U.S. government to invest $75M in new drug ingredient facility

June 29, 2022

The U.S. government will invest up to $75 million in a new manufacturing facility that will produce ingredients for lipid systems used in novel therapeutic drugs and mRNA vaccines.

The new Croda International facility will be located in Lamar, Pennsylvania, and will be funded by both Croda and the government. The British specialty chemicals company will invest up to $58 million, making the budget for the new project close to $133 million.

The partnership came as a result of an award from BARDA in partnership with the Army Contracting Command’s Joint COVID Response Division.

“As a result of this investment, Croda will be able to expand its capabilities to develop and manufacture ingredients in support of this important technology. This will help ensure that the U.S. is well prepared for future health emergencies and equipped to offer advanced treatments for some of the most prevalent illnesses in the world today,” said Daniele Piergentili, president of Croda Life Sciences.

Construction is expected to start later this year, with the new capacity anticipated in 2025.