AstraZeneca PLC (LSE:AZN) has unveiled plans to invest $50 billion in the United States by 2030, marking its largest-ever commitment to a single country and signalling a major boost for domestic drug manufacturing and research.
The centrepiece of the investment is a proposed multi-billion-dollar drug manufacturing facility in Virginia, which would be the company’s largest single site worldwide.
The new facility is designed to focus on producing key ingredients for medicines targeting chronic diseases, including AZ's latest weight management and metabolic products such as oral GLP-1 therapies, baxdrostat, oral PCSK9, and combination small molecule treatments.
The site will use advanced technologies including artificial intelligence, automation and data analytics to streamline production of small molecules, peptides and oligonucleotides.
AZ said the wider investment, which builds on a previously announced $3.5 billion outlay, is expected to create tens of thousands of highly skilled jobs in the US and help the company reach its target of $80 billion in total revenue by 2030, with half generated in the US.
The investment also includes an expansion of the Anglo-Swedish giant's research and development facility in Gaithersburg, Maryland, and the development of a state-of-the-art R&D centre in Kendall Square, Cambridge, Massachusetts.
As well as this, there will be new cell therapy manufacturing sites in Maryland and California, continuous manufacturing capacity in Indiana, and additional specialty manufacturing in Texas.
The company also plans to open new sites to support clinical trials and further increase research spending on novel medicines.
Howard Lutnick, US Secretary of Commerce, welcomed the announcement, saying it would help address the country’s reliance on imported pharmaceuticals.
“This historic investment is bringing tens of thousands of jobs to the US and will ensure medicine sold in our country is produced right here,” he said.
AZ employs more than 18,000 people in the US across 19 research, manufacturing and commercial sites. The company expects its investment programme to drive growth in both American and global healthcare markets over the coming years.
Shares in AstraZeneca were little changed in early trading.