Inside Eli Lilly's $50 billion investment in America announcement
The Trump administration rolled out the red carpet for Eli Lilly and Company this week at an event in which the health care giant announced its plans to invest tens of billions of dollars directly into America.
Eli Lilly’s CEO Dave Ricks joined Commerce Secretary Howard Lutnick, Director of the National Economic Council Director Kevin Hassett, Sen. Todd Young (R., Ind.) for a Washington, D.C. announcement that his company will invest up to $50 billion, including a $27 billion new investment, in new American plants — moves the company said could create up to 13,000 jobs; the Washington Reporter first covered the company’s plans for a massive American infusion.
The move comes amidst major changes for the health care industry. “The company wrapped itself around the American flag, which is newer to the industry, which has a lot of foreign CEOs,” an attendee told the Reporter. Eli Lilly’s moves come as President Donald Trump has threatened to tariff the pharma industry if it doesn’t return onshore back to America — and Lutnick noted that moves like Lilly’s justify the tariff threats.
Ricks himself agreed, calling tariffs a stick and added that the Tax Cuts and Job Act (TCJA) serves as a significant carrot. Ricks said that the Trump tax cuts should be made permanent to allow for continued investments like these.
Following the main events, there was some discussion about the Inflation Reduction Act and about pharmacy benefit manager (PBM) policy, but only in response to questions, an attendee told the Reporter.
