Raleigh, North Carolina has become an up and coming pharma hub in the US.
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Some 80 Swiss companies are based in the southeastern United States including Switzerland’s two largest pharmaceutical firms – Roche and Novartis. The governor of North Carolina wants to attract even more.
Mountains, waterfalls, Atlantic beaches – North Carolina’s natural beauty is captivating. But that’s not why Swiss companies are moving to the state. It is rather thanks to an active investment promotion policy.
This policy has become all the more effective since the US government has effectively put the entire world in a tariff headlock. Since the first tariffs were announced, Swiss companies have promised to invest $200 billion (CHF161 billion) in the US by 2028, with $67 billion of that by the end of 2026.
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Josh Stein has been governor of North Carolina since 2025. The Democratic politician arrives for the interview with Swiss public television SRF armed with plenty of self-promotion. “When companies consider North Carolina, they know they’ll find top-notch scientists and researchers here, but also skilled workers who can produce every product they manufacture to the highest quality,” says Stein.
Pharma and medtech companies in particualr are flocking to the state: Roche, Novartis, and device maker Ypsomed are three examples. Roche and Novartis are currently building large production facilities in North Carolina, with investments in the high three-digit millions.
Ypsomed CEO Simon Michel has acquired a factory in Holly Springs, which it plans to bring online in 2027. The medtech company, which specialises in injection pens, is investing CHF200 million. “They are investing heavily in education, training, and the workforce. They are also supporting us with tax incentives,” says Michel.
While Michel remains committed to Switzerland as a location and does not intend to outsource research and development, “production can certainly also take place in the US or China for the local markets”.
“Switzerland plays a very important role for North Carolina’s economy in the fields of pharmaceuticals and advanced manufacturing,” says Stein. Eighty Swiss companies operate in his state, “and together they employ over 8,100 North Carolina residents”. Companies such as ABB, Sika, and Nestlé have also had operations there for some time.
This is not good news for Switzerland as a pharmaceutical hub, says René Buholzer, managing director of Interpharma, the primary umbrella association for research-based pharmaceutical companies in Switzerland. Switzerland’s position as a business location is under pressure. “We are at a crossroads; the world has changed fundamentally. If we don’t act, the golden age will be over.”
When asked about US tariffs on Switzerland among other countries, the Democratic governor responds critically: “What companies need to make major investments – investments amounting to tens, hundreds, or even billions of dollars – is stability, security, and predictability. And unfortunately, the way this administration’s tariff program has been implemented is the exact opposite of that.”
He adds that “all I can do as governor is urge my representatives in Washington to reassert their authority under the United States Constitution. Congress has the power to declare war. Congress has the power to impose tariffs. Essentially, Congress has ceded this authority to the president. I believe they must reaffirm their independence and autonomy.”
Governor Stein believes that a presence in the US also offers advantages for Switzerland. “We have a very favourable location on the East Coast, roughly halfway between Florida and New York. There are 150 million Americans living within a day’s drive. That means access to many markets.”
Josh Stein was elected governor of North Carolina in November 2024.
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The day before the interview with SRF, he visited a Swiss company that also plans to set up operations in North Carolina — the name remains confidential until a final decision. Further meetings are planned between the two parties.
Stein adds that there is a long history between the US state and Switzerland. “In fact, some of the first settlers came to North Carolina in the early 18th century and founded the state’s second-largest city here: New Bern.”
Translated from GermanExternal link. Sub-edited by jdp
