Farmington Hills, MI, Sept. 30, 2025 (GLOBE NEWSWIRE) -- The landscape of global drug manufacturing is shifting rapidly as new U.S. tariffs on pharmaceuticals create powerful incentives to move production stateside. 

The move comes after President Trump announced 100% tariffs on branded pharmaceuticals, a policy designed to reduce reliance on foreign supply chains and capture tax revenue.

“Most drugs consumed in the U.S. are made overseas—not because it’s more efficient, but because of taxes,” said Manoj Bhargava, founder of Hans Scientific™, a Michigan-based pharmaceutical contract manufacturer and plant design and fabricator. “With the recently announced tariffs, that equation changes. And once Congress recognizes tax avoidance as the driving force of manufacturing drugs overseas, tariffs on imported drugs will continue to rise.”

Michigan-based Hans Scientific is positioning itself at the forefront of this transition, announcing a $2 billion investment in new manufacturing infrastructure, including seven planned plants—one of which, an injectable production facility including lyophilization capabilities, is already complete.

Bhargava highlighted that unlike low-wage consumer goods manufacturing, drug production represents a “win-win” for the U.S. economy—providing high-paying jobs while keeping tax dollars at home. “Instead of tax revenue going overseas, moving manufacturing to the U.S. keeps tax revenue here at home and creates high-paying jobs,” he said.

Industry analysts note that the tariffs are part of a broader trend of reshoring critical industries. Pharmaceutical manufacturing, in particular, has been identified by policymakers as a matter of both economic and national security. Bhargava warned that generic manufacturers, many of which still rely heavily on overseas facilities, should also expect rising tariffs: “Remember, at one point, the U.S. government started with a 1% income tax. Now, the average American pays around 30% in income taxes.”

Hans Scientific says its ability to design, fabricate and build its own facilities gives it a speed advantage over competitors as demand for U.S.-based production surges. With one plant complete and six more underway, the company believes it is uniquely positioned to help pharmaceutical firms avoid tariff pressures while securing domestic supply chains.

# # #

About Hans Scientific
Hans Scientific™ operates a Michigan-based, advanced manufacturing campus serving the Pharmaceutical, Medical and Industrial communities. Our focus is on providing products and services that power speed-to-market for our clients. Whether it is specialty products such as our water for injection (WFI) quality water, or our contract manufacturing services, we concentrate on maintaining ready supply and available production capacity. With our vertically integrated approach to WFI and drug manufacturing, the company aims to accelerate time to market for partners and help anchor critical pharmaceutical supply chains in the U.S.

Attachment

• Hans Scientific

Steve Janisse
Agency 5
404-574-9026
sjanisse@agency5media.com