Impact of Israeli Companies on NYC Economy at Risk
Recent research indicates that Israeli companies contributed a remarkable $13.3 billion to New York’s economy last year, alongside the creation of around 58,000 jobs. However, concerns have arisen that these benefits might dwindle if Zoran Mamdani is elected mayor, as highlighted by a company CEO on Monday.
The U.S.-Israel Business Alliance’s study points out that 648 Israeli-founded businesses are responsible for billions in revenue and account for nearly 90 percent of job growth in five autonomous regions.
The CEO of an Israeli biotech firm expressed to the Post that while his company could bring significant growth to New York, he would reconsider establishing operations there due to Mamdani’s noted criticism of Israel. He believes such sentiments might influence how comfortable his team would feel relocating to the city.
As New York gears up for the mayoral election on November 4, the executive remarked, “We need to see if his words will have a meaningful impact on the ground,” insisting on anonymity.
“If someone on my team is moving to New York, I want them to be in a comfortable area where they don’t feel afraid or, from a business standpoint, deal with people who might shy away because they’re Israeli,” he added.
The New York-Israel Economic Impact Report states that the roughly 650 Israeli-founded companies in the state directly generate about 28,524 jobs, with an overall employment impact of around 57,145 jobs when considering related factors.
Urban centers account for nearly 88% of this job creation, and companies are reported to have added approximately $13.3 billion in economic value to the state, with New York City alone contributing $12.4 billion.
Aaron Kaplowitz, president of the U.S.-Israel Business Alliance, noted that New York City often ranks as a top choice for Israeli tech entrepreneurs looking to enter the U.S. market and expand globally. He emphasized that this international appeal could lead to greater local job creation and economic activity.
However, biotech execs warn that mere attractiveness won’t suffice for retaining or attracting businesses, depending on the next mayor’s policies. One CEO mentioned that he was contemplating moving his business either to New York or Boston, expressing that Mamdani’s debate performances and statements left much to be desired. The ongoing war in Gaza has heightened tensions among this year’s mayoral candidates.
The CEO specifically pointed out Mamdani’s reluctance to affirm Israel’s identity as a Jewish state and his alleged leniency toward Hamas.
“Mamdani’s words may not shape policy directly, but a city leader’s anti-Israel rhetoric can definitely have repercussions,” noted an industry executive. “It’s something we need to factor in.”
The firm’s head stressed that he and other Jewish individuals find it puzzling that Mamdani adopts such a critical stance toward Israel, especially considering New York’s substantial Jewish demographic.
“If Israeli companies were to exit New York due to this situation, it would undoubtedly hit the economy hard,” the CEO stated.
He shared experiences of Israeli friends who moved to New York for work and have found it increasingly challenging since the events of October 7.
Despite facing backlash for his comments on Israel, Mamdani remains a leading candidate in the mayoral race against former Governor Andrew Cuomo and Republican contender Curtis Sliwa. He has committed to safeguarding Jewish New Yorkers from rising anti-Semitism.
