Novartis is the latest pharmaceutical company to announce a new major plant in the US, unveiling plans to build a flagship manufacturing hub in North Carolina, part of its $23bn infrastructure investment pledged earlier this year.
The ambitious complex will be spread across Durham and Morrisville, both in North Carolina’s ‘Research Triangle’ district, which has become an increasingly popular destination for biomanufacturing. Alongside others, Pfizer, Merck, GSK, Novo Nordisk and Biogen all have hubs here.
What will the hub produce?
The new plants will produce everything from active ingredients to final packaging. Specifically, the Durham site will manufacture biologics and sterile fill-finish capabilities, while Morrisville’s facility will focus on solid dosage medicines – including tablets and capsules. The new facilities are also projected to create 700 direct jobs and up to 3,000 indirect roles in the region by 2030.
“This announcement is a commitment to American innovation and to the patients we serve,” said Vas Narasimhan, CEO, Novartis. “By building a full, end-to-end manufacturing presence in North Carolina for our broader portfolio, we are expanding our capacity to deliver medical breakthroughs, securing a more resilient US supply chain and investing in the local communities that make our mission possible.”
Naturally, the move has been welcomed by Josh Stein, North Carolina Governor, who said: “Novartis’ expansion in the Triangle reflects our state’s talent and innovative spirit. This investment will strengthen our state’s economy and ensure life-saving medicines continue to be made right in North Carolina.”
How does the investment compare to other players?
Novartis’ investment ranks among the largest US pharma expansions this year. Johnson & Johnson leads the pack with over $55bn promised for manufacturing and R&D, including sites focused on oncology, immunology and other therapies. AstraZeneca follows closely with a $50bn expansion plan, most notably including a $4bn drug substance plant in Virginia. Then Eli Lilly has announced a $27bn, five-year investment covering new sites such as a $6.5bn Houston facility and a $5bn cancer centre in Virginia.
The South remains a favoured location for these developments, perhaps due to favourable operating costs, incentives and a longstanding life sciences presence. The question now is who will move next, and where the next major investment will land.
