BD Boosts U.S. Manufacturing of Critical Medical Devices

Rhea-AI Summary

BD (NYSE: BDX) announced major investments in its U.S. manufacturing capabilities for critical medical devices. The company invested over $10 million in 2024 to expand production capacity, adding new needle and syringe lines in Connecticut and Nebraska facilities. This expansion will increase domestic production of safety-engineered injection devices by >40% and conventional syringes by >50%, adding hundreds of millions of units annually.

The company hired 215 full-time employees to support increased production. Additionally, BD plans to invest over $30 million in 2025 to expand IV line manufacturing capacity at its Utah plant, following a $2 million investment in 2024 that increased IV catheter output by >40 million units annually.

BD operates more than 30 manufacturing and distribution facilities across 17 U.S. states and Puerto Rico, employing over 10,000 people. Key facilities include Nebraska (opened 1949), Connecticut (1961), and Utah (1956), which collectively represent 200 years of manufacturing experience.

Positive

• Over $10 million investment in 2024 expanding manufacturing capacity
• 40% increase in safety-engineered injection devices production
• 50% increase in conventional syringes production
• Addition of 215 new full-time jobs
• Planned $30 million investment in 2025 for IV line expansion
• 40 million unit increase in annual IV catheter production

Negative

• None.

Insights

Manufacturing Operations Expert

This $42 million manufacturing expansion represents a strategic move to strengthen domestic medical device production capacity. The 40% increase in safety-engineered injection devices and 50% boost in conventional syringe production will significantly enhance supply chain resilience. The addition of 215 jobs and expansion across three facilities demonstrates a substantial operational scaling that will help address critical healthcare supply needs.

The investment allocation is particularly noteworthy - $10 million for immediate syringe production expansion and $30 million for IV catheter capacity in 2025, plus $2 million already invested in IV improvements. This phased approach allows for optimal resource utilization while ensuring continuous production capability enhancement. The geographic diversification across Nebraska, Connecticut and Utah facilities mitigates regional supply chain risks.

Healthcare Industry Analyst

This expansion addresses critical healthcare infrastructure needs while positioning BD strategically in the domestic medical device market. The timing is particularly relevant given recent global supply chain disruptions and increasing emphasis on domestic manufacturing capability. The focus on essential medical devices - syringes, needles and IV catheters - targets high-demand, high-volume products that form the backbone of healthcare delivery.

The investment strengthens BD's market position as one of the few remaining large-scale domestic manufacturers of these essential medical devices. With over 30 manufacturing and distribution facilities across 17 states and Puerto Rico, employing over 10,000 people, this expansion reinforces BD's dominant position in the U.S. medical supply chain. The increased production capacity will likely translate into improved market share and enhanced ability to secure long-term supply contracts with healthcare providers.

Financial Analyst

This strategic investment represents a significant move to capture market share and strengthen BD's competitive position. The $42 million total investment is relatively modest compared to BD's market cap of $68.2 billion, but the potential revenue impact is substantial given the hundreds of millions of additional units in annual production capacity. The expansion of high-margin products like safety-engineered devices should positively impact profitability.

The phased investment approach demonstrates prudent capital allocation, with immediate focus on high-demand products while planning for future capacity expansion. The addition of 215 full-time employees, while increasing operational costs, should be offset by the revenue potential from increased production capacity. The domestic manufacturing focus also positions BD favorably for government contracts and healthcare system partnerships, potentially leading to more stable, long-term revenue streams.

FRANKLIN LAKES, N.J., Jan. 15, 2025 /PRNewswire/ -- BD (Becton, Dickinson and Company) (NYSE: BDX), a leading global medical technology company, today announced additional investments in its U.S. manufacturing network to add capacity for critical medical devices, including syringes, needles and IV catheters, to meet the ongoing needs of the nation's health care system.

As part of the company's 2024 investment of more than $10 million to expand manufacturing capacity, new needle and syringe production lines have been installed at the BD plants in Connecticut and Nebraska. One line is already fully operational with additional lines expected to start up in the coming months.

