Johnson & Johnson
(NYSE: JNJ)
announced it will invest more than $55 billion in its U.S. pharma and medtech operations over the next four years.
The investment is a 25% increase over its previous investment cycle. It bolsters the New Brunswick, N.J.-based company’s manufacturing, R&D and technology infrastructure. Johnson & Johnson said the investment is expected to deepen its economic footprint.
J&J made the announcement as it broke ground on a new $2 billion, 500,000 sq. ft biologics manufacturing facility in Wilson, N.C. The new site will support the production of next-generation treatments for cancer, autoimmune disorders, and neurological diseases.
“Today’s announcements accelerate our nearly 140-year legacy as an American innovation engine tackling the world’s toughest healthcare challenges,” CEO Joaquin Duato said in a news release. “Our increased U.S. investment begins with the ground-breaking of a high-tech facility in North Carolina that will not only add U.S.-based jobs but manufacture cutting-edge medicines to treat patients in America and around the world.”
In addition to the new North Carolina facility, J&J plans to build three additional advanced manufacturing facilities and expand several existing sites across its Innovative Medicine and MedTech businesses. Details on those locations have yet to be disclosed.
J&J also said the $55 billion commitment will fund significant investments in R&D with a focus on neuroscience, robotic surgery, oncology, immunology and cardiovascular disease.
The company credited the 2017 Tax Cuts and Jobs Act with enabling a step-up in U.S. investment levels in recent years. Johnson & Johnson says it operates more manufacturing facilities in the U.S. than in any other country.
J&J joins a host of U.S. companies announcing investments in domestic manufacturing amid the Trump administration’s plans to raise tariffs, with the president saying that the import taxes policy will bolster U.S. industry. The previous Biden administration had its own policies to encourage the reshoring of the United States’ life sciences supply chain after the COVID-19 pandemic saw shortages of needed supplies.
Other life sciences companies announcing investments in the U.S. have included:
- Novo Nordisk announced in 2024 that it was investing $4.1 billion to build a new manufacturing facility in North Carolina.
- Ely Lilly said last month that it would more than double the billions it is spending on U.S. operations, increasing the amount it has spent since 2020 to more than $50 billion.
- BD is boosting its capacity of domestically manufactured, safety-engineered injection devices by more than 40%, with conventional syringes increasing by more than 50%
AdvaMed President and CEO Scott Whitaker shared his thoughts about the investment in a LinkedIn post:
Johnson & Johnson MedTech’s presence in the U.S. combines with the rest of our industry’s presence into an impressive and unique American success story. 95% of medtech R&D occurs right here at home. Nearly 3 million direct and indirect jobs are supported by our companies, and medtech jobs pay 37% more than average in the U.S.
And our presence in America – the no. 1 medtech market in the world – is only getting stronger.
I am proud of our industry’s commitment to expanding our American footprint. Congratulations to J&J, and to the people in and around the Wilson, NC, area for this exciting opportunity.
