Johnson & Johnson MedTech invests $168M to expand Puerto Rico footprint
Johnson & Johnson MedTech announced plans to expand an existing Johnson & Johnson Innovative Medicine — formerly Janssen — manufacturing facility in Manatí, Puerto Rico, to increase production capacity for key Ethicon products.
For that, it will invest $168 million and create more than 300 jobs, increasing its workforce on the island to some 1,500 employees at the sister plant in San Lorenzo.
During a news conference at the Manatí site, company officials said the investment will add an estimated 100,000 square feet of manufacturing capacity.
“Customer demand has required a supply chain expansion and refurbishing the Manatí site that enables the company to shift manufacturing of key Ethicon products at its San Lorenzo facility to a new site able to meet the demand,” officials said.
“Investing in our Manatí site will allow us to meet customer demand for key Ethicon products now and in the future,” said Francisco Muñiz, senior director MedTech Endomechanical Supply Chain.
“Our employees in San Lorenzo play a key role in producing quality, life-changing products that greatly contribute to our growth. Given the institutional knowledge required to manufacture our products we are expecting a portion of our teams to transfer to the Manatí site,” said Rosana García, Ethicon plant manager in Puerto Rico.
The Johnson & Johnson MedTech San Lorenzo facility was at capacity and the company conducted a comprehensive review on how to accommodate the growing demand, it confirmed.
Ultimately, it is making a significant investment to refurbish the Manatí site to allow for uninterrupted manufacturing operations and enable it to continue to deliver for its customers. The company will transfer a portion of key Ethicon products to the refurbished Johnson & Johnson facility in Manatí, during the second semester of 2024.
“Ethicon’s expansion in Manatí confirms the pharmaceutical industry’s confidence in Puerto Rico. This operation, where surgery, orthopedic, vision and surgical intervention solution products will be manufactured, will be led by a team of Puerto Rican professionals distinguished by their experience, knowledge and capacity in the pharma industry, an important pillar for the island’s economy,” said Manuel Cidre, secretary of the Department of Economic Development and Commerce (DDEC, in Spanish), who joined Gov. Pedro Pierluisi during the announcement.
Johnson & Johnson could benefit from up to $19.7 million in incentives under Puerto Rico’s Incentives Code (Act 60 of 2019), subject to agreements for job retention and creation over the next five years, as well as the acquisition of new machinery and equipment, government officials said.
“My administration, through the DDEC, has a public policy to support companies like Johnson & Johnson, which are global leaders in the pharmaceutical industry,” Pierluisi said. “We seek to incentivize their production, promote job creation, support training of personnel and encourage investment in equipment and infrastructure on the island.”
Of course, why not invest in a sick population.