Eli Lilly to invest $1.2 billion to expand manufacturing
- The San Juan Daily Star
- 1 hour ago
- 3 min read
By THE STAR STAFF
Gov. Jenniffer González Colón and Economic Development and Commerce (DDEC by its acronym in Spanish) Secretary Sebastián Negrón Reichard announced Wednesday that Eli Lilly and Company (Lilly) will invest over $1.2 billion to modernize and expand its pharmaceutical manufacturing operations in Carolina.
The investment marks one of the largest private sector contributions in the island’s history and represents the most significant expansion announced under the current administration.
The new investment will upgrade and expand Lilly’s two main plants. The first phase will convert facilities built in 1968 into a state-of-the-art factory for producing solid oral medications (plant PR01). Additionally, construction will extend to plant PR05, which is dedicated to insulin manufacturing, thereby increasing production capacity and incorporating advanced pharmaceutical manufacturing technologies.
The initiative will also include substantial investments in energy integration and sustainability, such as a 9-megawatt (MW) cogeneration unit and a 2-MW solar field, which together will supply up to 85% of the facility’s energy demands using cleaner and more efficient sources.
González Colón emphasized that the announcement represents a pivotal moment for Puerto Rico’s industrial transformation and aligns with the government’s public policy aimed at strengthening its advanced manufacturing base.
“This announcement reflects the very essence of our public policy, which aims to position Puerto Rico as a strategic hub for advanced manufacturing, innovation, and national economic security,” the governor said. “Eli Lilly’s historic investment is a powerful demonstration of confidence in our people, our infrastructure, and our long-term competitiveness within the U.S. supply chain. It shows that global companies can continue to grow and thrive here while Puerto Rico makes a significant contribution to the resilience of the nation’s most critical industries.”
The expansion will create 1,100 new jobs during both the construction and operational phases, in addition to the multiplier effect of jobs generated through increased demand for goods, logistics, maintenance, utilities, construction and support services. More than 1,000 existing specialized jobs will be preserved, and efforts will continue to foster the development of Puerto Rican talent in advanced manufacturing and biotechnology.
Negrón Reichard said the project not only signifies a milestone for the company but also symbolizes perseverance and shared progress between Lilly and Puerto Rico.
“Eli Lilly’s decision to expand in Puerto Rico reaffirms a partnership that has endured for six decades and reflects the industrial evolution of our island,” the DDEC secretary said. “With this historic investment, Puerto Rico demonstrates its capacity to attract world-class investment, the security of the U.S. pharmaceutical supply chain is strengthened, and Puerto Rico is positioned as a strategic hub within Lilly’s commitment to invest $50 billion in advanced manufacturing in the United States.”
“Over the decades, Lilly has invested more than $2 billion in the island’s industrial infrastructure and currently employs approximately 1,000 people, with an annual payroll of around $109 million, in addition to supporting hundreds of local suppliers,” he added. “This new investment represents not only the company’s continued confidence in our talent and institutions but also the success of our efforts to bring advanced manufacturing back to U.S. jurisdiction through Puerto Rico.”
Lilly has operated in Puerto Rico for over 60 years and was one of the first multinational pharmaceutical companies to establish itself on the island, becoming a pillar of its modern industrial ecosystem. Its facilities produce medications used in cancer treatments, diabetes management and pain relief, which are distributed worldwide.
“We are grateful for the decades of support we have received from the government of Puerto Rico and the island’s industrial and academic ecosystem,” said Edgardo Hernández, executive vice president and president of manufacturing operations at Lilly. “This collaboration not only strengthens our manufacturing operations but also boosts the local economy and benefits everyone who lives here. Together, we are helping to create a brighter future for Puerto Rico through innovation, investment, and new opportunities for our people.”