These new lines will boost BD's capacity of domestically manufactured safety-engineered injection devices by more than 40 percent and conventional syringes by more than 50 percent, adding hundreds of millions of units annually to support critical U.S. health care delivery such as hospital procedures, vaccinations, medication preparation and drug delivery to patients. In addition, BD has hired more than 215 full-time employees at its facilities in Nebraska and Connecticut to support the increased production.

BD also has plans for more than $30 million in investments in 2025 to expand manufacturing capacity for IV lines at its plant in Utah to support continued growth in catheter solutions. This follows the company's 2024 investment of more than $2 million for IV line improvements that resulted in increased IV catheter output by more than 40 million units annually.

"Domestic manufacturing is crucial for ensuring a resilient supply of essential health care devices," said Eric Borin, president of Medication Delivery Solutions at BD. "By expanding our production capacity, we are not only meeting the critical needs of patients and providers, but we also are reinforcing our commitment to the nation's health care infrastructure."

The investments underscore the company's ongoing commitment and deep legacy in supporting U.S. health care supply chain resilience through the domestic manufacturing of critical medical devices. Increasing supply capacity builds on the company's more than 120 years of manufacturing excellence across the United States. In Nebraska, Connecticut and Utah alone, the company has collectively 200 years of experience in manufacturing critical medical devices. BD in Columbus, Neb. opened in 1949, and today spans 1 million square feet and employs more than 2,000 people across three locations. BD in Canaan, Conn. opened in 1961, and today spans 385,000 square feet and employs more than 540 people. These sites are the only remaining large-scale syringe manufacturing sites in the U.S. The BD site in Sandy, Utah opened in 1956 and employs approximately 1,200 associates with 650,000 square feet of operations. It is the largest producer of IV catheter lines in the world.   

BD operates more than 30 manufacturing and distribution facilities in the United States, which represent an important part of the backbone of the U.S. medical product supply chain. These facilities employ more than 10,000 people and are spread across 17 states and Puerto Rico.

About BD
BD is one of the largest global medical technology companies in the world and is advancing the world of health by improving medical discovery, diagnostics and the delivery of care. The company supports the heroes on the frontlines of health care by developing innovative technology, services and solutions that help advance both clinical therapy for patients and clinical process for health care providers. BD and its more than 70,000 employees have a passion and commitment to help enhance the safety and efficiency of clinicians' care delivery process, enable laboratory scientists to accurately detect disease and advance researchers' capabilities to develop the next generation of diagnostics and therapeutics. BD has a presence in virtually every country and partners with organizations around the world to address some of the most challenging global health issues. By working in close collaboration with customers, BD can help enhance outcomes, lower costs, increase efficiencies, improve safety and expand access to health care. For more information on BD, please visit bd.com or connect with us on LinkedIn at www.linkedin.com/company/bd1/, X (formerly Twitter) @BDandCo or Instagram @becton_dickinson. 

Contacts:
Media:		Investors:
Alyssa Kretlow		Adam Reiffe
BD Public Relations		Sr. Director, Investor Relations
551.238.4391		201.847.6927
alyssa.kretlow@bd.com		adam.reiffe@bd.com

 

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SOURCE BD (Becton, Dickinson and Company)

FAQ

How much is BDX investing in U.S. manufacturing expansion in 2024-2025?

BD is investing over $10 million in 2024 and plans to invest more than $30 million in 2025, totaling over $40 million for manufacturing expansion of critical medical devices.

What production capacity increase will BDX achieve with its 2024 investment?

The 2024 investment will increase production capacity of safety-engineered injection devices by over 40% and conventional syringes by over 50%, adding hundreds of millions of units annually.

How many jobs is BDX creating with its manufacturing expansion?

BD has hired more than 215 full-time employees at its facilities in Nebraska and Connecticut to support the increased production.

Which U.S. facilities are involved in BDX's manufacturing expansion?

The expansion involves BD facilities in Connecticut and Nebraska for needle and syringe production, and the Utah facility for IV catheter manufacturing.

What is BDX's current U.S. manufacturing presence?

BD operates more than 30 manufacturing and distribution facilities across 17 U.S. states and Puerto Rico, employing over 10,000 people.