Eli Lilly Commits $3.5 Billion to Pennsylvania, Creating 850 Jobs in Major Life Sciences Push
LEHIGH COUNTY, Pa. — In a landmark move for the state's economy, pharmaceutical titan Eli Lilly and Company announced a $3.5 billion investment to construct a major new manufacturing campus in Fogelsville, Lehigh County. The project, facilitated by $100 million in state incentives, is set to create 850 high-quality jobs over the next five years and represents the single largest life sciences investment in Pennsylvania's history.
The new facility, Lilly's first in Pennsylvania, will significantly expand the company's U.S. manufacturing network with a focus on producing next-generation diabetes and weight-loss medications, including popular semaglutide-based treatments. These products are currently sold in approximately 95 countries worldwide.
"Our commitment is to meet the soaring global demand for these critical medicines right here at home," said David Ricks, Eli Lilly's Chair and CEO, at a signing event with Governor Josh Shapiro. "This isn't just about building a facility; it's about building a ecosystem. We're partnering with local suppliers, educators, and workforce programs to ensure this investment strengthens the Lehigh Valley's industrial base for decades to come."
The announcement underscores a broader trend of pharmaceutical companies expanding domestic manufacturing, a priority emphasized in recent federal policy. Governor Shapiro hailed the deal as a direct validation of his administration's revamped economic development strategy, which prioritizes rapid permitting, reduced bureaucratic hurdles, and strategic public investment.
"Two years ago, we promised to chase down historic, transformative deals. Today, we're delivering," Shapiro stated. "Lilly's choice of Pennsylvania is a powerful testament to our skilled workforce and our proactive approach to competing in the global life sciences arena."
The state's incentive package includes $50 million in Job Creation Tax Credits and $50 million in grants for site development and infrastructure. An additional $5 million in Redevelopment Assistance Capital Program funding is earmarked for local community colleges or technical schools to develop tailored workforce training programs.
Don Cunningham, President & CEO of the Lehigh Valley Economic Development Corporation, credited a collaborative, multi-year effort to secure the project. "This is a generational win," Cunningham said. "It positions the Lehigh Valley as a central hub in the nation's life sciences supply chain."
Community Voices
Michael Torres, Local Business Owner: "As a supplier in the industrial sector, this is incredible news. It means stability and growth for dozens of small businesses like mine. The ripple effect will be felt across the Valley."
Dr. Anya Sharma, Public Health Researcher: "Increasing domestic production capacity for essential drugs like insulin and GLP-1 agonists is a positive step for supply chain resilience. However, the real measure of success will be if this investment translates into greater affordability and access for patients."
Rebecca Cole, Community Advocate: "$100 million in public money for a corporation posting record profits? Where's that same urgency for affordable housing or our public schools? We're subsidizing a giant while regular families struggle. This 'win' feels very one-sided."
Franklin Chen, Economic Analyst at Northeast University: "The strategic importance of this cannot be overstated. This moves Pennsylvania beyond traditional manufacturing into high-value, knowledge-intensive production. The 850 jobs are just the start; the ancillary job creation and talent attraction will be substantial."