Spring House, PA – Today, Governor Josh Shapiro and Pennsylvania Department of Community & Economic Development (DCED) Secretary Rick Siger announced the Commonwealth has secured over $1 billion in private-sector investment from global health care company Johnson & Johnson to build a next generation cell therapy manufacturing facility in Montgomery County. Supported by a $41.5 million state investment, this expansion project will create more than 500 new jobs over the next twelve years and continue growing Pennsylvania’s robust life sciences industry. The project also helps retain 5,885 full-time jobs statewide.
Johnson & Johnson is constructing this state-of-the-art cell therapy manufacturing facility in Lower Gwynedd Township, Montgomery County. The facility will be operated by its subsidiary Janssen Biotech and will directly support the production of medicines for cancer, immune-mediated, and neurological diseases.
“Pennsylvania is a powerhouse for innovation and manufacturing in the life sciences,” said Governor Shapiro. “Just a few years ago we weren’t even on the field - but today we’re competing and winning. We’ve done it by creating the first economic development plan for Pennsylvania in 2 decades, and following through on it by cutting red tape, making strategic investments in key industries like the life sciences, and strengthening our workforce. That’s why companies like Johnson & Johnson are choosing to double down on their investments here in our Commonwealth - because they know we’ve got the strategy, the workforce, and the speed they need to succeed.”
“For 140 years, Johnson & Johnson has been a leading innovator in American healthcare, and we are honored to continue advancing that legacy in Pennsylvania,” said Joaquin Duato, Chairman and Chief Executive Officer of Johnson & Johnson. “By uniting scientific excellence with state-of-the-art manufacturing and strategic investment, and by working collaboratively with our communities, we are delivering for patients and creating significant opportunities for workers and families.”
Johnson & Johnson received a funding proposal from DCED for up to $12 million in tax credits through the Qualified Manufacturing Innovation and Reinvestment Deduction (QMIRD) program, up to $2 million in tax credits through the Manufacturing Tax Credit (MTC) program, a $15 million grant through the PA SITES (Pennsylvania Strategic Investments to Enhance Sites) program, and a $10 million Pennsylvania First grant.
The state has also committed to providing a Redevelopment Assistance Capital Program (RACP) award of up to $2.5 million to a local community college and/or technical school to help create a workforce development training program that would serve as a talent pipeline for the company in Montgomery County.
“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 – further expanding our life science ecosystem, while also producing life-saving medications for people undergoing cancer treatment,” said Secretary Siger. “This announcement also sends a clear message that Pennsylvania is competing — and winning — when it comes to attracting world-class life sciences companies, growing high-quality jobs, and driving long-term economic growth across the Commonwealth. We will continue to support projects like this by making investments that keep our economic momentum going and spur our innovation economy.”
Johnson & Johnson, a global health care company, is focused on innovative medicine and medtech solutions, guided by its purpose to profoundly impact health for humanity. The company generates an estimated $10 billion in annual economic impact across Pennsylvania. With ten facilities spanning more than 2 million square feet for manufacturing, research, distribution, and office operations, the company holds one of the largest statewide footprints in the health care industry.
Johnson & Johnson is also receiving assistance through Pennsylvania’s Office of Transformation and Opportunity (OTO) on the project via the PA Permit Fast Track Program.
In November 2024, the Governor signed Executive Order 2024-04, creating the PA Permit Fast Track Program to streamline the Commonwealth’s permitting process for key economic development and infrastructure projects, increase transparency, and accelerate timelines to ensure state government delivers results quickly and efficiently. Through OTO, the program helps develop, manage, and coordinate permitting for complex and impactful economic development and infrastructure projects across government agencies and private partners to get project sponsors answers in a timely manner.
Johnson & Johnson is also receiving support through PA SITES, developed by Governor Shapiro after soliciting feedback from national site selectors who help companies decide where to relocate and grow. Governor Shapiro worked across the aisle to secure $500 million for site development in his 2024-25 bipartisan budget, including $400 million for PA SITES. As a result of the program’s early success and the Governor’s economic development strategy, Pennsylvania was ranked the top state in the Northeast for Regional Economic Competitiveness by Site Selection Magazine.
