Manufacturing Weekly Brief: May 6–12, 2025
From significant investments in pharmaceutical manufacturing to evolving trade dynamics and a look at regional manufacturing activity, here’s the most relevant manufacturing industry news from the past week:
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Genentech Announces Major Investment in North Carolina Manufacturing Facility
A prominent biotechnology company, Genentech, part of the Roche Group, revealed plans on May 12th, 2025, to invest over $700 million in a new, advanced drug manufacturing facility in Holly Springs, North Carolina. This marks Genentech’s first manufacturing operation on the East Coast of the U.S., dedicated to producing next-generation therapies, particularly for obesity. The initiative is expected to generate more than 400 high-wage manufacturing jobs in the region and has the potential for future expansion. This investment reflects a growing trend in the pharmaceutical sector towards strengthening domestic manufacturing capabilities.
Published: May 12, 2025
Genentech Plans North Carolina Manufacturing Facility, Expanding Roche’s US Footprint -
Merck and Lilly Announce Substantial Investments in US Manufacturing and R&D
On May 12th, 2025, Merck Animal Health and Eli Lilly and Company announced significant financial commitments in the U.S., totaling over $1 billion. Merck Animal Health will invest $895 million to expand its vaccine manufacturing and research and development in De Soto, Kansas, creating over 200 new jobs. Eli Lilly and Company will extend its partnership with Purdue University, investing up to $250 million over eight years to focus on AI in drug discovery, manufacturing technology, and workforce development. These investments highlight a strong commitment to domestic biomanufacturing innovation and R&D.
Published: May 12, 2025
Merck, Lilly Commit Large Investments to US R&D and Manufacturing Expansion -
Philadelphia Fed Manufacturing Index Shows Weak Activity but Increased Optimism
The Federal Reserve Bank of Philadelphia’s May 2025 Manufacturing Business Outlook Survey, conducted from May 5th to May 12th, indicated continued weak manufacturing activity in the region, with the general activity index at -4.0. However, the survey also revealed a positive shift in expectations, with the new orders index turning positive. Notably, manufacturers expressed widespread optimism for growth over the next six months. Both input and output prices rose to their highest levels since June 2022, suggesting persistent inflationary pressures.
Published: May 12, 2025 (Data collection period)
May 2025 Manufacturing Business Outlook Survey -
US and UK Announce Historic Trade Deal to Strengthen Security and Open Markets
On May 8th, 2025, the United States and the United Kingdom announced a significant trade agreement aimed at enhancing market access for American businesses and bolstering U.S. national security. The deal retains a 10% reciprocal tariff rate and is projected to generate substantial tariff revenue for the U.S. It also seeks to remove barriers in the UK market, potentially creating $5 billion in new export opportunities for U.S. agricultural producers. Additionally, the agreement establishes a new union focused on the steel and aluminum industries and aims to secure the pharmaceutical product supply chain.
Published: May 8, 2025
The Department of Commerce together with USTR Announces Historic Trade Deal with the United Kingdom to Open Markets, Raise Revenue and Strengthen Security | U.S. Department of Commerce -
US, China Agree to Slash Tariffs as Trump Says to Speak With Xi Soon
On May 12th, 2025, the United States and China reached an agreement to lower tariffs on each other’s goods. The U.S. agreed to reduce its tariffs on Chinese goods to 30%, down from 145%, while China will lower its tariffs on U.S. goods to 10%, a decrease from 125%. This agreement follows several days of technical discussions in Geneva between senior economic officials from both countries. The move is expected to have implications for cross-border trade flows and industries reliant on bilateral supply chains.
Published: May 12, 2025
US, China Agree to Slash Tariffs as Trump Says to Speak With Xi Soon | IndustryWeek
Tools & Tips
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Tip 1: Explore the Master Template Generator Beta released by MasterControl on May 15th, 2025. This AI-powered tool within MasterControl’s Manufacturing Excellence (Mx) Production Records module helps life sciences manufacturers optimize their batch records, streamlining the transition from paper to digital manufacturing execution.
MasterControl Launches Master Template Generator Beta for Life Sciences Manufacturing -
Tip 2: Consider reviewing the key presentations and announcements from Automate 2025, which took place in Detroit from May 12th to 15th. This event showcased the latest advancements in robotics and automation technologies relevant to modern manufacturing.
Fun Fact
Did you know that for every $1.00 spent in the manufacturing sector in the United States, a total economic impact of $2.64 is generated across the entire US economy?
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