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Factbox-Global drugmakers rush to boost US presence as tariff threat looms

Factbox-Global drugmakers rush to boost US presence as tariff threat looms

Financial News
Factbox-Global drugmakers rush to boost US presence as tariff threat looms

AstraZeneca

The Anglo-Swedish drugmaker will invest $50 billion on U.S. manufacturing by 2030. The investment will fund a new drug substance facility in Virginia, its ⁠largest single-site global investment, alongside expansions in Maryland, Massachusetts, California, Indiana and Texas.

It has already started technology transfers and is managing inventory in 2025 to minimize any tariff hit. Company executives have said the impact would be "very short-lived."

Novartis

The Swiss drugmaker plans to spend $23 billion to build and expand 10 facilities in the U.S. over the next five years. This includes building six new manufacturing plants and expanding its San Diego research and development site, which is expected to create more than 1,000 jobs.

Sanofi

The French drugmaker plans to invest at least $20 billion in the U.S. through 2030 to boost manufacturing and research. Sanofi plans ​to ​expand its U.S. manufacturing capacity through direct investments in the company's sites and partnerships with other domestic manufacturers.

Chief Financial Officer François Roger said in July the ​potential tariffs are expected to have a limited impact in 2025, as the company already has inventory in ‌place in the U.S.

Biogen

The U.S. drugmaker will invest $2 billion more in its existing manufacturing plants in North Carolina, adding capacity for gene-targeting therapies and automation. The company has seven factories in the state, with an eighth set to begin operations in late 2025.

Merck

The U.S. drugmaker has begun building a $3 billion pharmaceutical manufacturing plant in Virginia as part of its over $70 billion investment to expand domestic manufacturing and research and development.

It will also invest $1 billion in a new Delaware plant to make biologics and cancer drug Keytruda, to boost U.S. production and potentially create over 4,500 jobs. It also opened a $1 billion facility at its North Carolina site in March.

Merck's animal health unit will invest $895 million to expand its Kansas manufacturing and R&D site, part of a broader $9 billion U.S. investment through 2028.

CEO Robert Davis in July flagged minimal impact from potential tariffs in 2025, and that the company remained well-positioned due to inventory management and moving of manufacturing to the U.S.

Amgen

The U.S.-based biopharma firm plans to invest $900 million to expand its Ohio manufacturing facility, bringing total investment in the state to $1.4 billion and adding 750 jobs. In ‌December, the company committed $1 billion to build a second facility in Holly Springs, North Carolina.

Amgen said in September it is investing more than $600 million to build ​a new research and development center at its headquarters in Thousand Oaks, California.

The drugmaker announced it will invest $650 million to expand drug manufacturing at its facility in ​Juncos, Puerto Rico, a move expected to create nearly 750 jobs.

Novo Nordisk

The Danish pharmaceutical company said in August its strong U.S. ​manufacturing footprint positions it well for tariff challenges, describing itself as "very U.S.-centric and U.S.-focused".

AbbVie

U.S. drugmaker AbbVie said in January it has committed $100 billion over the next decade to U.S.-based research and development as part of its three-year ‌deal with the Trump administration to reduce drug prices.

It has 11 manufacturing sites in the U.S. ​and has said it is "fairly insulated" from any tariff impact this year, ​given inventory management actions.

The company said in February that it plans to invest $380 million to build two manufacturing facilities at its current North Chicago, Illinois, campus, to support the production of its neuroscience and obesity medications.

Gilead Sciences

Earlier this year, the drugmaker announced $11 billion in new planned investment in the U.S. to add to its domestic manufacturing and research heft, taking its total pledged investment to $32 billion.

Gilead said in September that it started work on a pharmaceutical development and manufacturing hub at its headquarters in ​Foster City, California, in addition to which, it is currently developing two other sites.

Cipla

The Indian drugmaker is ‌expanding its U.S. manufacturing footprint by investing in capacity expansion for complex respiratory products at its advanced facilities in Fall River, Massachusetts, and Central Islip, New York.

CSL

Australia's CSL said in November it would invest $1.5 billion in the U.S. to manufacture plasma-derived ​therapies, expanding its footprint in the country over the next five years.

In March, the company announced the expansion of its plasma therapy manufacturing facility in Kankakee, Illinois, which is expected to be operational by 2031.

(Reporting by Siddhi Mahatole, ​Kamal Choudhury, Puyaan Singh, Sneha S K and Sahil Pandey in Bengaluru; Editing by Tasim Zahid, Sahal Muhammed, Shinjini Ganguli and Maju Samuel)

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