Merck Breaks Ground on $3B Pharmaceutical Manufacturing Facility in Virginia

Business

ELKTON, Va., Oct. 23, 2025 — Pharmaceutical giant Merck & Co. has begun construction on a 400,000-square-foot Center of Excellence for Pharmaceutical Manufacturing at its long-standing Elkton site in Rockingham County. The project, valued at $3 billion, represents one of the company’s largest single-site investments in the United States.

Expansion of a Historic Site

Merck has operated in Elkton since 1941, and the new facility will build on that legacy by housing both Active Pharmaceutical Ingredient (API) and Drug Product operations. The site will focus on small molecule manufacturing and testing, positioning Elkton as a hub for advanced pharmaceutical production.

Economic and Employment Impact

  • 500+ full-time jobs are expected once the facility is operational.
  • 8,000 construction jobs will be generated during the build phase.
  • The project expands on an earlier $2 billion plan, underscoring Merck’s confidence in Virginia’s workforce and business climate.

Virginia Governor Glenn Youngkin hailed the investment as a “transformational commitment” that strengthens both the state’s life sciences sector and America’s domestic pharmaceutical supply chain.

Part of a Larger U.S. Strategy

The Elkton expansion is part of Merck’s broader $70 billion investment program, launched in 2025, to expand domestic manufacturing and research and development. The initiative includes projects in North Carolina, Delaware, Kansas, and New Jersey, reflecting a nationwide push to reduce reliance on overseas drug production.

Merck’s Vision

Robert Davis, Merck’s chairman and CEO, said the investment reflects the company’s mission to deliver innovative treatments:

“This investment helps advance our goal of providing new, innovative treatment options for people facing serious health challenges in the U.S. and around the world.”

Outlook

The new Center of Excellence is expected to significantly enhance Merck’s ability to produce critical medicines and vaccines, while also reinforcing U.S. pharmaceutical resilience in the face of global supply chain pressures.


Summary: Merck’s $3 billion Elkton facility will expand its nearly 85-year presence in Virginia, create thousands of jobs, and serve as a cornerstone of its $70 billion U.S. investment strategy to boost pharmaceutical manufacturing and innovation.


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Excerpts from connectcre article By: Jasmine Kilman

Merck Research Laboratories, South San Francisco, California Picture by Coolcaesar

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