Johnson & Johnson to invest $1B in Montgomery County cell therapy manufacturing site

Yet another global pharmaceutical company selected Southeastern Pennsylvania as the location of its next manufacturing site. 

Johnson & Johnson (J&J) announced plans today to build a $1 billion cell therapy manufacturing facility in Montgomery County, which will produce medicines for cancer, neurological diseases and immune-mediated diseases, or when the immune system attacks the body. 

Headquartered just across the border in New Jersey, J&J already has 10 facilities in Pennsylvania for manufacturing, research, distribution and operations. 

“We value Johnson & Johnson’s long-time partnership here in Pennsylvania, and its decision to reinvest in Montgomery County is another huge win for the commonwealth,” Rick Siger, secretary of the Department of Community and Economic Development, said, “further expanding our life science ecosystem, while also producing life-saving medications for people undergoing cancer treatment.” 

The state government is contributing $41.5 million to the project, including: $12 million in tax credits through the Qualified Manufacturing Innovation and Reinvestment Deduction program, $2 million in tax credits through the Manufacturing Tax Credit program, $15 million through the Pennsylvania Strategic Investments to Enhance Sites program and a $10 million Pennsylvania First grant.

This site is expected to create 500 biomanufacturing jobs over the next 12 years. Plus, a yet-to-be-determined local community college or technical school will receive $2.5 million from the state to create a workforce development program through the Redevelopment Assistance Capital Program. 

This announcement is part of J&J’s commitment to invest more than $55 billion in US manufacturing, research and development, and technology through 2029. 

Philly life sciences is on a roll

Less than three weeks ago, Eli Lilly announced plans to build its first manufacturing site in Pennsylvania, a drug facility in Lehigh County. At the end of last year, the pharma giant selected Philadelphia as the home of its next Lilly Gateway Labs location. This space will serve as an incubator for local biotech startups.

Cell and gene therapy standout Spark Therapeutics also calls the region home. The company is notable for developing the first FDA-approved gene therapy, Luxturna, and for its acquisition by Roche for $4.8 billion in 2019, which is Philly’s largest-ever VC-backed exit.

In general, the Philadelphia region is known for its strength in the life sciences industry, touting strong research institutions and workforce development pipelines.

Last year, the region saw mixed activity with investments like Eli Lilly’s and another one from Thermo Fisher Scientific, but also major layoffs and local companies shutting down. Startups say that’s because they struggle to bring in cash. 

However, revised data from PitchBook and the National Venture Capital Association showed that 2025 was a solid year for venture capital in Philly. 

2026 has already been an active year for the local ecosystem, with global biotech company Genentech partnering with the University City Science Center. Plus, multiple big raises in the sector such as Alveus Therapeutics, which emerged from stealth with $160 million.

Local biotech executives seem to feel positively about the current momentum in the biotech industry and support from Pennsylvania leaders. 

“I’m really optimistic,” Eric Heil, CEO of Ladder Bio, previously told Technical.ly, “that folks recognize the opportunity that we have here in the state.”