Merck & Co. on Tuesday opened a new vaccine manufacturing plant in Durham, North Carolina, that will boost the company’s domestic production at a time when President Donald Trump has roiled trade relations with tariffs on foreign imports.
The $1 billion facility is the product of a broader investment campaign by Merck to increase U.S. manufacturing and R&D. The pharmaceutical firm, which has spent more than $12 billion on U.S. capital investment since 2018, plans to invest another $8 billion in the country by 2028.
"Expanding our state-of-the-art manufacturing facility in Durham marks a significant milestone in our efforts to strengthen our production and manufacturing capabilities in the U.S.," said Sanat Chattopadhyay, head of Merck’s manufacturing division, in a statement.
Merck sells a number of vaccines, including Gardasil, which protects against human papillomavirus, as well as shots for pneumococcal disease, rotavirus, measles, mumps and rubella.
In February, the CEOs of Merck, Pfizer and Eli Lilly met with Trump and reportedly discussed the president’s plans to impose tariffs on pharmaceutical imports if drugmakers don’t reshore production to the U.S.
Lilly, which makes the popular GLP-1 drugs Zepbound and Mounjaro, has made a big push in that direction, later announcing it will invest $27 billion to build four drug production facilities in the U.S.
Pfizer has not announced any new investments, but its CEO said in March that it could move overseas manufacturing to existing plants in the U.S.
As a vaccine manufacturer, Merck could face pressure beyond tariffs, too. Health secretary Robert F. Kennedy, Jr., a noted vaccine critic, could shake up the process by which new shots are reviewed and recommended. Two scheduled federal advisory meetings on vaccines have been delayed or canceled since Kennedy was sworn in.
Faced with a growing measles outbreak, Kennedy has promoted fringe theories and treatments like cod liver oil, while questioning the risks of vaccination. While he recently wrote an op-ed encouraging people to consult their doctor about the measles vaccine, he also described the choice to vaccinate as a “personal one” and promoted the use of vitamin A.
Kennedy, who has for years linked the rise in autism to vaccines despite evidence disproving a connection, was previously involved in litigation against Merck over its Gardasil shot. The lawsuit claimed Merck overstated the vaccine’s benefit and concealed side effects from the public.
