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GSK plc announced Wednesday that it will invest roughly $1.2B to build a new facility for pharmaceutical manufacturing and research and development in Upper Merion, Pennsylvania, as well as to upgrade existing manufacturing facilities in four states. Construction for the new factory is scheduled to begin in 2026, according to a GSK press release.
The $1.2B investment is part of a commitment by the UK company to inject $30B into its U.S. manufacturing and R&D infrastructure over the next five years. The new facility, announced to coincide with President Donald Trump’s state visit to the UK, will include modern manufacturing and laboratory facilities, as well as artificial intelligence and digital technologies.
GSK’s announcement continues a trend of pharmaceutical companies investing in new U.S. facilities.
On the same day as GSK unveiled its investment, Eli Lilly and Co. announced plans to invest $5B to build a new manufacturing facility near Richmond, Virginia, as part of a $27B push to build four new factories. Overall, Big Pharma pledged at least $170B in U.S. manufacturing during the first half of 2025.
“All the major pharma companies have made some kind of commitment,” NCBiotech CEO Doug Edgeton told Bisnow in June. “I do think there is an urgency now that has not been there before.”
This drive to invest has been spurred by the Trump administration’s onshoring efforts and continuing threats to impose tariffs on foreign-manufactured goods. The administration has also sought to reduce the red tape that may discourage manufacturing investment. Trump issued an executive order in June directing the Food and Drug Administration to lower regulatory hurdles that would prevent pharmaceutical companies from breaking ground on new domestic manufacturing facilities.
The recent U.S. investment is also a continuation by Big Pharma toward building manufacturing resiliency after the trade disruptions of the coronavirus pandemic.
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