Eli Lilly to invest $5 billion in new Virginia plant as pharma braces for tariffs

Core Insights - Eli Lilly plans to invest $5 billion in a new manufacturing facility in Virginia as part of a broader $27 billion initiative to establish four facilities across the U.S. over the next five years [1][5] - The investment aims to enhance domestic drug production and mitigate risks associated with potential tariffs [1][2] Investment and Expansion - The new facility in Goochland County, Virginia, will focus on producing active pharmaceutical ingredients for cancer and autoimmune therapies, and will increase Lilly's capacity for antibody-drug conjugates [3] - This plant is projected to be one of the largest bioconjugate manufacturing facilities globally, specializing in targeted cancer therapies [3] Job Creation and Economic Impact - The project is expected to generate over 650 permanent jobs for skilled workers and approximately 1,800 construction jobs [5] - Lilly has committed around $50 billion in capital projects since 2020 to support its pipeline and enhance supply chains [5] Market Response - Following the announcement, shares of Eli Lilly increased by 1.8%, reaching $761.43 [4] - CEO David Ricks emphasized the importance of this investment in ensuring a reliable supply of authentic medicines produced domestically [4]