Merck on Monday announced the groundbreaking of its new Virginia pharmaceutical manufacturing facility, a cornerstone of the company’s $70 billion U.S. investment strategy.
The 400,000-square-foot site in Elkton, Virginia, is expected to create 500 full-time positions once operational and generate roughly 8,000 construction jobs during development.
As one of the largest pharmaceutical investments of President Donald Trump’s second term, Merck’s push comes as the administration is prioritizing making pharmaceuticals domestically and reducing dependence on foreign drug production.
“We always will work with the U.S. administration to make sure that we remain, in America, a prime leader in innovation,” Sanat Chattopadhyay, executive vice president and president of Merck’s manufacturing division told FOX Business. “At the same time, do the best we can for our customers through investment in U. S. manufacturing.”
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The new plant will expand U.S. production of vaccines and critical medicines, including active pharmaceutical ingredients and new small-molecule manufacturing and testing capacity. Merck executives say the site will serve as a key hub for next-generation therapeutics beyond the company’s well-established oncology and vaccine portfolio.
Merck CEO Robert Davis called the groundbreaking “an important milestone for Merck, for Virginia, for manufacturing in the United States and, most importantly, for the patients we serve.” He said the investment “helps advance our goal of providing new, innovative treatment options for people facing serious health challenges in the U.S. and around the world.”
The announcement coincides with the White House’s renewed “Made in America” pharmaceutical push.
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“The pharmaceuticals are coming back,” Trump told FOX Business’ Maria Bartiromo on “Sunday Morning Futures.” “China has been eating our lunch. Now, 90% of the pharmaceuticals that we need, underlying components, are made in China.”
Trump added that new tariffs are helping drive production back to U.S. soil.
“I’m putting tariffs on pharmaceuticals, unless they’re made here, they’re all coming back,” Trump said.
The Elkton expansion marks Merck’s fourth major U.S. manufacturing project this year, with similar facilities under construction in Delaware, North Carolina and Kansas.
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Together, Merck’s expansion plan is expected to create more than 48,000 construction-related jobs by 2029.
Between now and 2028, Merck anticipates most construction will be completed, with manufacturing beginning in 2029 and supply operations launching in 2030, according to Dave Moraldo, Merck’s senior vice president of human health manufacturing.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| MRK | MERCK & CO. INC. | 84.79 | +0.87 | +1.04% |
“We’re continuing to look forward to partnering with the Trump administration around policy that promotes and fosters and protects innovation while continuing to position the U.S. pharmaceutical industry as a center of biopharmaceutical innovation,” Moraldo told FOX Business.
Virginia Gov. Glenn Youngkin praised the move as “a monumental step forward for Virginia’s life-sciences sector,” saying it solidifies the state’s role as a national leader in advanced manufacturing and healthcare innovation.
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