Novartis to invest $23 billion in US manufacturing and research expansion

Novartis plans to invest $23 billion over the next five years to expand its U.S.-based manufacturing and research infrastructure, aiming to produce all of its key medicines domestically. 

The initiative includes the development or expansion of 10 facilities across the country, with seven of them being new sites. 

The Swiss pharmaceutical company, which already operates advanced manufacturing for gene and cell therapies in the U.S., said the investment will support end-to-end domestic production of both small molecule and biologic drugs, including active pharmaceutical ingredients and final packaging. 

The expansion includes four new manufacturing facilities — three focused on biologics and one on chemical drug substances — as well as two new radioligand therapy (RLT) manufacturing sites in Florida and Texas. Existing RLT facilities in Indiana, New Jersey and California will also be expanded. The company did not specify locations for the new manufacturing plants. 

On the research side, Novartis will establish a new R&D hub in the San Diego area. The $1.1 billion site will serve as the company’s West Coast research anchor and is expected to open between 2028 and 2029. It will complement existing research centers in Cambridge, Massachusetts, and Basel, Switzerland. 

“With new manufacturing capacity, Novartis will be able to produce 100% of its key medicines end-to-end in the U.S., a significant increase from current levels,” the company said in a statement. 

CEO Vas Narasimhan noted the investment reflects confidence in the U.S. market and policy landscape. “These investments will enable us to fully bring our supply chain and key technology platforms into the U.S. to support our strong U.S. growth outlook,” he said. 

The company expects the investment to generate about 1,000 direct Novartis jobs and an estimated 4,000 additional roles across the U.S. Novartis projects its total U.S. investment to approach $50 billion over the five-year period.

(Source: Healthcare Business)