After China outlay, Lilly plugs $126M into Japan manufacturing plant expansion

While much of the company’s recent focus has remained on beefing up its U.S. infrastructure, Eli Lilly has for the second time this week made moves to raise capacity for its medicines overseas, and once again in Asia. 

The company on Thursday unveiled a 20 billion Japanese yen (nearly $126 million) expansion at its Seishin plant in Kobe, Japan, where Lilly’s local unit plans to install a fresh production line and add a new warehouse by 2028, according to a Japanese-language press release (PDF). 

Lilly did not clarify which drugs the expansion will support, although Nikkei Asia reported on March 12 that the project will bolster manufacturing of medicines for diabetes and obesity. 

The Seishin plant was established in 1981 and currently boasts a headcount of around 315 employees, serving as Lilly’s lone in-house production facility in Japan, according to the release. 

Aside from the new manufacturing line and storage space, Lilly said the investment will promote digitalization and process optimization at the plant to help supply the Japanese market. 

Citing “increasing demand” in the country, Lilly noted that “it is important for us to respond quickly and flexibly to future supply expansions.”

The company pointed out that it previously invested 7 billion yen (around $44 million) at the Seishin facility between 2022 and 2025, which paved the way for new automated device sorting machines, quality testing lab improvements, a new factory building and a fresh packaging line. 

“This additional investment was made in response to the need for further expansion of our supply capacity,” Lilly said of the latest outlay. 

The plant currently occupies a footprint of 23,000 square meters (247,570 square feet) and is primarily involved in analytical testing, inspection and packaging of Lilly products, according to the company’s announcement. 

With its local partner Mitsubishi Tanabe, Lilly has in recent years launched its dual GIP/GLP-1 med tirzepatide across both diabetes and obesity (PDF) indications in Japan, and the company also won approval for its Alzheimer’s disease med Kisunla in the country back in 2024. 

Lilly’s Japan outlay comes on the heels of a major $3 billion investment in the company’s manufacturing operations in China, where the pharma giant has pledged to set up local production for oral solid drugs, and in particular its GLP-1 pill for obesity orforglipron, which is under regulatory review in multiple parts of the world. 

The project, which will play out over a decade, will also see Lilly work with multiple local manufacturing partners, with the first named being Beijing-based CDMO Pharmaron. 

The Indianapolis pharma has also recently committed to a $500 million investment in South Korea. Instead of manufacturing, the money is meant to attract clinical trials to the country, while also support opening an incubator as part of the Lilly Gateway Labs.

Back in the U.S., Eli Lilly has committed to multiple high-profile plant builds in recent months, most recently with plans for a $3.5 billion injectables and device facility in Pennsylvania. Prior to that, the company telegraphed new manufacturing sites in Virginia, Texas and Alabama. 

Those investments have arrived amid a spate of similar U.S. moves by Big Pharma companies looking to navigate the Trump administration’s pharmaceutical import tariff threats. 

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Oregon Growers Keeps its Food Manufacturing Local

Oregon Growers’ flagship Marionberry Jam fruit spread. | Photo courtesy Oregon Growers

This company makes a truly Pacific Northwest product, from orchard to jar.

In Oregon’s Hood River Valley, fruit isn’t just grown; it’s part of the region’s identity. Orchards line the hillsides, family farms stretch across generations and the harvest has long been tied to the local economy.

Oregon Growers was built around that reality.

Founded in 2003 by Dave Gee, the company started with a simple goal: Capture the bounty of the Hood River Valley and turn it into something people could enjoy year-round. Working directly with nearby farms and orchards, Oregon Growers began producing jams, fruit butters and other specialty foods made from the region’s harvest.

More than two decades later, that same approach still defines the business.

Built on Local Agriculture, and Made in Oregon

To better understand how the company operates I spoke with Lisa Schlecht, who handles wholesale customer service and sales support there, about its approach to local sourcing, domestic production and long-standing partnerships with growers.

 Oregon Growers’ products are “farm direct,” Schlecht explained. “Their quality and great taste is the direct result of the exceptional fruit we use. We seek out the growers who not only produce the best-tasting fruit, but who also use sustainable growing practices.”

The company’s manufacturing footprint is just as local as its sourcing, according to Schlecht. Oregon Growers operates three production facilities in Oregon, where the fruit is turned into finished products. Keeping production close to home allows the company to maintain quality control, manage food safety closely and build long-term partnerships with growers.

