For years, Pennsylvania has been on the rise in the life sciences. The Commonwealth has been consistently ranked as one of the premier states for testing and medical labs, medical devices, and pharmaceuticals – due in no small part to its world-class educational institutions fueling the life science talent pipeline and fostering an ecosystem for innovation. Major recent project announcements by household-name life science companies hammer the point home: the next great life-saving medical advances are being developed and produced in the Keystone State, particularly in the greater Philadelphia and Lehigh Valley regions where recent megadeals have made big splashes in the economic development world.
Eli Lilly Makes Historic $3.5 Billion Investment into Pennsylvania
The most significant example of Pennsylvania’s leadership in life sciences is a $3.5 billion investment by Eli Lilly and Company in the Lehigh Valley, about 70 miles north of Philadelphia. The investment – the largest by a life science company in Pennsylvania’s history – includes the construction of a pharmaceutical manufacturing facility that will produce the company’s newest generation of injectable weight-loss therapies. The project is a massive economic boon for the region, creating 850 new jobs over five years. As Lilly chair and CEO David Ricks said when the project was announced in January 2026, the company is “creating high-quality jobs and collaborating across the region… to make critical medicines in the U.S. That’s our commitment—to patients, to our new Pennsylvania home and to our country.”
The investment was the result of years of coordination between Governor Josh Shapiro’s BusinessPA economic development team, the Lehigh Valley Economic Development Corporation, and Lilly leadership. Guided by Pennsylvania’s 10-Year Economic Development Strategy, the BusinessPA team has worked aggressively in pursuit of investments that will build the life science ecosystem. As Lilly explored various locations for its project, Governor Shapiro and BusinessPA led a strong push to compete for it.
Two programs created under Governor Shapiro’s leadership proved crucial to winning the project. The first was the PA Permit Fast Track Program, which streamlined the permitting process, increased transparency, and accelerated timelines to allow the state government to move at the speed required for a major company like Lilly. The second was the PA SITES program, which the Governor created to support the development of pad-ready sites. Ultimately, the Commonwealth provided Lilly with a $25 million grant through the PA SITES program, as well as a $25 million grant through the PA First program and $50 million in tax credits through PA Edge. These investments were instrumental in sealing the deal and winning the Lilly project.
“Before I took office, Pennsylvania wasn’t even in the conversation for major investments like this, but thanks to our work to cut red tape, invest in site development, and expand our workforce, our Commonwealth is now competing – and winning – on a national scale,” Governor Shapiro said in the announcement of the project. “Lilly’s commitment to the Lehigh Valley and to Pennsylvania will bring billions of dollars of investment and hundreds of good-paying jobs, solidifying our position as a leader in the growing life sciences industry.”
Johnson and Johnson’s $1 Billion Investment Soon Follows
Remarkably, the billion-dollar investments in Pennsylvania’s life science industry didn’t end with Lilly. Just a month later in February 2026, Governor Shapiro announced that Johnson & Johnson will be investing $1 billion into the Commonwealth. J&J’s project includes the construction of a next-generation cell therapy manufacturing facility in Montgomery County, just west of Philadelphia. The facility will support the development of cutting-edge medicines to fight ailments like cancer and neurological disease. It is expected to create more than 500 new jobs.
Like the Lilly deal, the PA Permit Fast Track and PA SITES programs were crucial pieces to winning the competitive J&J project for Pennsylvania. The final package included a $15 million PA SITES grant – as well as $26.5 million in additional funds and tax credits. The bold investment figures for both projects are indicative of the Commonwealth’s commitment to competitiveness. “This announcement sends a clear message that Pennsylvania is competing —and winning— when it comes to attracting world-class life sciences companies,” said Rick Siger, Secretary of the Pennsylvania Department of Community and Economic Development, which houses the BusinessPA team.
The Momentum Continues with Terrapower Isotopes
Right on the heels of the Lilly and J&J announcements, Governor Shapiro announced yet another major life sciences project in March 2026. TerraPower Isotopes, a nuclear science company, is investing $450 million into a new radioisotope manufacturing facility in the Bellwether District, a 1,300-acre redevelopment of a former refinery site in Philadelphia. Developing the Bellwether District was a major point of focus for state and local officials for several years. In fact, Governor Shapiro originally announced the PA Permit Fast Track Program during an event at the site, and it became one of the program’s first successes.
TerraPower Isotopes will lease a 250,000-square-foot facility and produce actinium-225 for use in the development of cancer treatments. Actinium-225 is a rare isotope that can deliver precise, targeted radiation that destroys cancer cells while sparing healthy cells. With its facility in the Bellwether District, TerraPower Isotopes is tapping into the potential of actinium-225 by producing advanced technology that can extract those rare isotopes.
The project is expected to create 225 new jobs and was supported with $10 million in grants and tax benefits from the Commonwealth, including a $7 million PA SITES grant. During the site search process, TerraPower Isotopes evaluated over 350 potential sites across the United States that included 49 site visits in eight metropolitan areas before determining the Pennsylvania was the perfect fit.
Pennsylvania is Primed and Ready for Growth
These three projects are just a small sample of the life science wins that Pennsylvania has earned over the past few years. With its world-class innovation ecosystem of research universities, talent, and investment, the Commonwealth is primed for continued growth in the life sciences sector. The BusinessPA team is ready to assist any life science company considering relocation or expansion. Interested business leaders can learn more at PAGetsItDone.com.
