ManufacturingU.S. Biopharma Companies Advance Over $370B in Manufacturing and...

U.S. Biopharma Companies Advance Over $370B in Manufacturing and R&D Investments

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Major drugmakers have announced more than $370 billion in U.S. project commitments for the next five years, according to a fourth-quarter trend report from DPR Construction. The firm’s assessment shows that biopharmaceutical manufacturers are continuing to expand domestic production and research infrastructure despite fluctuating market conditions.

DPR reported that much of the new construction is taking place along the East Coast, with additional activity in Indiana, Ohio, Kentucky, Virginia and Texas. In its report, DPR stated: “Despite rising costs, aggressive schedules, and unpredictable market conditions, U.S. biopharmaceutical companies are proceeding with substantial investments in manufacturing,” emphasizing the industry’s sustained momentum in facility expansion.

The company also noted that while the eastern states remain the primary focus, opportunities in the western half of the country are becoming more visible. These investments cover a range of activities that include manufacturing build-outs as well as research spending, partnerships and acquisitions.

Several companies have taken leading positions in these commitments. Johnson & Johnson has pledged $55 billion, the highest amount reported. Roche and Genentech, AstraZeneca, Bristol Myers Squibb, Gilead Sciences, Takeda, Eli Lilly, Novartis and Sanofi have also announced significant plans, with individual commitments spanning from $50 billion to $20 billion. DPR explained that these investments frequently combine R&D initiatives with expanded production capacity as drugmakers prepare for long-term growth in the U.S. market.

Smaller manufacturers and biosimilar producers are also strengthening their domestic operations. Moderna recently outlined a $140 million initiative to build end-to-end mRNA manufacturing in the U.S. Additionally, Regeneron is dedicating $2 billion of a broader $7 billion national investment to convert a former magazine facility in Saratoga Springs, New York, into a production site.

DPR highlighted that recent executive actions aimed at streamlining regulatory processes are supporting these developments. The report pointed to efforts intended to simplify facility approvals and expand the nation’s supply of active pharmaceutical ingredients through the establishment of a strategic reserve.

Regulatory agencies have introduced new programs alongside these industry actions. In August, the FDA announced FDA PreCheck, designed to improve early interactions between regulators and manufacturers during facility construction.

Another initiative, introduced in October, offers priority review to generic drugmakers when their abbreviated new drug applications rely on fully domestic manufacturing and bioequivalence testing using exclusively U.S.-sourced active pharmaceutical ingredients.

At the same time, DPR noted that challenges continue in the research sector. The report cited declining federal funding proposals for 2026 at agencies such as NIH, CDC and NSF, as well as slower real estate absorption in major R&D hubs. Even so, DPR observed that novel drug approvals through October 2025 are aligning with last year’s pace.

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