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In early May 2026, the Governor’s Office of Business and Economic Development announced a major round of California Competes Tax Credits awarded to 17 companies statewide. The initiative is part of the broader California Jobs First strategy and is intended to stimulate business growth across several target industries. Collectively, these awards are expected to catalyze roughly $1 billion in private investment and support the creation of 4,489 new jobs, with an average weighted annual salary of $132,218, reinforcing the state’s effort to attract and retain employers that provide high-paying work.
State leaders framed the program as a targeted tool to advance sectors that underpin California’s economic leadership. The recipients span aerospace & defense, clean economy, high-tech, manufacturing, and the creative economy. Each award ties directly to expansion plans — from satellite assembly and rare earth recycling to battery production and advanced manufacturing — that aim to strengthen local supply chains and regional job markets across the state.
Where the incentives are headed
Aerospace and defense
The largest concentration of job growth in this round comes from the aerospace & defense cluster, where California remains a national leader. Notable investments include Mach Industries, which is committing $32.5 million to broaden defense manufacturing and R&D facilities in Huntington Beach, Los Angeles and San Francisco, projected to add 1,057 jobs. Apex Technology plans a $165.5 million expansion in Southern California for satellite manufacturing that is expected to create 483 jobs. Voyager Technology will boost Long Beach production with a $75 million investment and 152 new roles, while Lanteris Space is expanding satellite manufacturing in San Jose with a $16 million investment and 70 jobs. These projects illustrate how targeted credits can translate into concentrated employment gains in a high-value sector.
Clean economy and energy innovation
The state directed a significant portion of awards toward companies advancing decarbonization and energy resilience. MP Materials plans a $120 million expansion at Mountain Pass to scale recycling of rare earth elements from retired electronics and add 119 jobs. Peak Energy Technology is investing $71 million to establish sodium-ion battery storage manufacturing in Sacramento and Burlingame, creating 348 positions. Harbinger Motors will build a battery plant for electric truck chassis in Garden Grove and Cypress with a $140 million investment and 343 jobs. Radiant Industries is expanding portable power generator production in El Segundo with $42.5 million and 254 new jobs. These allocations aim to accelerate California’s transition to a clean economy while anchoring manufacturing capacity locally.
High-tech, creative economy and manufacturing
Semiconductors and creative services
High-technology manufacturing also received support: Samsung Semiconductor is scaling its San Jose operations with a $79.5 million investment tied to manufacturing and R&D that will create 400 jobs. In the creative economy, Entropico is expanding film production services in Los Angeles with an $8 million investment, underscoring the state’s ongoing commitment to its media and entertainment cluster.
Manufacturing awards span both traditional and advanced subsectors. Heron Power Electronics is expanding electrical grid component production in Morgan Hill and Scotts Valley with a $140.9 million expansion expected to add 601 jobs. Food and beverage manufacturing projects include S&E Gourmet Cuts’ $30 million expansion in Vernon and San Bernardino adding 338 jobs, and R. Torre & Company’s $67.7 million investment in San Leandro creating 151 positions. Smaller but strategic investments include Glid Technologies’ $11.9 million heavy freight tech plants in Riverside and Auberry; NMI Industrial Holdings’ $2.8 million metal fabrication expansions in Los Angeles and Sacramento; AB Medical Technologies’ $2 million medical device manufacturing growth in Redding and Santa Clara; and California Nutritional Products’ $1.4 million cereal facility expansion in Mecca.
Statewide impact and strategic context
CalCompetes has a long track record: the program has awarded credits to over 1,200 businesses, supporting nearly 169,000 full-time jobs and catalyzing more than $54 billion in private investment to date. Under the broader California Jobs First Economic Blueprint, the state reported generating nearly $1.6 billion in investment in 2026, training over 142,000 workers, and helping to create more than 61,000 new jobs. These numbers are positioned as part of California’s argument for continued investment in innovation clusters that drive both regional prosperity and national competitiveness.
Policymakers view these targeted tax credits as a lever to retain high-value employers, accelerate technology adoption, and anchor manufacturing and clean energy supply chains in-state. With California capturing a large share of U.S. venture capital and registering notable GDP gains in recent years, proponents argue that programs like CalCompetes reinforce an ecosystem where startups, large manufacturers and clean tech firms can scale while creating high-quality employment opportunities across the state.