Eli Lilly announced it will invest $6 billion to build a new manufacturing plant in Huntsville, Alabama, aimed at increasing production of its experimental obesity pill, orforglipron, as well as other medications. This facility is part of a broader U.S. expansion, following the company’s February announcement to spend at least $27 billion on four new domestic plants, in addition to $23 billion in investments made since 2020.
Construction of the Alabama plant is expected to begin in 2026 and conclude in 2032. Eli Lilly CEO David Ricks highlighted that the investment will strengthen domestic active pharmaceutical ingredient (API) production, enhance supply chain resilience, and ensure reliable access to medicines for patients across the U.S. The added production capacity is particularly critical as Eli Lilly prepares to seek FDA approval for orforglipron, competing in the rapidly growing GLP-1 market alongside Novo Nordisk. Demand for weekly GLP-1 injections has surged in recent years, causing temporary supply shortages, though both companies have worked to address these issues.
The obesity pill received a priority review voucher from the FDA in November, which could shorten the approval process to just a few months. The expansion also reflects broader efforts to increase U.S. pharmaceutical manufacturing amid past concerns over potential tariffs on imported drugs, which have eased following recent pricing agreements. The new Alabama plant is expected to create 450 permanent jobs for engineers, scientists, operations staff, and lab technicians, along with 3,000 construction jobs during the building phase.