Home » Medtech Companies Expand U.S. Production Amid Rising Demand and Trump Tariffs

Medtech Companies Expand U.S. Production Amid Rising Demand and Trump Tariffs

by Richard A Reagan

Major medical technology companies are expanding their manufacturing operations across the United States. They’re investing millions, and in one instance billions, to increase domestic production and meet the growing demand for medical supplies.

Though companies cite rising demand as the primary driver for expansion, the tariffs put in place by President Donald Trump’s administration, along with the looming possibility of even tougher tariffs after a July 9 deadline, may also be playing a role. None of the firms have explicitly acknowledged the tariffs as the reason for expansion, but increasing U.S.-based manufacturing could significantly reduce the risk of product shortages.

Swedish company Mölnlycke Health Care recently announced a $135 million expansion of its wound care manufacturing operations in Brunswick, ME. Mölnlycke, known for surgical supplies and wound-care products, expects the new facility to be operational between late 2026 and early 2027. Company officials noted their strategy emphasizes making products closer to where they are sold.

Boston Scientific is also investing heavily, recently consolidating its Georgia operations into a single new site in Johns Creek. This $100 million move from Alpharetta and Roswell to the new 200,000-plus square-foot facility aims to streamline operations. 

Additionally, Boston Scientific is expanding its Maple Grove, MN campus by 52,000 square feet to support growth in its Watchman heart device product lines, while also constructing a 400,000-square-foot facility in Maple Grove dedicated to interventional cardiology and peripheral interventions. The transition to the new buildings will begin later this year.

Abbott Laboratories announced a $500 million investment to expand its diagnostics transfusion manufacturing and research operations in Lake County, IL, and Dallas, TX. Abbott, which has 35 manufacturing sites in the U.S. and has invested nearly $5 billion domestically over the past five years, expects these projects to be completed by year’s end. The expansions are anticipated to create around 200 jobs in Illinois and another 100 in Dallas, bolstering Abbott’s ability to screen blood and plasma for diseases like HIV and hepatitis.

Johnson & Johnson is preparing one of the largest medtech investments in U.S. history. In March, the company pledged more than $55 billion toward American manufacturing, research and development, and technology over the next four years. This massive investment includes the construction of three new production facilities and expansions of several existing sites. Johnson & Johnson has not released specific details about these expansions.

Lastly, Becton Dickinson is enhancing domestic production to address growing concerns about the quality and reliability of imported products, particularly from China. The company is investing $10 million to add needle and syringe production lines in Connecticut and Nebraska, along with a $30 million expansion of intravenous catheter manufacturing in Sandy, UT. 

These expansions follow the FDA’s March 2024 directive discouraging the use of Chinese-made plastic syringes, which were prone to breaking and contamination. Becton Dickinson has already hired approximately 140 employees at its expanded facility in Canaan, CT, and expects its Nebraska injection device line to be fully operational by late summer.

With over 30 manufacturing and distribution facilities across America, Becton Dickinson’s expansions reflect a broader trend in the medtech industry toward strengthening domestic production capabilities.

 

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