Glenn Hegar
Texas Comptroller of Public Accounts
Glenn Hegar
Texas Comptroller of Public Accounts
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Glenn Hegar
Texas Comptroller of Public Accounts
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Fabricated Metal Products

Subsector Overview »

Fabricated metal products manufacturing is the largest manufacturing subsector in Texas, accounting for 14.2 percent of Texas’ manufacturing jobs in 2016. This subsector uses purchased metal shapes and further fabricates them into intermediate or end-use products. The processes employed include shaping individual pieces of metal (through forging, stamping, bending and forming) and joining separate parts together (through welding, machining and assembly). Demand for these products is linked to other industrial needs and overall economic growth.

Direct & Indirect Employment

$14.2 Billion
State Subsector GDP

Average Annual Wage

$7.7 Billion

Sources: U.S. Bureau of Economic Analysis, Regional Economic Models, Inc., Emsi, U.S. Department of Commerce International Trade Administration


Several industries in this subsector have a higher share of employment in Texas than nationally, as gauged by location quotient (LQ), a measure comparing an industry’s share of jobs in a specific region with its share of nationwide employment. Of these industries in Texas, the architectural and structural metals industry has the highest LQ value at 1.40, meaning the industry’s share of total employment is 40 percent higher in Texas than in the U.S. as a whole. Such levels of employment concentration can indicate a regional “industry cluster.”

The highest level of subsector concentration is in the Southeast Texas region, with the share of subsector jobs 80 percent higher than its nationwide share.

Description Direct Jobs 2016 Average Texas Salaries 2016 Location Quotient 2016
Subsector Totals 118,060 $58,662 1.00
Forging and Stamping 4,001 $64,989 0.50
Cutlery and Handtool Manufacturing 1,279 $50,503 0.41
Architectural and Structural Metals Manufacturing 42,806 $54,171 1.40
Boiler, Tank and Shipping Container Manufacturing 9,617 $65,234 1.27
Hardware Manufacturing 1,014 $53,256 0.49
Spring and Wire Product Manufacturing 2,971 $51,902 0.84
Machine Shops; Turned Product; and Screw, Nut and Bolt Manufacturing 20,767 $53,516 0.71
Coating, Engraving, Heat Treating and Allied Activities 9,863 $51,988 0.87
Other Fabricated Metal Product Manufacturing 25,742 $70,801 1.15

Source: Emsi

Regional Subsector LQs and Areas of Industry Specialization by Metro Area

  • Metroplex Region LQ 0.89:
    • Sherman-Denison: Fluid Power Valves and Hose Fittings
  • High Plains Region LQ 1.26
    • Amarillo: Ammunition (except Small Arms)
  • Northwest Region LQ 1.07
    • Brownwood: Fabricated Structural Metal
  • West Region LQ 1.17
    • Odessa: Metal Tanks (Heavy Gauge)
  • Central Region LQ 1.02
    • College Station-Bryan: Metal Window and Door
  • Upper East Region LQ 1.58
    • Paris: Metal Cans
    • Longview: Fabricated Pipe and Pipe Fitting
  • Southeast Region LQ 1.80
    • Beaumont-Port Arthur : Power Boilers and Heat Exchangers
  • Gulf Coast Region LQ 1.70
    • Houston-Woodlands-Sugarland: Industrial Valves

Sources: Emsi, Texas Comptroller of Public Accounts


Year Number of Jobs
2010 112,400
2011 122,000
2012 133,100
2013 136,300
2014 142,500
2015 134,400
2016 118,700
2017 120,800

This subsector suffered job losses in Texas beginning in January 2015, coinciding with declining energy prices. Recently, however, its employment has begun to recover, adding about 14,000 jobs from December 2016 to December 2017.

Sources: Texas Workforce Commission, Texas Comptroller of Public Accounts


The fabricated metal products subsector is more labor-intensive than manufacturing as a whole. Labor compensation accounts for 65 percent of the value added in this subsector, compared to 46 percent for all manufacturing activity.

Demand for products in this subsector is driven by regional needs and other industrial activity. The recent decline in energy prices caused a slowdown in demand, but subsector jobs have recovered in recent months as energy prices stabilize.