nearly 44% and methane emissions in the Appalachian Basin have dropped 52% from 2019-2023.

Ohio’s manufacturing renaissance and its energy sector are deeply interconnected. Manufacturers need affordable, reliable energy to remain competitive, while the oil and gas industry benefits from demand for refined products and petrochemical feedstocks. Together, they create a cycle of growth: energy fuels manufacturing, manufacturing drives energy demand, and both generate jobs and tax revenue that strengthen our state and local communities.

As Ohio continues to attract competitive manufacturing projects, maintaining and expanding its energy infrastructure will be essential. Policymakers must ensure a regulatory environment that supports responsible energy development. Investments in pipelines, new technologies, and workforce training will keep Ohio ahead of the curve.

The story of Ohio’s economy isn’t just about efficient factories and manufacturing tech campuses; it’s about the energy that powers them. Oil and gas remain the backbone of Ohio’s industrial strength, and their role in the state’s manufacturing renaissance cannot be overstated. In the race to manufacture the future, Ohio’s energy sector ensures we have the fuel to get there.