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Swiss Drugmaker Roche Commits $50 Billion to U.S. Expansion Amid Growing Trade Tensions

The investment is expected to create more than 12,000 jobs, including 6,500 in construction and 1,000 in new and upgraded facilities in states such as Kentucky, New Jersey, and California.

• By Newsdesk
• New Delhi
• Apr 22, 2025

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In a strategic move to safeguard its operations from looming U.S. tariffs, Swiss pharmaceutical giant Roche has announced a $50 billion investment in manufacturing and research across the United States over the next five years. The investment is expected to create more than 12,000 jobs, including 6,500 in construction and 1,000 in new and upgraded facilities in states such as Kentucky, New Jersey, and California.

This announcement comes as the pharmaceutical industry braces for potential sector-specific tariffs, following former President Donald Trump’s recent decision to launch a 21-day investigation under the Trade Expansion Act. While Switzerland currently faces a 10% tariff, that figure could rise to 31% once a 90-day grace period expires.

Roche, known for key treatments including Herceptin Hylecta for breast cancer and Ocrevus for multiple sclerosis, employs around 25,000 people at 24 U.S. locations. The company said that once its expanded footprint is operational, it will export more drugs from the U.S. than it imports, signaling a major shift in its global supply chain strategy.

The investment will fund the development of several key facilities: a gene therapy plant in Pennsylvania, a glucose monitoring device factory in Indiana, and an as-yet-undisclosed facility focused on weight-loss treatments. Roche also plans to open a cardiovascular, renal, and metabolism research center in Massachusetts.

“Our investments of $50 billion over the next five years will lay the foundation for our next era of innovation and growth, benefiting patients in the U.S. and around the world,” said Thomas Schinecker, CEO of Roche.

The announcement aligns with similar moves by global pharmaceutical leaders aiming to preempt U.S. tariffs. Novartis recently committed $23 billion to its U.S. operations, while Johnson & Johnson and Eli Lilly have pledged $55 billion and $27 billion respectively in domestic expansions. These efforts underscore a broader trend of pharmaceutical companies recalibrating their global strategies in response to shifting trade policies, with Europe and Asia—particularly Ireland, India, and China—seen as increasingly vulnerable to U.S. trade action.