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Eli Lilly to build a USD 2.5-billion plant in Germany

US-based Eli Lilly is planning a huge investment of USD 2.5 billion, equivalent to around SEK 26.5 billion, in a new production facility in Alzey, Germany.

The plans were revealed last week at an on-site press conference in the small town in the state of Rheinland-Palatinate.

“The new plant will further expand the company’s global network for manufacturing injectable products and devices and meet an increasing demand for Lilly’s medicines, including its diabetes and obesity portfolio,” the company writes in a press release.

The new plant will be the company’s first major production facility in Germany and will provide around 1,000 new jobs. Eli Lilly already has five manufacturing sites in Europe.

“Lilly’s ongoing investments in Europe will create operational synergies, strengthen university and government relationships, support the early-stage life sciences ecosystem and diversify Lilly’s growing presence in Europe,” the company states.

The establishment in Germany can be seen as a reaction to political pressure on large pharmaceutical companies to locate their production closer to the markets they supply.

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