Swiss pharmaceutical company Novartis has opened a new 10,000-square-foot manufacturing facility in Carlsbad to make cancer drugs as part of a $23 billion investment drive it has committed to building facilities in the United States over the next five years.
The factory will produce compounds needed for radioligand therapy (RLT), a form of precision medicine that allows radiation to be delivered directly to cancerous tumors while limiting damage to surrounding cells.
“Radioactive oligand therapy is a breakthrough that we are unlocking at scale and made possible by rethinking how innovation reaches patients,” said Basu Narasimhan, CEO of Novartis. “As a global leader in RLT for more than seven years, we have advanced this technology because we believe deeply in its power to transform cancer treatment.”
The Carlsbad manufacturing facility will be Novartis’ third radioligand therapy manufacturing facility in the United States and will help meet future dose demands for patients in western states and Hawaii.
“The opening of our Carlsbad facility underscores our strong commitment to the United States and our dedication to bringing this pioneering treatment to patients across the country,” said Novartis’ Narasimhan.
The company said it is also expanding its existing locations in North Carolina, Indiana and New Jersey.
Through executive orders and threats of tariffs, the Trump administration is applying political and regulatory pressure on drug companies to lower drug prices and increase domestic drug production.
Some companies, including Eli Lilly and Novo Nordisk, have publicly negotiated and struck deals to lower the prices of popular drugs such as Ozempic and Zepbound. Other companies, such as Novartis, have pledged to step up domestic investment.
In April, Novartis announced it would invest $50 billion in the United States over the next five years, building a domestic supply chain for its lucrative radioligand therapy business. Of that amount, $23 billion will be used to build and expand 10 U.S. sites.
The company announced that it will establish additional radioligand therapeutic manufacturing facilities in Florida and Texas, and a second global research and development site in San Diego.
“We commend Novartis for supporting our broader mission to bring manufacturing capacity to the United States,” FDA Commissioner Marty McCulley said in a press release Monday. “Our unique partnership approach is working well.”
