Eli Lilly Invests $6 Billion as Active Pharmaceutical Ingredient (API) Production Expands in Huntsville, Alabama

11-Dec-2025
Eli Lilly Update API Production

Key Takeaways:

  • Eli Lilly announces a $6 billion investment in a cutting-edge pharmaceutical manufacturing plant in Huntsville, Alabama.
  • The plant will produce orforglipron, the company’s first oral GLP-1 receptor agonist.
  • Huntsville was chosen from over 300 applicants, thanks to its strong bioscience sector, skilled workforce, and proximity to HudsonAlpha Institute for Biotechnology.
  • The project will create 450 high-value jobs, with an additional 3,000 construction positions.
  • This development marks a significant step in Eli Lilly’s broader $50 billion investment in U.S. manufacturing.

Eli Lilly Expands Domestic Manufacturing Capacity with Major Investment in Huntsville:

Huntsville, Alabama - A New Hub for Pharmaceutical Innovation

The leading global pharmaceutical company, Eli Lilly, announced it would be building a state-of-the-art manufacturing facility in Huntsville, Alabama. This was in line with its commitment to expanding U.S. manufacturing, where the $6-billion plant in Huntsville is set to become the third of four sites across the nation. The other construction locations are Houston, Texas, and Richmond, Virginia.

The Huntsville location is set to play a pivotal role in the company’s strategy of reshoring active pharmaceutical ingredient (API) production. Eli Lilly is moving the production of key medications back to U.S. soil to ensure greater control over its supply chain, improve quality control, and mitigate the impact of steep tariffs on foreign imports. One of the primary products to be manufactured at the Huntsville facility is orforglipron, the company’s first oral GLP-1 receptor agonist, which is expected to be submitted for regulatory approval for obesity by the end of this year.

A Strategic Location for Cutting-Edge Manufacturing

The Greenbrier South site in Huntsville was selected after a rigorous evaluation of over 300 potential locations. Huntsville’s established reputation in science and innovation, paired with its skilled manufacturing workforce, made it the ideal choice for Eli Lilly’s newest plant. A key factor in the decision was the facility’s proximity to the HudsonAlpha Institute for Biotechnology, a hub for biotechnology research and development.

David A. Ricks, Chair and CEO of Eli Lilly, expressed enthusiasm about the new venture, stating, "Huntsville’s track record of science and innovation, supported by advanced manufacturing expertise and a skilled workforce, makes Alabama an ideal location for Lilly to expand domestic manufacturing capacity for next-generation medicines."

Economic Impact and Job Creation

The new manufacturing plant is expected to be a significant economic boon for Huntsville and the surrounding region. Construction will begin in 2026, with completion anticipated by 2032. The project will create 450 high-value manufacturing jobs and generate an additional 3,000 construction positions.

State and local officials are excited about the economic impact. Alabama Governor Kay Ivey hailed the development as the largest initial investment in the state’s history, noting the state’s long-standing contributions to the biosciences sector. Huntsville Mayor Tommy Battle added, "Eli Lilly’s decision to invest $6 billion in a next-generation pharmaceutical manufacturing facility here in Huntsville is a tremendous vote of confidence in our people and our future."

A Bright Future for Huntsville and Alabama

Limestone County Economic Development Association President & CEO Bethany Shockney highlighted the broader economic impact of Eli Lilly’s investment, emphasizing that for every dollar invested by Lilly, up to four additional dollars in economic activity will be generated throughout the region. The addition of this world-class biopharmaceutical facility further cements Huntsville and Limestone County’s status as a prime location for advanced manufacturing and innovation.

This investment marks a major milestone in Eli Lilly’s broader strategy to strengthen U.S. manufacturing, with the company committing a total of $50 billion to its operations across the country. The Huntsville plant represents a critical component of this initiative, helping to ensure reliable access to life-saving medications for U.S. patients while fostering job creation and economic growth in the region.

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About Author:

Jayant Rao, Healthcare Industry Analyst
 

Jayant Rao brings 4 years of experience in the healthcare sector, with expertise in market analysis, regulatory compliance, and investment strategy for pharmaceutical manufacturing and medical devices. He provides clients with insights into trends and emerging opportunities in healthcare infrastructure, supporting decisions on manufacturing plant investments and facility upgrades.

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