AstraZeneca Plans $50bn US Investment Amid Trump Tariff Threats

AstraZeneca plans to invest $50bn in the US by 2030, including a new manufacturing facility in Virginia, to reach $80bn in total revenue. The investment aims to offset the threat of President Trump's tariffs, which could reach 200%. Verizon Communications shares rose 4% after beating Q2 earnings expectations, with revenue at $34.5bn and adjusted EPS of $1.22.

AstraZeneca, a leading pharmaceutical company headquartered in Cambridge, has announced a significant investment in the United States. The UK-based company plans to invest $50bn (£37bn) by 2030, including the construction of a new drug manufacturing facility in Virginia and the expansion of research and development (R&D) and cell therapy manufacturing in various states across the US [1].

The investment is a strategic move to mitigate the potential impact of President Trump's tariff threats, which could reach up to 200% on pharmaceuticals made outside the US. The Trump administration has been conducting a Section 232 probe to determine which drug manufacturers pose a national security threat to the US, and has indicated that companies could be given between 12 and 18 months to bring their manufacturing to the US [2].

AstraZeneca's chief executive, Pascal Soriot, stated that the $50bn investment would support the company's ambition to reach $80bn in revenue by 2030, with 50% of sales expected to come from the US. The company's 2024 revenue was $54.1bn. The investment includes a new manufacturing facility in Virginia, which is AstraZeneca's largest single manufacturing investment, and expansions in Massachusetts, California, Maryland, Indiana, and Texas [1].

This announcement follows a series of similar commitments by other pharmaceutical companies, including Roche, Novartis, and Johnson & Johnson, which have pledged significant investments in the US to counter the potential tariffs. For instance, Roche has committed $50bn to US manufacturing over the next five years, while Novartis has pledged $23bn and Johnson & Johnson has committed $55bn in manufacturing and R&D [1].

Verizon Communications, a telecommunications company, also made headlines this week with its Q2 earnings report. The company's shares rose 4% after reporting revenue of $34.5bn and adjusted earnings per share of $1.22, beating market expectations [2].

References:
[1] https://www.theguardian.com/business/2025/jul/22/astrazeneca-invest-us-trump-tariff-threats
[2] https://finance.yahoo.com/news/astrazeneca-verizon-opendoor-trump-media-lindt-spruengli-trending-tickers-093814363.html