Eli Lilly Expands European Manufacturing with a $3 Billion Investment
Amid the biopharma sector’s recent drive to relocate production back home, Eli Lilly has stood out as one of the most assertive players in expanding its U.S. manufacturing network. Following several major domestic investment announcements this year, the company is now directing attention as well as funding toward Europe.
Lilly has revealed plans to invest $3 billion in a new facility for oral drug production in Katwijk, the Netherlands, marking a significant addition to its global manufacturing footprint. The plant will boost capacity for tablet-based therapies, including the company’s anticipated GLP-1 candidate orforglipron, and is expected to create 500 jobs in the process. Lilly, headquartered in Indianapolis, intends to submit regulatory filings for orforglipron as an obesity treatment before the end of 2025.
Eli Lilly already maintains a network of four European facilities located in Spain, France, Italy and Ireland. Building on that presence, the company announced in 2023 its intention to establish a new plant in Germany dedicated to injectable medicines, which was scheduled to begin operations in 2027. In addition, the firm revealed a $1 billion investment to expand its Limerick, Ireland site last year, underscoring the company’s ongoing strategy to strengthen its manufacturing base across Europe.
Global Manufacturing Footprint and Financial Success
Edgardo Hernandez, who serves as the president of manufacturing operations at Lilly, said in a statement that the company is building advanced production sites worldwide to bring its medicines closer to the people and communities it serves. He added that expanding operations in Europe reinforces Lilly’s global supply network and demonstrates its dedication to delivering innovative therapies to patients in need.
In 2025, It has concentrated much of its manufacturing growth within the U.S. Over the past several months, the drugmaker has unveiled plans for massive production complexes in Virginia and Texas, complemented by an upgrade to its existing facility in Puerto Rico, signaling a strong commitment to expanding its domestic supply network.
In February, it announced plans to invest $27 billion in establishing four large-scale manufacturing facilities across the country. With sites in Texas and Virginia now confirmed, the company expects to disclose the locations of the remaining two plants within the coming months, according to its Monday press release.
Beyond its U.S. expansion, Lilly has allocated $1 billion to enhance production capacity in India by partnering with local manufacturing firms.
These sweeping investments mirror the company’s impressive financial trajectory in recent years, as Lilly has overtaken Novo Nordisk to lead the increasingly competitive global obesity treatment market.
In the latest financial quarter, Eli Lilly’s dual-acting diabetes and obesity drug tirzepatide pulled in $10.1 billion in revenue, an impressive feat for a therapy that only received FDA approval in 2022. The medicine has now become the top-selling pharmaceutical product globally, surpassing Merck & Co.’s Keytruda, which previously held the title.
In addition to the Netherlands investment, Lilly has reiterated its commitment to bolstering production in Ireland: in September 2024 the company announced a $1.8 billion investment to expand its manufacturing in Limerick and Kinsale, which supports biologic active-ingredient manufacture and oral diabetes and obesity therapies.
Meanwhile, in Germany the planned facility in Alzey will focus on injectable medicines and devices and is scheduled to begin operations around 2027. This shows how Lilly is diversifying not just through geography but also across production formats (oral vs injectable).
All told, these moves reflect Lilly’s long-term view: as demand for therapies such as tirzepatide continues to surge, having a robust manufacturing footprint is vital not just to growth but to reliability of supply and regulatory readiness. In an era where drug-supply disruptions carry high risk, Lilly is proactively building capacity now to ensure it can support its pipeline, global launches and patient access.
For stakeholders including investors, patients and regional economies, this investment in Katwijk is a signpost of Lilly’s strategy to stay ahead in the competitive biopharma landscape — one defined increasingly by speed, capacity, localisation and technology.
