GENEVA โ In a significant move, Swiss pharmaceutical giant Roche has unveiled plans to inject $50 billion into the United States over the next five years, a venture anticipated to generate approximately 12,000 jobs. The company, which hails from Basel, has a wide-ranging portfolio including cancer medications and the multiple sclerosis treatment, Ocrevus. The strategic investment is earmarked for advanced research and development sites and establishing new manufacturing plants in states such as California, Indiana, Massachusetts, and Pennsylvania.
According to a statement from Roche, some of the investment funds were already in motion or planned for the coming years. However, spokesperson Rebekka Schnell indicated in an email that specific figures regarding newly announced funds were not disclosed as part of Tuesdayโs statement. This large-scale investment aligns with the broader push by U.S. President Donald Trump encouraging foreign entities to channel investments into the United States. Recently, Trumpโs administration introduced extensive tariffs on imports, which aim to mitigate the hefty U.S. trade deficit related to goods sales.
Initially, Swiss imports were facing tariffs as high as 31%, beyond the 20% levied on European Union imports. Although Switzerland is situated among EU countries, it does not form a part of the 27-nation bloc. The announcement of sweeping tariffs on April 2 caused considerable unrest in international stock markets. This move by the Trump administration was temporarily put on hold a week later, following a phone conversation between Trump and Swiss President Karin Keller-Sutter that revolved around the tariff situation. Swiss media speculated that this conversation may have influenced the U.S. decision to delay the tariff implementation, though this was not officially verified.
In a bid to communicate their future intentions, Roche stated that with the forthcoming manufacturing expansion, it intends to export more U.S.-produced medications than it currently imports. However, the statement tactfully omitted any mention of the tariffs. Thomas Schinecker, Rocheโs CEO, emphasized the companyโs deep commitment to U.S. research, development, and manufacturing sectors in a related announcement.
Roche has already established a solid foothold in the U.S., with 25,000 employees, 15 R&D centers, and 13 manufacturing locations. Their upcoming investment will expand their workforce by an additional 1,000 employees directly at Roche and another 11,000 jobs supporting their new manufacturing capabilities. This will augment its U.S. presence to include 24 sites across eight states.
Rocheโs global sales exceeded 60 billion Swiss francs (equivalent to around $74 billion) last year, with almost 25 billion francs originating from U.S. pharmaceutical sales alone. Despite this success, Roche has seen its stock price suffer an 18% decline in the past month, primarily following the tariff announcement. The company has assured that its investment strategy is in line with negotiations between the Swiss and the U.S. governments, and fit into an evolving international trade framework.