Eli Lilly U.S. Manufacturing Investment to Exceed $50 Billion

Eli Lilly Expands U.S. Pharmaceutical Manufacturing with Over $50 Billion Investment

Eli Lilly and Company (NYSE: LLY) has unveiled an ambitious plan to more than double its U.S. manufacturing investments since 2020, surpassing $50 billion. The expansion will involve the construction of four new pharmaceutical manufacturing sites across the country, significantly enhancing domestic medicine production and supply chain resilience.

This major investment underscores Lilly’s commitment to strengthening its U.S.-based manufacturing infrastructure, particularly in active pharmaceutical ingredients (APIs) and next-generation therapeutic modalities. Three of the forthcoming facilities will focus on API manufacturing, reinforcing small molecule chemical synthesis and reshoring critical pharmaceutical capabilities. The fourth site will expand Lilly’s parenteral manufacturing network, supporting the production of injectable therapies.

Driving Innovation and Strengthening the U.S. Pharmaceutical Supply Chain

“Lilly’s optimism about the potential of our pipeline across therapeutic areas – cardiometabolic health, oncology, immunology, and neuroscience – drives our unprecedented commitment to our domestic manufacturing build-out,” said David A. Ricks, Lilly chair and CEO. “Our confidence positions us to help reinvigorate domestic manufacturing, which will benefit hard-working American families and increase exports of medicines made in the U.S.A.”

By bolstering domestic production capabilities, Lilly aims to enhance supply chain stability, reduce dependency on foreign manufacturing, and accelerate the delivery of innovative treatments to patients worldwide. The newly announced sites will feature state-of-the-art manufacturing technologies, ensuring compliance with stringent regulatory standards and fostering advancements in pharmaceutical development.

Workforce Expansion and Economic Growth

The investment is expected to generate over 3,000 high-skilled jobs, spanning engineering, scientific research, operations, and laboratory functions. Additionally, the construction phase will create nearly 10,000 jobs, providing significant economic stimulation to the selected regions.

“To deliver on our big bets on next-generation modalities like small molecules, biologics, and nucleic acid therapies, Lilly is investing in the state-of-the-art manufacturing infrastructure needed to deliver tomorrow’s safe and reliable medicines,” said Edgardo Hernandez, executive vice president and president of Lilly Manufacturing Operations. “We are not just building facilities. We are creating a future where American innovation leads the world in pharmaceutical manufacturing, requiring a highly skilled workforce prepared to shape the future of healthcare.”

This strategic expansion will contribute to local economies through increased spending, tax revenue, infrastructure improvements, and workforce development programs. The selected regions will benefit from population growth and economic diversification, reinforcing the broader impact of Lilly’s investment in U.S. manufacturing.

Policy Considerations and Long-Term Impact

The expansion aligns with the pro-manufacturing policies set in motion by the 2017 Tax Cuts and Jobs Act. Ricks emphasized the importance of maintaining these policies to sustain domestic investment momentum.

“The Tax Cuts and Jobs Act legislation passed in 2017 during President Trump’s first term in office has been foundational to Lilly’s domestic manufacturing investments, and it is essential that these policies are extended this year,” Ricks added. “We believe that our investments in America and upskilling our nation’s workforce will spark a significant ripple effect. For every job we create, many more will be generated, positively impacting the communities that host our innovative new sites.”

A Growing Manufacturing Footprint

Lilly’s prior domestic capital expansion commitments between 2020 and 2024 totaled $23 billion. This latest announcement builds upon previous initiatives, which included:

• New manufacturing sites in Research Triangle Park and Concord, North Carolina
• Development of facilities within the LEAP Innovation District in Lebanon, Indiana
• Expansion and modernization of Indianapolis manufacturing facilities
• Establishment of the new Lilly Medicine Foundry in Lebanon, Indiana
• Acquisition and expansion of Lilly’s manufacturing site in Kenosha County, Wisconsin

With a growing footprint in domestic pharmaceutical manufacturing, Lilly’s continued investment reinforces the U.S. as a global leader in biopharmaceutical production. By integrating cutting-edge technologies and fostering a skilled workforce, the company remains at the forefront of innovation, ensuring the availability of high-quality, FDA-approved medicines for patients worldwide.