AbbVie invests $380M to expand Illinois manufacturing

• The new facilities will create 300 jobs including engineers, scientists, manufacturing operators and lab technicians in North Chicago
• Construction timing allows AbbVie to potentially avoid tariffs on branded drugs imposed in October, which exempt producers who had already broken ground on U.S. plants
• The investment is part of AbbVie's larger commitment made in January to invest in U.S.-based R&D over the next decade, with the company planning to announce additional investments in 2026

AbbVie Invests $380M to Expand Illinois Manufacturing

AbbVie announced a $380 million investment to construct two new active pharmaceutical ingredient (API) manufacturing facilities at its North Chicago, Illinois campus, aimed at expanding domestic production capacity for neuroscience and obesity medicines.

Key Investment Details:

• Construction begins spring 2026, with full operation expected by 2029
• 300 new jobs to be created, including engineers, scientists, manufacturing operators, and lab technicians
• Facilities will incorporate advanced manufacturing technologies and artificial intelligence
• Part of broader domestic manufacturing expansion strategy

Market Context:

The investment responds to the Trump administration's tariffs on pharmaceutical imports imposed in October, which exempt producers who had already begun U.S. manufacturing plant construction. This policy shift is driving pharmaceutical companies to increase domestic production capacity and inventory.

Company Expansion:

This announcement follows AbbVie's January commitment of additional investments over the next decade to U.S.-based R&D, including a $195 million expansion at the same North Chicago site for API production supporting immunology, oncology, and neuroscience drugs. The company currently operates 11 U.S. manufacturing sites and is negotiating with multiple states for additional projects, with further investment announcements expected in 2026.

Significance:

API production represents one of the most complex pharmaceutical manufacturing processes, making this expansion strategically important. The investment underscores AbbVie's commitment to domestic pharmaceutical manufacturing amid evolving trade policies and reflects broader industry trends toward reshoring production capabilities to mitigate tariff impacts and supply chain risks.