Pennsylvania’s life sciences sector is a national powerhouse, employing over 100,000 people across nearly 3,100 companies and world-renowned research institutions. Over the past five years, Pennsylvania researchers and companies have secured over 10,700 new life sciences patents — the fourth-highest total in the country
Today’s announcement is another example of how the Shapiro Administration is focused on supporting Pennsylvania’s biotech ecosystem. Life sciences companies like Eli Lilly, Eurofins Lancaster Laboratories, B. Braun, and GSK have announced expansions in Pennsylvania, bringing new jobs and R&D investments into the Commonwealth.
This project was coordinated by Governor Shapiro’s BusinessPA team, an experienced group of economic development professionals dedicated to helping businesses succeed in Pennsylvania through tailored guidance, strategic partnerships, and financial resources. Whether based in the Commonwealth, another state, or across the globe, the team moves at the speed of business to set up companies for long-term growth and success here in Pennsylvania.
Pennsylvania’s Business Climate and Growing Economy is Getting National Recognition
Since taking office, Governor Shapiro has made Pennsylvania more competitive — cutting red tape, streamlining permitting and licensing, and attracting over $40.4 billion in private-sector investment that has created more than 22,424 good-paying jobs across the Commonwealth. That includes the largest private-sector investment in Pennsylvania history — Amazon’s initial $20 billion investment to build new AI and cloud computing campuses, creating thousands of high-tech and construction jobs.
- Pennsylvania is the only state in the Northeast with a growing economy, according to a report from Axios based on analysis done by Moody’s Analytics Chief Economist Mark Zandi. This latest recognition builds on growing evidence that Pennsylvania’s economy is strong, competitive, and on the rise.
- Recently, Area Development ranked Pennsylvania among the top 20 “Best States for Business” — the only Northeastern state to make the list — and placed the Commonwealth in the top 10 for “Site Readiness Programs.”
- Site Selection Magazine has named Pennsylvania one of the top business climates in the nation. The Commonwealth is 11th in the 2025 Business Climate Rankings, up seven spots from last year.
- New data from the U.S. Bureau of Labor Statistics shows that Pennsylvania ranks among the top states in the nation for five-year new business survival, underscoring the strength and resilience of the Commonwealth’s economy under Governor Shapiro’s leadership.
Governor Shapiro’s 2026-27 budget proposal builds on that momentum by investing in long-term economic growth and ensuring communities across the Commonwealth can compete and win. This budget increases funding for innovation in the areas of opportunity laid out in Pennsylvania’s economic development strategy – including life sciences, robotics and technology, energy, manufacturing, and agriculture.
- The PA First Program, which connects businesses with trained workers and supports job retention and capital investments, will receive an additional $10 million for a total of $38 million in this budget.
- Innovate in PA 2.0: Back in 2013 under a Republican Governor, Pennsylvania launched the Innovation fund. Building off of that legacy, this budget creates the Innovate in PA 2.0 program to deploy nearly $100 million into the state’s innovation economy. Innovate in PA 2.0 would provide capital for promising startups – following in the footsteps of companies like Gecko Robotics in Pittsburgh or Gilson Snow in Selinsgrove – fund clinical trials for the life sciences, and develop a workforce and education pipeline to help these companies succeed.
- Ag Innovation Grant Program: Pennsylvania agriculture supports over 48,800 farms, nearly 600,000 jobs, and contributes $132.5 billion annually to our economy. Governor Shapiro understands that economic success is dependent on our rural communities and farmlands – that’s why Pennsylvania has leaned into the innovation found on our farms and has put real capital behind our farmers. The 2026-27 budget includes a $9 million increase – a total of $19 million – for the first-in-the-nation Agricultural Innovation program.
Learn more about the Shapiro Administration’s efforts to support Pennsylvania’s workers and businesses and spur the economy, and discover how the Administration is creating economic opportunity to build a stronger, more competitive economy for all Pennsylvanians.
Watch the Governor’s full budget address to a joint session of the House and Senate here and read the Governor’s full remarks as prepared for delivery here.
Read the Governor’s 2026-27 proposed budget in brief here.