Industrial production and manufacturing have been the main contributor to the city's and the state's economy.  Growing at more than 12 percent per annum for the past six years, many industrial parks and estates have been established in the metropolitan, especially within the Johor Bahru district.

Among all the established industrial parks and estates, Pasir Gudang is the premier industrial town in the state and also the country.   Pasir Gudang was established in the 1970s by the Johor State Economic Development Corporation (JSEDC), now known as Johor Corporation.   Pasir Gudang comes under direct administration of Johor Corporation and it also incorporates the state's only industrial port -- Johor Port.

Since its conception, the 7,018 acres Pasir Gudang has grown to become the most successful industrial complex in the country with fully integrated facilities encompassing activities such as petrochemical, oil palm processing, chemical production, shipbuilding, ship-repairing and port facilities.  The township now has an estimated population of 54,000 and it is projected to have a population of 155,000 in the year 2020.

Other major industrial estates and parks in the metropolitan are the Tebrau industrial area (633 acres), the Senai industrial area (289 acres) and the Larkin industrial area. The upcoming major industrial parks are the Johor Technology Park (456 acres), Johor Technovation Park and the Tanjung Langsat Industrial Area (4719 acres).

The Johor Technology Park and Johor Technovation Park will be developed to support high-tech and research & development related industry, while Tanjung Langsat Industrial Area, which can be considered as an extension to Pasir Gudang, will encourage developments of heavy, sea related, petrochemical, steel production and offshore industry.