Amgen, the California-based biotechnology giant, has announced a $900 million expansion of its manufacturing facility in central Ohio, marking a significant move to bolster domestic production amid increasing political pressure. This latest investment brings Amgen’s total commitment in the region to over $1.4 billion and is expected to create 750 new jobs. The expansion is part of a broader trend among major pharmaceutical companies to increase U.S. manufacturing capabilities, following the Trump administration’s renewed push for import tariffs on foreign-made drugs, citing national security concerns.
Amgen’s move places it alongside other major drugmakers such as Eli Lilly, Novartis, Roche, and Johnson & Johnson, all of which have made recent pledges to ramp up production within the United States. The Pharmaceutical Research and Manufacturers of America, the industry’s trade association, has emphasized the complexity and cost associated with establishing new domestic production facilities, noting that such projects can take five to ten years and require investments of up to $2 billion due to stringent regulatory standards. A commissioned study also highlighted the potential for tariffs to lead to higher drug prices, raising concerns across the industry.
In response to the evolving policy environment, the biotechnology firm has underscored its long-term commitment to U.S. investment. Since the enactment of the Tax Cuts and Jobs Act of 2017, Amgen reports having invested nearly $5 billion in U.S. capital expenditures, resulting in approximately $12 billion in additional economic output. This strategic emphasis on domestic infrastructure reflects both economic and political imperatives, as companies prepare for possible phased-in tariffs and shifting regulatory landscapes.
Amgen’s presence in the U.S. extends beyond Ohio. In December, the company announced plans to build a second drug substance manufacturing plant in Holly Springs, North Carolina, with a projected investment of $1 billion. The company also operates manufacturing facilities in Massachusetts, Rhode Island, California, and Puerto Rico, reinforcing its significant national footprint. Internationally, Amgen maintains production operations in Ireland, the Netherlands, and Singapore.
The expansion in Ohio is expected to play a crucial role in enhancing the resilience and capacity of Amgen’s supply chain. By increasing local production capabilities, the company is not only responding to political pressures but also positioning itself to meet growing demand for biopharmaceuticals within the U.S. market, while contributing to the regional economy.
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