Business

Lilly picks Virginia for first of four new US plants, a $5 billion site for cancer and biologic drugs

Lilly's $5 billion Virginia plant will make bioconjugate and antibody medicines, not GLP-1 drugs, and is expected to take about five years to finish.

By the Semaglutides news desk·
Lilly picks Virginia for first of four new US plants, a $5 billion site for cancer and biologic drugs
Image: prnewswire.com

Eli Lilly said on Sept. 16, 2025, that it plans to build a $5 billion manufacturing plant in Goochland County, Virginia, just west of Richmond [1]. The site is the first of four new U.S. manufacturing plants the company intends to announce this year [1].

The Virginia facility will be Lilly's first dedicated, fully integrated site for making both active pharmaceutical ingredients (API) and finished drug product for the company's "emerging bioconjugate platform and monoclonal antibody portfolio," according to the announcement [1]. Lilly also said the site will expand its U.S. manufacturing of antibody-drug conjugates, or ADCs [1]. ADCs attach a powerful cell-killing medicine to a monoclonal antibody so it targets diseased cells; they are used mainly in cancer and are being explored for autoimmune diseases and other conditions [1].

Lilly expects the plant to support more than 650 permanent jobs, including engineers, scientists, operations personnel and lab technicians, plus about 1,800 construction jobs [1]. The company said the site is expected to be completed within the next five years [1]. Lilly estimates that for every dollar it invests in the facility, up to four dollars will be generated in local economic activity [1].

The project is part of a larger spending plan. Lilly said the Virginia site falls under $50 billion in U.S. capital expansion commitments made since 2020, and follows its earlier announcement that it would build four new U.S. pharmaceutical manufacturing sites [1]. Goochland County was selected from hundreds of applications, based on factors including workforce potential in the Greater Richmond area, local incentives, access to utilities and transportation, and favorable zoning [1].

The company says it will use machine learning, artificial intelligence and automated systems at the site, and plans to partner with local universities and support community education efforts in Virginia [1].

"This isn't just another manufacturing site — it represents a significant milestone for Lilly, as we begin building our first bioconjugate facility," said Edgardo Hernandez, executive vice president and president of Lilly Manufacturing Operations [1].

Gov. Glenn Youngkin said the facility "will create 650 great jobs, along with 1,800 construction jobs, and deliver some of the most advanced medicines in Lilly's portfolio" [1].

No GLP-1 medicines named for this site

The announcement does not list GLP-1 medicines such as tirzepatide (sold as Mounjaro and Zepbound) among the products the Virginia plant will make [1]. Lilly describes the site as dedicated to bioconjugates and monoclonal antibodies, and to antibody-drug conjugates used mainly in cancer [1]. Whether any of the three remaining plants will produce GLP-1 drugs has not been disclosed in this announcement [1].

Why it matters for patients

The Virginia plant is not aimed at the GLP-1 market based on Lilly's description of it. It is not expected to add supply of Mounjaro or Zepbound, and it will not change how those medicines are made or where they come from in the near term [1].

The timeline is long. Lilly expects construction to finish within about five years and says it expects to begin making medicines at all four new U.S. facilities within five years [1]. That means nothing about this site will affect what is available at a pharmacy in the months ahead.

The therapy areas involved are different from weight loss and diabetes. The plant is meant to make antibody-based medicines for cancer, autoimmune conditions and other advanced therapies, which Lilly says it wants to produce domestically [1].

Lilly frames the broader investment as a supply chain move. CEO David A. Ricks said the company is "building a secure, resilient supply chain that delivers for patients today and supports the breakthrough medicines of tomorrow" [1]. Moving API production to the United States could matter over the long run if overseas supply is disrupted, though this announcement does not describe any current supply problem [1].

The announcement contains no information about drug prices, insurance coverage or patient assistance programs [1].

What happens next

Lilly plans to announce the three remaining U.S. manufacturing sites this year [1]. The company expects to start making medicines at the four facilities within five years [1]. Hiring for the Virginia site will be supported in part through the Virginia Talent Accelerator Program, run by the Virginia Economic Development Partnership with higher education partners [1].

Images from the sources

Lilly announces plans to build $5 billion manufacturing facility in Virginia
prnewswire.com

Sources

  1. https://www.prnewswire.com/news-releases/lilly-announces-plans-to-build-5-billion-manufacturing-facility-in-virginia-302556880.html

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