Eli Lilly to build $6bn API hub in Alabama amid GLP-1 demand surge

By Alexa Hornbeck | Published: 11-Dec-2025

Pharmaceutical giant has plans to invest $6bn to build a manufacturing facility in Alabama, which includes the production of GLP-1 receptor agonists to help with weight loss

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Eli Lilly and Company has plans to build a $6bn active pharmaceutical ingredient (API) manufacturing facility in Huntsville, Alabama, an addition to the company’s expanding US production footprint

"[This] is the largest initial investment in our state's history,” said Kay Ivey, Governor of Alabama. 

The Alabama facility will be designed to expand the domestic production of synthetic and peptide APIs. 

This includes the manufacture of orforglipron, Lilly's first oral, small molecule GLP-1 receptor agonist, which is primarily used for weight loss by mimicking the natural hormone to control blood sugar, reduce appetite and slow digestion. 

Focus on GLP-1 for weight loss 

Although the facility will support a broad portfolio of APIs, it is slated to manufacture orforglipron, Lilly’s first oral small-molecule GLP-1 receptor agonist, an emerging class of therapies targeting obesity and metabolic disorders. 

GLP-1 helps with weight loss by mimicking the natural hormone to control blood sugar, reduce appetite and slow digestion. 

The company plans to submit orforglibpron to global regulatory agencies for obesity by the end of this year.

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