Johnson & Johnson Invests $2 Billion in US Manufacturing with Fujifilm Partnership

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Johnson & Johnson Invests $2 Billion in US Manufacturing with Fujifilm Partnership

Johnson & Johnson (J&J) has announced a significant $2 billion investment over the next decade to operate a state-of-the-art manufacturing facility at Fujifilm Diosynth's biomanufacturing campus in Holly Springs, North Carolina. This move marks a substantial commitment to bolstering US pharmaceutical manufacturing capabilities and aligns with the broader industry trend of onshoring production.

Strategic Partnership and Facility Details

The agreement between J&J and Fujifilm Diosynth involves a 160,000-square-foot manufacturing space within Fujifilm's expansive campus, which is set to become operational this fall. Initially announced in November 2023, this partnership is part of Fujifilm's larger $2 billion investment in the Holly Springs site, which began construction in 2021.

Fujifilm has billed the campus as the world's largest end-to-end biologics production plant. The company has since increased its investment to $3.2 billion and expects to employ 1,400 people at the facility by 2031. J&J's involvement is projected to create approximately 120 new jobs in North Carolina.

Broader US Manufacturing Push

J&J's collaboration with Fujifilm is part of a larger $55 billion investment plan in the United States over the next four years. This initiative includes the construction of three new manufacturing sites and the expansion of existing facilities within J&J's medicines and medical technology network.

In a related development, J&J broke ground on a new 500,000-square-foot biologics plant in Wilson, North Carolina, in March. This facility, located about an hour's drive from Holly Springs, represents an additional $2 billion investment and is expected to create over 500 jobs. The Wilson plant will focus on producing treatments for cancer, immunology, and neuroscience disorders.

Industry-Wide Trend and Government Influence

J&J's investments reflect a broader industry trend towards increasing US-based pharmaceutical manufacturing. This shift has been partly influenced by the Trump administration's efforts to impose import tariffs on foreign-made medicines, including a recently confirmed 15% tariff on EU-made innovative drugs.

Other major pharmaceutical companies, including AstraZeneca, Eli Lilly, Sanofi, and Novartis, have also announced significant US investment plans. For instance, Regeneron has committed $3 billion to secure manufacturing space at the same Fujifilm Holly Springs site for a 10-year period.

J&J CEO Joaquin Duato emphasized the company's commitment to US manufacturing, stating, "Johnson & Johnson has more manufacturing facilities in the U.S. than in any other country, and we continue to strengthen our presence here." Duato also referenced the recent signing of the One Big Beautiful Bill Act as a factor in the company's continued expansion of US investments.

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