Pharmaceutical giant Roche is committing $50 billion to research and development (R&D) and property, plant, and equipment (PP&E) in the US over the next five years—a move that doubles the company’s US investment pace compared to the previous decade. The announcement, made on April 21, 2025, and highlighted during Roche’s Q1 2025 earnings call on April 24, 2025, signals a deeper pharmaceutical tariff response to strengthen domestic operations and supply chain resilience, likely due to ongoing global trade pressures.
“This would be almost a doubling of our investment in the US over the next five years, compared to the previous 10 years, where we invested $67 billion in R&D and PP&E,” said Thomas Schinecker, chief executive officer of Roche. “We have very strong presence on the West Coast in terms of R&D, but we didn’t have a presence on the East Coast,” Schinecker added. “That’s why we’ve committed to make an investment here, and also in collaboration with Harvard.”
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The expanded investment includes two new US-based sites: a new R&D facility in Boston—Roche’s first on the East Coast—and a new manufacturing site, a location to be announced that is focused on peptide and amylin production. These initiatives will complement Roche’s existing 13 manufacturing and 15 R&D sites across the US.
“Our drug substance capacity utilization is at 50 percent, which truly gives us a lot of flexibility to adjust our manufacturing volumes.”
Roche also clarifies that its US-based production strategy aligns with flexibility in tariff-sensitive areas. “Our drug substance capacity utilization is at 50 percent, which truly gives us a lot of flexibility to adjust our manufacturing volumes,” said Schinecker. Thanks to a fivefold increase in cell line productivity, Roche has rapidly scaled up US-based manufacturing of certain medicines already produced domestically—essentially overnight. Schinecker also noted: “The only remaining medicine that we have to tackle when it comes to tariffs is one that’s currently not being produced in the US, and we already started the tech transfer of this medicine a number of weeks ago.”
This agile positioning underscores a broader pharmaceutical and life sciences trend. Last fall, AstraZeneca announced a $3.5 billion investment to expand its US research and manufacturing operations by 2026, including a new R&D center in Massachusetts, a biologics facility in Maryland, expanded cell therapy manufacturing on both coasts, and specialty manufacturing in Texas. Swiss drugmaker Novartis is also staking its claim, planning to spend $23 billion to build and expand 10 facilities in the US as it contends with renewed threats of drug import duties from the Trump administration.
As previously reported by Lab Manager, the escalation of US tariffs on scientific instruments and lab consumables has prompted companies to reconsider sourcing strategies. Lab managers, in particular, face pressure to balance cost control with supply stability. Developing a resilient lab manager tariff strategy—through nearshoring, supplier diversification, and long-term forecasting—is becoming essential to staying ahead.
Roche’s example illustrates how global players are proactively insulating themselves from trade volatility by building capacity and embedding themselves deeper into local ecosystems. “We’ve been a significant taxpayer in the US,” said Schinecker, pointing to Roche’s long-standing decision to retain manufacturing and intellectual property within the country after acquiring Genentech in 2009.
For insights into how lab managers can navigate ongoing tariff uncertainty, see our full coverage: Lab Manager Tariff Strategy: Where to Begin and How to Stay Ahead.
