Eli Lilly and Company has announced plans to invest USD 3.5 billion to build a new injectable drug and device manufacturing facility in the Lehigh Valley region of Pennsylvania, marking one of the largest life sciences investments in the state’s history. This facility will expand Lilly’s domestic manufacturing capacity and support production of next-generation injectable therapies, including advanced weight-loss medicines such as the investigational drug retatrutide.

The new site, located in Fogelsville, Pennsylvania, will be Lilly’s tenth manufacturing facility in the USA announced since 2020 as part of a broader strategy to strengthen the company’s domestic supply chain and meet rising demand for critical therapies. Construction is expected to begin in 2026, with operations targeted to start by 2031.

Lilly said the facility will create approximately 850 permanent jobs across manufacturing, engineering, scientific and technical roles, as well as an estimated 2,000 construction jobs during the building phase. The company plans to use advanced technologies, including artificial intelligence, machine learning, data analytics and integrated monitoring systems, to improve operational efficiency and ensure a reliable supply of medicines.

David A. Ricks, Lilly’s Chair and Chief Executive Officer, said the investment reflects the company’s commitment to patients and expanding the domestic manufacturing base for high-demand therapies. He noted that partnering with regional suppliers, educational institutions and workforce development organizations will be critical to ensuring the success of the plant and broader economic impact.

State leadership welcomed the announcement as a major milestone for Pennsylvania’s life sciences ecosystem, saying the project will bring significant economic activity to the Lehigh Valley and support the state’s ongoing growth in the pharmaceutical and advanced manufacturing sectors. Local officials highlighted Pennsylvania’s competitive business environment and workforce as key factors in attracting the investment.

The Pennsylvania facility will focus on producing injectable medicines and related devices, bolstering Lilly’s role in addressing obesity, diabetes and other therapeutic areas through expanded domestic production capabilities.