Lilly plans to build a new $3 billion facility to boost oral medicine manufacturing capacity in Europe for patients worldwide

Rhea-AI Summary

Eli Lilly (NYSE:LLY) plans a $3 billion greenfield oral medicines manufacturing facility in Katwijk, Netherlands, within Leiden Bio Science Park to expand capacity for oral solid medicines across cardiometabolic, neuroscience, oncology and immunology programs.

The site is expected to create 500 high-wage roles plus an estimated 1,500 construction jobs, incorporate advanced automation and spray-dried dispersion, and will be among sites producing orforglipron. Construction is expected to begin next year and the investment is contingent on government permits.

Positive

• $3.0B planned investment in Europe
• 500 permanent high-wage jobs
• 1,500 estimated construction jobs
• Site will manufacture orforglipron
• Adds manufacturing capacity for multiple therapy areas

Negative

• Investment contingent on final government permits
• Construction start and timelines not yet fixed

Insights

Manufacturing Strategy Analyst

Lilly's planned $3 billion Katwijk site materially expands European oral‑solid dose capacity and secures local production for key programs.

The facility builds manufacturing scale for oral medicines across cardiometabolic, neuroscience, oncology and immunology areas and adds capabilities such as dock-to-dock automation, paperless manufacturing and spray-dried dispersion. The project links directly to commercial supply for orforglipron and strengthens regional supply-chain redundancy by adding a fifth European production hub alongside existing sites.

Execution depends on government permits, local approvals and construction delivery; the company states construction is expected to begin next year and the investment is contingent on final permits. Key near-term risks include permitting timelines, construction schedule slippage and integration of advanced automation; these could delay output and defer the expected workforce benefits of 500 permanent and ~1,500 construction roles.

Watch for three concrete milestones: final government approvals (permits), the start of construction in 2026, and regulatory submissions for orforglipron by end of 2025. Expect the operational impact to crystallize only after permits and building completion, a multi-year horizon for full production capacity.

Netherlands site will bring 500 manufacturing and 1,500 construction jobs while further strengthening Lilly's global supply chain

INDIANAPOLIS, Nov. 3, 2025 /PRNewswire/ -- Eli Lilly and Company (NYSE: LLY) announced today plans to build a new $3 billion manufacturing facility in Katwijk, the Netherlands, located within the Leiden Bio Science Park. This major project will expand Lilly's capacity to produce oral medicines and strengthen the company's global supply chain.

The facility will incorporate advanced manufacturing technologies to meet the needs of Lilly's growing portfolio of oral solid medicines in cardiometabolic health, neuroscience, oncology and immunology. Innovative capabilities will include dock-to-dock automation and material flow, paperless manufacturing, process analytical technology and spray-dried dispersion, which allows oral medicines to be effectively absorbed.

The new site will also be among those that will manufacture orforglipron, Lilly's first oral, small molecule GLP-1 receptor agonist. The company expects to submit orforglipron to global regulatory agencies for obesity by the end of this year.

"With extensive investments already underway in the U.S., our planned expansion in Europe further strengthens our ability to deliver medicines to patients worldwide. Localized manufacturing ensures we can quickly respond to meet regional demand and accelerate distribution within Europe," said David A. Ricks, Lilly chair and CEO. "Leiden Bio Science Park offers access to a skilled workforce, reliable infrastructure and proven pharmaceutical manufacturing capabilities. We look forward to working closely with the EU, national and local governments to create a more favorable and predictable policy environment open to fully harnessing innovative medicines to deliver faster access to patients."

Lilly will bring 500 high-wage jobs to the South Holland province, including highly skilled engineers, scientists, operations personnel and lab technicians, who will leverage state-of-the-art technology to produce life-changing medicines. In addition, an estimated 1,500 jobs will be created during construction, which is expected to begin next year. Lilly's investment is contingent upon the finalization of government permits and local approvals.

"I'm truly proud that Lilly has chosen the Netherlands, Katwijk and the Leiden Bio Science Park after considering many locations across Europe," said Vincent Karremans, minister of Economic Affairs of the Netherlands. "The arrival of Lilly will not only bring new jobs and investments but also boost collaboration in the field of innovative medicines, helping us work together on solutions that truly improve people's health and lives." 

