Merck invests US$1 billion in new USA-based vaccine facility

Merck annouces the opening of a new state-of-the-art vaccine production plant in Durham, North Carolina, USA, in efforts to bring pharmaceutical product development onto home soil in face of new import tariffs.

The push to reshore manufacturing and development facilities into the US to become more self-sufficient has encouraged several companies to build out capacity domestically, with Merck being the latest to do so, investing US$1 billion in a new, 225,000 square foot vaccine manufacturing plant in North Carolina, USA. 

The facility comes as part of a wider plan to invest in manufacturing and R&D within the US and increase output here. Since 2018, Merck has committed over US$12 billion to US capital investment, and forecasts spending a further US$8 billion by 2028. 

“Expanding our state-of-the-art manufacturing facility in Durham marks a significant milestone in our efforts to strengthen our production and manufacturing capabilities in the USA,” stated Sanat Chattopadhyay, Executive Vice President and President, Merck Manufacturing Division. "The cutting-edge technologies employed here empower our workforce and underscore our leadership in innovation to support patients everywhere."

Merck is a leading vaccine maker in the pharmaceutical industry, with notable vaccines including Gardasil for protection against human papillomavirus, as well as vaccines for pneumococcal disease, rotavirus, measles, mumps and rubella.

The new facility will place Merck in good stead for future developments as it builds on best practices from previous manufacturing sites, as well as incorporating new technical and digital capabilities such as data analytics, generative AI and 3D printing. 

At the beginning of the year the executive leadership of Merck, as well as Pfizer and Eli Lilly engaged in a meeting with President Trump with the aim of discussing plans of tariffs being extended to include pharmaceutical product imports, which Trump was suggesting if production was not reshored to the USA. 

Eli Lilly, the maker of blockbuster GLP-1 drugs Zepbound and Mounjaro has also made a statement investment into reshoring production to the USA, by pledging US$27 billion for the construction of four new manufacturing and production facilities in the USA. 

Pfizer has recently suggested that it aims to shift production from overseas facilities to existing locations in the USA in the near future. 

The new political outlook in the USA also applies pressure to Merck in the appointment of Robert F. Kennedy, Jr. as Health Secretary. Kennedy has a distinct reputation for being critical of vaccines, even being previously involved in a lawsuit against Merck claiming the company exaggerated the effectiveness of the vaccines and concealed potential side effects. 

In his recent appointment, Kennedy has disrupted certain discussions regarding vaccines, including links to the cancellation of an FDA meeting on the subject. 

Sources:

BioPharmaDive. Merck opens $1B vaccine plant in North Carolina. [Date accessed 17/05/2025] www.biopharmadive.com/news/merck-manufacturing-north-carolina-vaccines/742146/ 

Merck. Merck Unveils New Facility to Increase Vaccine Production Capacity. [Date accessed 17/05/2025] www.merck.com/news/merck-unveils-new-facility-to-increase-vaccine-production-capacity/