Merck Animal Health and Kansas Governor Laura Kelly have jointly unveiled an $895 million investment in the company’s manufacturing and research & development facilities in De Soto, Kansas, USA.
Merck Animal Health, known as MSD Animal Health outside of the United States and Canada, a division of Merck & Co., Inc., and Kansas Governor Laura Kelly have jointly announced the $895 million expansion of Merck Animal Health’s manufacturing facility in De Soto, Kansas, USA.
The $895 million capital expansion will be constructed on an existing Merck-owned property that is the site of its biologics facility in De Soto, Kansas. It includes an $860 million investment in the site’s existing manufacturing facility and a further $35 million investment in its research and development laboratories.
The 200,000-square-foot manufacturing facility project will expand filling and freeze dryer capacity for large molecule vaccines and biologic products for Merck Animal Health. As a Center of Excellence, it is expected to play a pivotal role in the manufacturing of Merck Animal Health’s products and complement Merck Animal Health’s extensive U.S. and international network of animal health product manufacturing plants.
Site preparation and facility design will start immediately, creating 2,500 construction jobs. Commercial manufacturing is expected to begin in 2030, creating more than 200 full-time roles.
Merck Animal Health’s significant investment in its research and development laboratories will enhance its research capabilities, focusing on advancing Merck Animal Health’s global drug discovery and development initiatives, according to the announcement. The investment will continue to drive Merck Animal Health’s innovative research and development of novel parasiticides and therapeutics, reinforcing the company’s dedication to improving animal health and welfare worldwide.
“Our De Soto, Kansas manufacturing facility is strategically located in the heart of the Animal Health Corridor. This region is renowned for its concentration of animal health companies, fostering an unparalleled ecosystem for innovation, collaboration and industry leadership,” said Richard DeLuca, President of Merck Animal Health. “This investment in our site is designed to increase Merck Animal Health’s ability to meet the growing customer demand for its portfolio of animal biologics products and ensure the company remains at the forefront of innovation in the animal health sector. This initiative also reflects our dedication to advancing animal health and our on-going investment in the communities where we operate.”
Merck Animal Health is partnering with the state of Kansas on expansion of the existing manufacturing facility. The company points to the investment as a demonstration of its commitment to the U.S. market, in which it has significantly invested to deliver innovative health solutions that advance the prevention and treatment of animal diseases. This marks one of the largest economic development projects in Kansas’ recent history and the largest for Merck Animal Health.
Since the advent of the 2017 Tax Cuts and Jobs Act, Merck has allocated more than $12 billion to enhance its domestic manufacturing and research capabilities, with additional planned investments of more than $9 billion by the end of 2028.
“This extraordinary investment by Merck Animal Health underscores my administration’s commitment to securing a strong economic future for our state and ensuring prosperity for generations to come,” expressed Kansas Governor Laura Kelly. “Public-private partnerships that lead to major global projects, such as those with Merck, Fiserv and Panasonic – just to name a few recent successes – are occurring because people believe in Kansas. They believe in who we are, what we are doing, and the direction we have taken.”
“Merck’s massive expansion in De Soto further elevates Kansas’ long-established status as a global leader in animal health,” Lieutenant Governor and Secretary of Commerce David Toland added. “The opportunities and ripple effects of having almost $1 billion surge into the local economy will have far-reaching and long-lasting reverberations across the entire state. Historic investments such as these truly benefit all Kansans, both now and into the future.”
