Merck Begins Construction on $1 Billion Biologics Manufacturing Hub
The 470,000-square-foot facility will support the launch and commercial production of next-generation biologics and therapies, including antibody-drug conjugates.
Image Credit: Adobe Stock Images/huenstructurebio.com
Merck announced that construction has begun on a new $1 billion, 470,000-square-foot biologics center of excellence in Wilmington, Del. According to the company, the new site will create 500 full-time positions and is expected to support next-generation biologics production, including antibody-drug conjugates, as well as the future US manufacturing hub for Keytruda (pembrolizumab).1
“The Merck Wilmington Biotech site represents our continued commitment to growing our investments in US manufacturing and has the potential to create thousands of high-paying American jobs while ensuring that we can produce and distribute products close to patients right here in the US,” said Robert M. Davis, chairman, CEO, Merck, in a press release.
The facility will be located in the Chestnut Run Innovation & Science Park (CRISP), with estimates of being partially operational by 2028 and fully active by 2030. Merck intends to further invest in the site to support its growing pipeline and domestic supply strategy, potentially creating an additional 1,500 full-time jobs. Further, the company expressed hopes that the new facility will attract students and professionals, given its proximity to universities in Delaware and Pennsylvania.1
“The decision to build a new biologics facility in Wilmington demonstrates our commitment to advancing US manufacturing and partnering in communities where our employees live and work,” said Sanat Chattopadhyay, EVP, president, Merck manufacturing division, in the press release. “As a hub for life science, research and development, and pharmaceutical manufacturing, CRISP offers unparalleled opportunities for future expansion.”
The move is a part of Merck’s broader investments of over $12 billion in the United States since 2017 and an additional $9 billion planned through 2028. In March, the company announced that construction on its $1 billion, 225,000-square-foot facility for vaccine production capacity in Durham, North Carolina was complete, creating close to 400 new positions as a result. Merck stated that it intends to invest an additional $3.5 billion in biologics and small molecule manufacturing sites and capabilities in the United States.1
The announcement aligns with a broader industry trend, as multiple pharmaceutical companies have unveiled major US manufacturing investments in recent months amid ongoing threats of pharma tariffs by the Trump administration. Last week, Thermo Fisher Scientific announced that it would invest $2 billion over the next four years in the United States, with $1.5 billion going towards expanded manufacturing and $500 million towards R&D aimed at supporting high-impact innovations.2
Within the past few weeks, Regeneron and Roche announced a combined $53 billion investment to improve their manufacturing and R&D infrastructure in the United States. Earlier in the year, similar announcements were made by Novartis, Biogen, and Johnson & Johnson, as pharmaceutical companies work to establish new domestic manufacturing facilities.3
Last week, Merck released its Q1 2025 financial results, which included $15.5 billion in sales, a total decrease of 2% from Q1 2024. However, there was a GAAP net income of $5.08 billion, up 7% from 2024. Additionally, there was a non-GAAP net income of $5.61 billion, up 6% from 2024.4
“This new site in Delaware is on the cutting edge of innovation, helping lead the way as we transform medicine and technology,” said Matt Meyer, Governor of Delaware, in the press release. “Merck is pioneering the next generation of care right here in Wilmington, and they couldn’t have picked a better place to do it. The positive impact this will have on Wilmington and the state of Delaware is exciting, and this is the just the beginning.”
References
1. Merck Breaks Ground on New $1 Billion Biologics Center of Excellence in Wilmington, Delaware. Merck. April 29, 2025. Accessed May 5, 2025. https://www.merck.com/news/merck-breaks-ground-on-new-1-billion-biologics-center-of-excellence-in-wilmington-delaware/
2. Thermo Fisher to Invest $2 Billion in US Biotech Manufacturing, R&D. PharmExec. April 28, 2025. Accessed May 5, 2025. https://www.pharmexec.com/view/thermo-fisher-invest-2-billion-us-biotech-manufacturing-rd
3. Regeneron, Roche Launch Major US Expansion Plans to Meet Growing Demand for Biologics and Innovation. PharmExec. April 22, 2025. Accessed May 5, 2025. https://www.pharmexec.com/view/regeneron-roche-launch-major-us-expansion-plans-meet-growing-demand-biologics-innovation
4. Merck Announces First-Quarter 2025 Financial Results. Merck. April 24, 2025. Accessed May 5, 2025. https://www.merck.com/news/merck-announces-first-quarter-2025-financial-results/
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