Economy of Indiana

By | March 4, 2023

Indiana is located in the Midwestern United States and is the 17th most populous state in America. The economy of Indiana is largely driven by agriculture, manufacturing, and transportation, with a strong focus on automotive production. Indiana has traditionally been known for producing steel and other heavy industrial products. However, the state has seen an increase in the number of high-tech and advanced manufacturing businesses, such as aircraft parts manufacturers, pharmaceutical companies, computer software developers, and medical device manufacturers.

Agriculture plays a major role in Indiana’s economy. The state is home to a large number of farms that produce corn, soybeans, dairy products, eggs, hogs, beef cattle and poultry. In addition to these traditional crops and livestock products, Indiana also produces wine grapes for wineries throughout the state. The state also has a thriving forestry industry that produces lumber for construction projects throughout the region.

Manufacturing is another key industry in Indiana’s economy. The automotive industry accounts for nearly 25 percent of all manufacturing jobs in the state; other major industries include aerospace/defense production; chemical production; metal fabrication; plastics processing; printing/publishing; food processing; electronics assembly; medical device manufacturing; and computer hardware/software development.

Transportation is another important part of Indiana’s economy with many large companies located within its borders or nearby cities such as Indianapolis. Major highways run through the state connecting it to other parts of the country while railroads transport goods both domestically and internationally. Airports are located throughout the state providing access to international destinations as well as regional airports providing regional flights within Indiana itself.

The service sector also contributes significantly to Indiana’s economy with tourism being one of its largest industries bringing visitors from around the world every year to experience its natural beauty from Lake Michigan beaches to rolling hills across rural areas of southern Indiana. Retail sales account for over $50 billion dollars annually with several large cities including Indianapolis being home to some of America’s largest shopping malls such as Circle Centre Mall or Castleton Square Mall . Financial services are also important contributors, including banking, insurance, real estate, investment banking, venture capital firms, law firms, accounting firms.

Overall, Indiana’s economy continues to be diverse with an array of industries contributing significantly to its success . With an educated workforce able to support these various sectors, along with its central location within America’s Midwest making it an ideal place for businesses looking for access to markets both domestically and internationally, it’s no wonder why so many companies choose this great state as their home base.

Top 3 Counties in Indiana

According to, main counties in Indiana include:

1. Marion County: Located in the central region of the state, Marion County is the largest and most populous county in Indiana. It is home to Indianapolis, the state’s capital and largest city. The county seat is also located in Indianapolis. Marion County has a population of 928,281 people and a total area of 403 square miles. The county is served by several major highways including I-465, I-65, I-70, and US-36. It has an extensive public transportation system including buses and light rail lines operated by IndyGo. The economy of Marion County is largely based on manufacturing, retail trade, health care services, professional services, education services, finance and insurance services, and hospitality services.

2. Allen County: Located in northeastern Indiana on the Ohio border, Allen County is the second most populous county in the state with a population of 374,905 people as of 2019 estimates. Fort Wayne serves as the county seat as well as its largest city. The total area of Allen County is 524 square miles making it one of the larger counties in Indiana. It has an extensive highway network which includes I-69, US 24/33/30/27/224/637/220/127/930/14/227 as well as several other state routes and interstate highways that run through it or intersect it at various points within its boundaries. The economy of Allen County relies heavily on manufacturing with other industries such as retail trade also contributing significantly to its economy.

3. St Joseph County: Located in northern Indiana along the Michigan state line St Joseph County has a population of 266,931 people according to 2019 estimates making it third most populous county in Indiana after Marion and Allen counties respectively . South Bend serves as both its county seat and largest city while Mishawaka lies just east across the St Joseph River from South Bend serving as another large city within St Joseph’s borders.. The total area covered by St Joseph County is 471 square miles with parts located on both sides of St Joseph River connecting Lake Michigan with Lake Erie via Maumee Bay.. Its economy relies heavily on manufacturing with education services also playing an important role.. Health care services also contribute significantly to its economy while retail trade remains a major contributor too.

Economy of Indiana