"At its sprawling complex in Durham, N.C., Merck has opened a new $1 billion, 225,000-square-foot manufacturing plant slated to produce bulk substance for its megablockbuster HPV vaccine Gardasil.
Merck built the new plant on the 262-acre campus it has occupied since 2004, where the pharma giant produces a variety of vaccines including shots to prevent chickenpox, measles and rubella.
The complex manufactured more than 70 million doses last year, with the figure expected to increase this year, a Merck spokesperson said in an email. The campus now employs more than 1,000 people. The facility drew national attention during the pandemic when Merck and Johnson & Johnson received a $105 million government grant in a rare Big Pharma partnership to manufacture bulk substance for J&J’s ill-fated COVID-19 vaccine.
The opening comes as U.S. biopharma companies are considering manufacturing more of their products in the states. President Donald Trump has warned of expanding tariffs—beyond those already imposed on China, Canada and Mexico—on goods imported from other countries, including a potential 25% levy on pharmaceuticals.
Two weeks ago in Washington, Eli Lilly revealed a plan to spend $27 billion to build four new manufacturing facilities in the U.S. on top of its already extensive network of domestic sites.
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Merck said on Tuesday that it has spent more than $12 billion in expanding its manufacturing and R&D capabilities in the U.S. since 2018. The company has earmarked another $8 billon for U.S. capital investment through 2028.
Merck’s manufacturing chief Sanat Chattopadhyay added in a release that the expansion in Durham “marks a significant milestone in our efforts to strengthen our production and manufacturing capabilities in the U.S.”
Two weeks ago, the state investment board of Delaware approved a $30.2 million grant to Merck to set up a facility outside of Wilmington at the Chestnut Run Innovation & Science Park. The grant came as part of a local planning and development process, and the company is continuing to review its options.
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Meanwhile, the new vaccine site in Durham is equipped with advanced capabilities including data analytics, generative AI and three-dimensional printing, Merck said. It also includes digital twin technology, a virtual model that can “simulate process changes before they are implemented"" and can help with the training of employees.
In addition, at the Durham site, Merck is building a facility that will expand the company’s capability to produce bladder cancer med TICE BCG, a freeze-dried medicine administered by catheter that has been plagued by supply issues for years. The company said Tuesday in an email that the project is expected to be finished by the end of this year.