Over the past year, industrial employment in Arizona remained steady as only 1,159 jobs – totaling to approximately 0.5 percent – were lost, according to the 2012 Arizona Manufacturers Directory, an industrial directory published each year by Manufacturers' News Inc. in Evanston, Ill. 

The report finds that Arizona now has 5,267 manufacturers employing 214,360 workers.

"The recovery is gaining momentum in Arizona and across the U.S.," says Tom Dubin, president of MNI. "The state's abundant natural resources, friendly business environment and educated work force has been a draw for a variety of enterprises, particularly in 'green' sectors."

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Transportation equipment is Arizona's largest sector as it provides 31,339 jobs, an increase of 1.9 percent over the past year, the report finds. Industrial machinery and equipment is the second largest industry with 26,265 jobs, though that is down 1.5 percent. Fabricated metals comes in as the third largest sector employing 25,101 jobs, up 1.5 percent over the past year.

Of the sectors that added jobs in the past year are chemicals and allied products at 10.7 percent, primary metals at 6.8 percent and electronics at 1.7 percent. Losses are primarily in sectors relating to housing, with stone, clay and glass at minus 7.5 percent; furniture and fixtures at minus 7.2 percent; and lumber and wood at minus 6.5 percent. Jobs in printing and publishing also declined by 5.7 percent while paper products jobs fell 2.5 percent.

Phoenix continues to rank as Arizona's top city for industrial employment with 71,905 manufacturing jobs, although that is down 3.8 percent over the year. Tucson experienced a 2.1 percent employment increase and now employs 30,820 industrial workers. Chandler is up 3.7 percent with 23,199 jobs, and Tempe accounts for 18,322 of the state's jobs, marking a 3 percent decline. Employing 12,296 jobs for a 2.1 percent decline, Scottsdale comes in at fifth. 

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