Lilly has established a strong manufacturing footprint in Europe with four existing sites across France, Ireland, Italy and Spain. To meet the growing demand for Lilly medicines, the company has shared plans for three additional EU sites since 2020, including new greenfield sites in Ireland, Germany, and now, the Netherlands. In a recent worldwide benchmark of 32 countries, the Netherlands ranked top-tier in terms of business climate for life sciences companies. Lilly's ongoing investments in the region will create operational synergies and supply chain flexibility, support the early-stage life science ecosystem and strengthen university and government relationships.

"At Lilly, we are investing in next-generation manufacturing facilities around the world to ensure our medicines are made and distributed closer to the communities and patients we serve. Expanding our capabilities in Europe strengthens our global supply chain and reflects our commitment to getting innovative treatments to patients who need them," said Edgardo Hernandez, executive vice president and president of Lilly Manufacturing Operations. "Additionally, with each new facility we are building, we find ways to continue to minimize our environmental footprint – assuring carbon neutrality in our operations and generating zero waste to landfills."

The company recently announced plans to expand an existing manufacturing site in Puerto Rico and to build sites in Texas and Virginia. Two more U.S. locations will be announced in the next few months.

About Lilly
Lilly is a medicine company turning science into healing to make life better for people around the world. We've been pioneering life-changing discoveries for nearly 150 years, and today our medicines help tens of millions of people across the globe. Harnessing the power of biotechnology, chemistry and genetic medicine, our scientists are urgently advancing new discoveries to solve some of the world's most significant health challenges: redefining diabetes care; treating obesity and curtailing its most devastating long-term effects; advancing the fight against Alzheimer's disease; providing solutions to some of the most debilitating immune system disorders; and transforming the most difficult-to-treat cancers into manageable diseases. With each step toward a healthier world, we're motivated by one thing: making life better for millions more people. That includes delivering innovative clinical trials that reflect the diversity of our world and working to ensure our medicines are accessible and affordable. To learn more, visit Lilly.com and Lilly.com/news, or follow us on Facebook, Instagram, and LinkedIn. C-LLY

Trademarks and Trade Names
All trademarks or trade names referred to in this press release are the property of the company, or, to the extent trademarks or trade names belonging to other companies are references in this press release, the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release are referred to without the ® and ™ symbols, but such references should not be construed as any indicator that the company or, to the extent applicable, their respective owners will not assert, to the fullest extent under applicable law, the company's or their rights thereto. We do not intend the use or display of other companies' trademarks and trade names to imply a relationship with, or endorsement or sponsorship of us by, any other companies.

Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements (as that term is defined in the Private Securities Litigation Reform Act of 1995) including about planned capital investments in new manufacturing capacity, production and delivery of medicines, sustainability goals, hiring and related initiatives and reflects Lilly's current beliefs and expectations. However, as with any such undertaking, there are substantial risks and uncertainties in the manufacturing process, development and commercialization of pharmaceutical products any of which could impact the overall commercial success of our products, and as related to cost, completion timing, expected capacity, personnel, and other factors which could impact expected benefits of the capacity expansion and related initiatives. For further discussion of risks and uncertainties relevant to Lilly's business that could cause actual results to differ from Lilly's expectations, see Lilly's Form 10-K and Form 10-Q filings with the United States Securities and Exchange Commission. Except as required by law, Lilly undertakes no duty to update forward-looking statements to reflect events after the date of this release. 

Refer to:	Carla Cox; cox_carla@lilly.com; 317-750-3923 (Media)
	Michael Czapar; czapar_michael_c@lilly.com; 317-617-0983 (Investors)

 

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SOURCE Eli Lilly and Company

FAQ

What is Eli Lilly announcing for Europe on November 3, 2025 (LLY)?

Lilly announced a planned $3 billion oral medicines manufacturing facility in Katwijk, Netherlands, on November 3, 2025.

How many jobs will the new Lilly (LLY) Netherlands facility create and when will construction start?

The project is expected to bring 500 permanent manufacturing jobs and an estimated 1,500 construction jobs; construction is expected to begin next year.

Will Lilly (LLY) manufacture orforglipron at the new Netherlands site?

Yes. The company said the new site will be among those that will manufacture orforglipron.

Is the Lilly (LLY) $3 billion Netherlands investment final?

No. The investment is stated to be contingent on final government permits and local approvals.

How does the Katwijk facility affect Lilly's (LLY) European supply chain?

The facility is intended to expand oral-medicine capacity, strengthen regional supply chain flexibility, and create operational synergies across European sites.