(Reuters) -Merck said on Monday it has begun construction of a $3 billion pharmaceutical manufacturing facility in Elkton, Virginia as part of its more than $70 billion investment to expand manufacturing and research
and development in the U.S.
Global drugmakers have been rushing to boost their U.S. investment to shore up their manufacturing capacity, after President Donald Trump urged the industry to make more medicines domestically rather than importing active ingredients or finished medicines.
In 2025, at least 14 major drugmakers across the world announced plans to expand their U.S. manufacturing presence to mitigate supply chain risks and reassure investors as companies across sectors navigate a tough tariff environment in the country.
Merck's site in Virginia is expected to generate 500 jobs, a significant increase beyond the original scope of a $2 billion investment and 300 jobs, said Virginia governor Glenn Youngkin.
The U.S. drugmaker said it plans to invest an additional $3 billion in biologics and small molecule manufacturing sites and capabilities in the U.S., while also investing more than $3.5 billion at its headquarters in Rahway, N.J.
Merck had previously said it will invest $1 billion in a new Delaware plant to make biologics and cancer drug Keytruda, to boost U.S. production and potentially create over 4,500 jobs. It also opened a $1-billion facility at its North Carolina site in March.
(Reporting by Christy Santhosh in Bengaluru; Editing by Krishna Chandra Eluri)