It also means the economic impact stays local. When Oregon Growers buys fruit from nearby farms and produces its goods in-state, it supports jobs and business activity across the region, whether it’s in agriculture or in production and distribution.

The Realities of Domestic Supply Chains

Like many U.S.-based manufacturers, Oregon Growers faces challenges when it comes to maintaining a fully domestic supply chain.

Availability and pricing can be unpredictable, particularly in agriculture where harvests vary year to year. Competing on cost with imports can also put pressure on companies trying to keep sourcing and production in the United States.

Even so, Oregon Growers continues to prioritize American-grown ingredients and regional partnerships, choosing consistency, quality and community impact over the lowest possible cost.

Why It Matters

For Oregon Growers, producing food in the United States isn’t just a logistical decision, it’s a reflection of what the company values.

Keeping sourcing and production domestic helps support sustainable growing practices, strengthens local economies and results in products the company believes are higher quality. It also contributes to a more stable and resilient food system at a time when global supply chains can be unpredictable.

For consumers, those choices show up in the product itself.

If there’s one product that captures the company’s roots it’s the Marionberry Jam fruit spread, its flagship jam and a staple of Oregon agriculture. (My personal favorite!)

It’s a simple product, but it tells a larger story: one about American farms, domestic food production and the value of keeping both close to home.

Oregon Growers is a reminder that manufacturing in the United States doesn’t just happen on factory floors. It also happens in kitchens, canneries and production facilities that turn local crops into finished goods, supporting farmers, workers and communities along the way.

The Alliance for American Manufacturing does not receive a commission from purchases made through the above links, nor was the organization or author paid for favorable coverage.

Labeling Note: This story is intended to highlight companies that support American jobs and that make great products in the United States. We rely on the companies listed to provide accurate information regarding their domestic operations and their products. Each company featured is individually responsible for labeling and advertising their products according to applicable standards, such as the Federal Trade Commission’s “Made in USA” standard or California’s “Made in USA” labeling law. We do not review individual products for compliance or claim that because a company is listed in the guide that their products comply with specific labeling or advertising standards. Our focus is on supporting companies that create American jobs.

For more on the Federal Trade Commission’s standards for “Made in USA” claims and California’s “Made in USA” labeling law, please also read this guest post by Dustin Painter and Kristi Wolff of Kelly Drye & Warren, LLP.

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US public transit manufacturing in new APTA maps

US public transit manufacturing is the focus of new research from the American Public Transportation Association (APTA). The research shows how federal public transport spending connects thousands of suppliers across the United States. Those suppliers help build rail vehicles and buses.

APTA

APTA says in its bus manufacturing schematic that roughly 77 percent of federal transit funding goes to private-sector businesses. It says that spending supports manufacturing activity and family-wage jobs nationwide. Also, the association has published updated bus and rail manufacturing schematics.

These visuals show how the network works. They also show where components are produced. In addition, they identify the states involved in making different parts for trains and buses.

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APTA schematics trace the public transport supply chain

According to the research, more than 3,000 suppliers in over 1,700 communities across all 50 states are involved in public transport vehicle production. The diagrams show that components are sourced from multiple states before final assembly into buses or rail cars.

For example, the supply chain for fuel systems used in both buses and trains includes facilities in California, Indiana, Michigan, North Carolina, Nebraska, Ohio, South Carolina and Texas. Meanwhile, the schematics show that transit manufacturing spans multiple states. They also show that bus and rail vehicle production depends on a broad supplier base.

Federal public transit funding and the manufacturing network

APTA says the visuals are intended to show the scale of the transport manufacturing supply chain. They also show its links to workers in many parts of the country. At the same time, the organisation is urging lawmakers to maintain federal investment in the next surface transportation legislation. It says the schematics could help policymakers understand how transit funding affects local economies.

APTA

The diagrams come out of a year-long research effort led by APTA’s policy development and research team. Separately, the team worked with external partners. It gathered nationwide data on transit manufacturing suppliers. Still, the work did not stop there. The team then analysed the dataset. It identified suppliers and mapped where particular components are produced.

Additional APTA materials are still to come

The findings have been condensed into schematic form. They provide a visual summary of the sector’s manufacturing footprint. In addition, APTA expects to unveil two more schematics at its upcoming APTA Legislative Conference in Washington, D.C.

These will focus on bus maintenance facilities and rail stations. For example, they will extend the analysis beyond vehicle production. They are intended to cover additional parts of the public transport system.

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