Merck scraps London Research Hub to focus on U.S. investments

USA – Merck, the U.S.-based player in human and animal health, has announced plans to shut down its research operations in London, citing the UK’s challenging business climate.

The company will move its research activities to existing sites, mainly in the United States.

This decision means that Merck will no longer proceed with occupying the Belgrove House site at King’s Cross, a facility that was scheduled to open in 2027.

Approximately 125 employees will be affected by the closure of the London research center.

This move reflects a broader trend among pharmaceutical companies, which are increasingly focusing their investments in the U.S. due to various pressures, including tariff threats and calls to relocate manufacturing back to the United States.

Merck’s leadership expressed concerns that the UK has not made significant progress in addressing the lack of investment in the life sciences sector.

They also criticized the continued undervaluation of innovative medicines and vaccines by multiple UK governments over recent years.

In addition to closing Belgrove House, Merck plans to vacate the laboratories it currently occupies at the London Bioscience Innovation Centre and the Francis Crick Institute by the end of 2025.

These actions signify a clear shift away from the UK research environment, as the company reallocates resources to bolster its existing U.S. operations.

Merck Animal Health invests US$895M in Kansas vaccine manufacturing

Earlier this year, in May, Merck Animal Health announced a monumental US$895 million investment to expand its manufacturing and research facilities in De Soto, Kansas, marking one of the largest economic development projects in the state’s history. 

The move is set to significantly boost the company’s capacity to produce vaccines and biologics for animal health.

The capital investment will be made on Merck’s existing property in De Soto and includes a 200,000-square-foot expansion of its manufacturing plant, with US$860 million allocated for increased production capabilities and another US$35 million earmarked for enhancing research and development laboratories.

The new facility will expand filling and freeze-drying capacity for large molecule vaccines and biologic products, solidifying De Soto as a Center of Excellence within Merck’s global manufacturing network. 

The site preparation and facility design will commence immediately, creating approximately 2,500 construction jobs. Commercial operations are expected to begin by 2030 and will generate over 200 full-time positions.

“Our De Soto, Kan., manufacturing facility is strategically located in the heart of the Animal Health Corridor. This region is renowned for its concentration of animal health companies, fostering an unparalleled ecosystem for innovation, collaboration and industry leadership,” said Richard DeLuca, president of Merck Animal Health. 

He added that this investment is designed to increase Merck Animal Health’s ability to meet the growing customer demand for its portfolio of animal biologics products and ensure the company remains at the forefront of innovation in the animal health sector.

The project highlights Merck Animal Health’s commitment to the U.S. market, where it continues to invest heavily in manufacturing and research capabilities. 

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