Germany-based Merck KGaA (NYSE: MRK) has announced plans to expand production capacity for highly-purified reagents at its Nantong site in China, a strategic location within the Yangtze River Delta region known for its major transportation hub. The investment, valued at approximately EUR 70 million (USD 76 million), will enable large-scale manufacturing of high-purity reagents for quality control and testing for biopharma customers, significantly increasing annual output by several thousand tons. Merck and the Nantong Economic and Technological Development Area (NETDA) have signed an agreement to support this expansion.
New Reagent Production Plant in Nantong
Merck will construct a new reagent production plant at the Nantong site, with operations expected to commence by 2026. The 40,000 square meters facility will provide high-performance products for quality control and testing to customers in the pharmaceutical and industrial sectors, including food & beverage companies.
Merck’s Growth Targets and Investment Strategy
Merck aims to increase Group sales to approximately EUR 25 billion by 2025. To achieve these ambitious growth targets, the company plans to significantly increase its total investments between 2021 and 2025 compared to the period from 2016 to 2020. The latest investment in Nantong is a step forward in Merck’s strategy to diversify its footprint and enhance supply chain resilience, aligning with the needs of its customer base.-Fineline Info & Tech
