Johnson & Johnson Commits $4B To New U.S. Drug Manufacturing Under Federal Pricing Agreement

Johnson & Johnson will invest US$4 billion in new pharmaceutical manufacturing facilities in the United States, linking expanded domestic production to a pricing and trade agreement with the Donald Trump administration.

The plan includes a cell therapy manufacturing facility in Pennsylvania and a drug product manufacturing facility in North Carolina. These projects fall within Johnson & Johnson’s previously announced US$55 billion U.S. manufacturing, R&D, and technology investment program through 2029.

As part of the agreement, the company will receive exemptions from proposed tariffs while committing to domestic production and to offering certain medicines to U.S. patients at prices aligned with those in other developed countries. Some products will be available through a new federal direct to consumer platform, TrumpRx.gov.

Construction is already underway in Wilson, North Carolina, where a US$2 billion biologics facility is expected to create construction jobs during development and approximately 500 manufacturing roles once operational. Additional capacity is being added in Holly Springs, North Carolina, through a long term manufacturing partnership.

Johnson & Johnson CEO Joaquin Duato said the agreement supports lower drug prices while expanding U.S. manufacturing capacity. North Carolina officials cited the state’s workforce and existing life sciences infrastructure as key factors in the company’s continued investment.

The announcement reflects a broader shift among large pharmaceutical manufacturers toward increasing U.S. based production as trade policy, pricing pressure, and supply chain reliability increasingly intersect.

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