ELKTON, Va. — Global biopharmaceutical leader Merck & Co., Inc. (NYSE: MRK), known as MSD outside the U.S. and Canada, has officially broken ground on a $3 billion Center of Excellence for Pharmaceutical Manufacturing at its longstanding facility in Elkton, Virginia. The milestone marks a major step in the company’s broader $70 billion U.S. investment strategy to expand domestic research, development, and manufacturing operations through 2030.
Located on Merck’s nearly 85-year-old Elkton campus, the new 400,000-square-foot state-of-the-art facility will focus on Active Pharmaceutical Ingredient (API) and Drug Product manufacturing, strengthening the company’s small-molecule capabilities. The project is expected to create more than 500 full-time jobs and generate approximately 8,000 construction positions during its buildout.
“Today is an important milestone for Merck, for Virginia, for manufacturing in the United States and, most importantly, for the patients we serve,” said Robert M. Davis, chairman and CEO of Merck. “This investment helps advance our goal of providing new, innovative treatment options for people facing serious health challenges in the U.S. and around the world.”
Governor Glenn Youngkin hailed Merck’s latest investment as a landmark moment for both the Commonwealth of Virginia and the broader U.S. life sciences industry.
“Merck’s transformational $3 billion commitment to locate its Center of Excellence marks a giant leap forward for both America’s and Virginia’s life sciences sector,” Youngkin said. “It deepens the company’s long-standing commitment to innovation and strengthens the Commonwealth’s position as the emerging national leader in biopharmaceutical advanced manufacturing and life sciences. With hundreds of new jobs and cutting-edge capabilities coming to the Shenandoah Valley, we’re building a future where Virginians lead the way in developing lifesaving medicines for patients around the world.”
The expansion reinforces Virginia’s position as a hub for pharmaceutical and biotechnology innovation, complementing statewide efforts to attract advanced manufacturing and STEM workforce development.
Merck’s Elkton project is part of a sweeping $70 billion investment in U.S. research, manufacturing, and infrastructure, reflecting its confidence in the American biopharma ecosystem. The company’s ongoing expansion across several states demonstrates its long-term commitment to strengthening supply chains and ensuring the domestic production of essential medicines and vaccines.
Industry leaders say the expansion also signals how policy and investment can align to fuel domestic growth. “Merck’s investment announced today shows exactly what happens when pro-growth policies like H.R. 1 are signed into law,” said Jay Timmons, president and CEO of the National Association of Manufacturers (NAM). “By strengthening and making permanent a full suite of competitive tax policies, Congress provided manufacturers with the tax certainty we need to plan, invest, hire and lead. Manufacturers will continue to work with policymakers to advance a comprehensive manufacturing strategy that not only helps manufacturers win — it helps America win.”
So far this year alone, Merck has launched nearly $6 billion in new U.S. manufacturing projects, including:
Merck has also pledged $3 billion in biologics and small-molecule manufacturing sites nationwide and $3.5 billion in its Rahway, N.J. headquarters, strengthening research and clinical manufacturing capacity. Collectively, these projects are expected to create over 48,000 construction-related jobs by 2029.
Merck’s Elkton site has long been a cornerstone of its U.S. manufacturing operations. “For almost 85 years, our Elkton site has been a beacon of innovation in our proud legacy of delivering leading-edge science for patients,” said Sanat Chattopadhyay, executive vice president and president of Merck Manufacturing Division. “We’re proud to be part of the Elkton community, where generations have contributed to our important work with determination, accountability, teamwork and grit.”
The new Center of Excellence represents not only a technological upgrade but also a commitment to local talent development, workforce training, and sustainable manufacturing. The facility is expected to integrate advanced automation, digital systems, and energy-efficient operations, aligning with Merck’s broader environmental sustainability goals.
For more than 130 years, Merck has stood at the forefront of life-saving innovation, delivering breakthroughs in vaccines, oncology, cardiovascular medicine, and infectious disease prevention. The company’s growing U.S. footprint ensures that its research-to-production pipeline remains anchored domestically, bolstering supply chain resilience amid global health challenges.
Through strategic investments like the Elkton Center of Excellence, Merck is positioning itself — and the U.S. — to remain a global leader in pharmaceutical innovation for decades to come.
Originally reported by The Health Care Technology Report.
