Eli Lilly Picks Alabama as Home to $6BN Orforglipron Manufacturing Facility
2025-12-11 16:28
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Wedoany.com Report-Dec.11, Eli Lilly and Company has selected Huntsville, Alabama, as the site for its third dedicated manufacturing facility focused on orforglipron production. The $6 billion investment, announced on 9 December 2025, represents the largest single-site capital commitment in Alabama's history. Construction is scheduled to commence in 2026, with the multi-building campus on a 260-acre site expected to reach completion by 2032.

Eli Lilly is expanding its US drug manufacturing footprint with a new $6bn orforglipron production site in Huntsville, Alabama.

The advanced facility will specialise in the production of small-molecule synthetic and peptide active pharmaceutical ingredients, including orforglipron, Eli Lilly's investigational oral glucagon-like peptide-1 receptor agonist (GLP-1RA). Orforglipron targets both obesity and type 2 diabetes treatments, with the company planning to submit regulatory applications to global agencies, including the U.S. Food and Drug Administration (FDA), by the end of 2025.

The project will generate 3,000 construction positions during the build phase and create 450 permanent high-skilled roles upon opening, encompassing engineers, scientists, operations staff, and laboratory technicians. The site's proximity to the HudsonAlpha Institute for Biotechnology enhances access to a robust talent pool and research ecosystem, supporting efficient workforce development and innovation.

To optimise efficiency, the Huntsville plant will integrate machine learning, artificial intelligence, and digital automation systems throughout its operations. These technologies aim to enhance process monitoring, material handling, and supply chain reliability. The facility will also pursue carbon-neutral standards, aligning with broader sustainability objectives in pharmaceutical manufacturing.

This Alabama development forms a core element of Eli Lilly's comprehensive $27 billion domestic expansion strategy across the United States. The initiative includes four new sites: a $6.5 billion orforglipron-focused plant in Texas, a $5 billion bioconjugate and monoclonal antibody production hub in Virginia, and a $1.2 billion upgrade to the existing facility in Carolina, Puerto Rico. These efforts collectively strengthen production capacity for next-generation therapies in cardiometabolic health, neuroscience, oncology, and immunology.

Complementing U.S. investments, Eli Lilly is advancing its European operations with a $3 billion oral medicine manufacturing site in Katwijk, Netherlands, within the Leiden Bio Science Park. Construction there is slated to begin in 2026, creating 500 permanent jobs and 1,500 construction opportunities. The Dutch facility will incorporate dock-to-dock automation, paperless processes, and spray-dried dispersion technology to improve drug absorption and quality control. Additionally, a $1 billion expansion at the Limerick, Ireland, site will further bolster regional capabilities.

Eli Lilly's accelerated growth trajectory has propelled its market capitalisation beyond $1 trillion, placing it alongside leading global enterprises. This surge is largely attributed to its established obesity and type 2 diabetes portfolio, featuring blockbuster products Mounjaro (tirzepatide) for diabetes and Zepbound (tirzepatide) for weight management.

Orforglipron holds substantial commercial promise as an oral alternative to injectable GLP-1RAs. GlobalData forecasts peak annual sales exceeding $13 billion by 2031, positioning it as a potential mega-blockbuster. The molecule's once-daily dosing without dietary restrictions could broaden patient accessibility and adherence.

Competition in the oral GLP-1RA segment intensifies with Novo Nordisk's anticipated FDA decision on oral semaglutide (Wegovy) in the fourth quarter of 2025. Approval would mark the first oral formulation for chronic weight management, based on positive Phase 3 OASIS 4 trial results demonstrating comparable efficacy to injectable versions in weight reduction and cardiovascular risk factors.

These strategic manufacturing enhancements underscore Eli Lilly's focus on scalable, resilient supply chains to meet escalating global demand for innovative metabolic therapies.

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