Merck has officially broken ground on a $3 billion pharmaceutical manufacturing facility in Elkton, Virginia, marking one of the largest single investments in U.S. pharmaceutical manufacturing infrastructure. The 400,000-square-foot Center of Excellence for Pharmaceutical Manufacturing represents a significant expansion from the company's originally announced $2 billion commitment and will create 500 full-time positions along with 8,000 construction jobs.
The facility will serve as Merck's Center of Excellence for Pharmaceutical Ingredients and Small Molecule Manufacturing, focusing on both active pharmaceutical ingredient production and drug product manufacturing. This state-of-the-art facility will enhance the company's capabilities in small molecule manufacturing and testing, building upon Merck's nearly 85-year operational history at the Virginia site.
Strategic Investment in Domestic Manufacturing
The Virginia expansion is part of Merck's broader $70 billion investment strategy beginning in 2025 to expand domestic manufacturing and research and development capabilities across the United States. This commitment excludes any future business development transactions in R&D and aims to strengthen the U.S. position as a global leader in biopharmaceutical innovation.
"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 chief executive officer 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."
Nationwide Manufacturing Expansion
The Virginia facility represents the latest in a series of major manufacturing investments by Merck across the United States. In 2025 alone, the company has announced nearly $6 billion in manufacturing investments across North Carolina, Delaware, Kansas, and Virginia, anticipated to create more than 1,600 new American jobs.
Recent investments include the completion of a $1 billion vaccine production facility in Durham, North Carolina, expected to generate nearly 400 full-time roles, and the groundbreaking of a $1 billion biologics center of excellence in Wilmington, Delaware. Additionally, Merck Animal Health announced an $895 million expansion in De Soto, Kansas, creating more than 200 full-time manufacturing roles.
The company's comprehensive U.S. expansion plans include an additional $3 billion investment in biologics and small molecule manufacturing sites expected to create more than 800 jobs, plus over $3.5 billion in its Rahway, New Jersey headquarters, forecasted to create roughly 1,000 jobs across research and clinical manufacturing.
Economic Impact and State Support
Virginia Governor Glenn Youngkin emphasized the transformational nature of the investment for the state's life sciences sector. "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 stated. "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."
The Virginia Economic Development Partnership worked with Rockingham County and the Shenandoah Valley Partnership to secure the project. Governor Youngkin approved a performance-based grant of $5 million from the Virginia Investment Performance grant and a $4 million grant from the Commonwealth's Opportunity Fund to assist with the project.
Workforce Development and Training
Support for Merck's job creation will be provided through the Virginia Talent Accelerator Program, ranked the No. 1 Customized Workforce Training Program in the United States by Business Facilities for the third consecutive year. The program provides world-class training and recruitment solutions customized to company operations at no cost to qualified expanding companies.
Sanat Chattopadhyay, executive vice president and president of Merck Manufacturing Division, highlighted the site's historical significance: "For almost 85 years, our Elkton site has been a beacon of innovation in our proud legacy of delivering leading-edge science for patients. 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 company's efforts across the U.S. are forecasted to create more than 48,000 construction-related employment opportunities by 2029, further fortifying domestic production and distribution of medicines and vaccines to protect patients nationwide.
