Eli Lilly to Build $5bn Cancer Drug Factory in Virginia

American pharmaceutical giant Eli Lilly has revealed plans to construct a $5 billion manufacturing facility in Goochland County, Virginia, marking one of its largest single-site investments to date.

The plant near Richmond will make ingredients for antibody-drug conjugates, new therapies that target cancer and autoimmune diseases directly in diseased cells.

According to Lilly, the facility is expected to create around 650 permanent jobs for engineers, scientists, laboratory technicians, and other staff once operational.

In addition, the construction phase is set to generate approximately 1,800 jobs. The company anticipates completion within five years.

“By expanding our domestic capacity, we’re building a secure, resilient supply chain that delivers for patients today and supports the breakthrough medicines of tomorrow,” said Lilly’s chief executive, David Ricks.

Lilly chose Goochland after weighing hundreds of possible sites. The company looked at factors such as available talent, local incentives, dependable utilities, transport access and zoning rules.

Virginia Governor Glenn Youngkin praised the decision and noted the state is ready to offer financial support for the project.

“The company could qualify for a special appropriation worth up to $130 million, based on earlier plans to invest $2.15 billion and create 468 jobs,” he noted. 

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The project’s scale has since more than doubled, though the appropriation remains subject to approval by the state’s General Assembly.

Lilly expects the economic impact to extend beyond the plant itself. The firm estimates that every dollar spent could generate up to four dollars in the local economy.

Virginia’s workforce pipeline will be strengthened by the Virginia Talent Accelerator Program, a state initiative run in partnership with local colleges and universities.

Eli Lilly, founded 150 years ago, has 49,000 employees worldwide and has manufacturing sites across Indiana, North Carolina, New Jersey, Wisconsin, and Puerto Rico.

Goochland is part of a bigger pattern in the pharmaceutical sector with companies building up domestic capacity to shore up supply chains and reduce reliance on foreign manufacturing. 

Earlier this month, London-based GSK said it would spend $30 billion on U.S. research and manufacturing over the next ten years.

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