At the height of the coronavirus pandemic, the U.S. government turned to the Maryland company Emergent BioSolutions and its Baltimore plant to quickly produce massive amounts of vaccines.
The enormous task proved too much, and eventually a congressional inquiry found that a half-billion of the companyโs vaccine doses were potentially contaminated and had to be ditched. Production was stopped by federal regulators in 2021 and the company left town last year.
Now the plant is poised to reclaim its position manufacturing some of the most advanced life-saving therapies and cures. The Indian company Syngene International, which bought the plant and all its technology in March, plans to restart production lines by yearโs end.
โComing to America makes a lot of sense because itโs where our customer base is,โ Syngene CEO Peter Bains said in a recent interview at the Bayview plant. โWe hope this foothold becomes a stronghold.โ
The expected reopening comes as President Donald Trump has pushed companies to make more drugs in the United States, sometimes using tariffs on overseas imports to prod them to comply.
But Syngene had already made the decision to open its first U.S. plant in Baltimore months before Trump took office, eventually paying $36.5 million to Emergent for a facility that would have taken years and millions to build. Itโs already been cleared to operate by the U.S. Food and Drug Administration.
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Like Emergent, Syngene is a contract manufacturer, available for hire by other companies to make their products.
Emergent made big business of government work, making the coronavirus vaccines and anthrax antidotes for the national stockpile. It still makes Narcan, the opioid overdose remedy, and other products.
Syngene has hundreds of clients, including big pharmaceutical makers, but Bains said it also expects to partner with local universities and startups.
The clients can also tap Syngeneโs own scientists for research, perhaps a boon to Baltimore and the state, which have been seeking to keep homegrown companies in its emerging biomedical industry in town. As they grow and seek expertise and funding, they often leave for other, larger biotech centers.
Syngene was founded by an Indian brewmaster who was so struck by the fermentation process that she became a biotech entrepreneur. Itโs now a large public company with more than 8,000 scientists and other employees, and a market capitalization of more than $3.3 billion.
Bains, Syngeneโs CEO, said the company is versatile, able to produce small batches for human trials ahead of FDA approvals and larger ones for drugs ready for market. The lines produce doses in bulk, which are sent to other facilities for packaging.
Months after its purchase, it has just a handful of workers but plans to hire 300 as operations ramp up in coming months. They could come from federal agencies or local research universities where proposed or enacted cuts to hundreds of millions of dollars in funding from the National Institutes of Health has left qualified employees looking for new work.
The most advanced pharmaceuticals, like cell and gene therapies, which Syngene can produce, are โthe type of manufacturing we should prioritize,โ said Jeromie Ballreich, a health economist and associate research professor at Johns Hopkins Universityโs Bloomberg School of Public Health.
โThese are advanced drugs, so we not only get the local economic benefit of these jobs in Baltimore, but startups and drug companies can use this Syngene plant as a resource,โ Ballreich said.
The move, though, is not one that other drug manufacturers are likely to replicate, no matter how much Trump pressures them, he said.
Trump said he plans to impose a 25% tariff on all products from India, which would probably include pharmaceuticals. The U.S. importers that hired Syngene would have had to pay the cost.
India and China produce much of the worldโs generic drugs, and many of the raw ingredients come from China.
Europe, particularly tax-friendly Ireland, supplies huge volumes of most brand-name pharmaceuticals, including the must advanced drugs. Trump recently imposed a 15% tariff on the European Union, with most drugs probably included.
Ballreich said the United States does have some drug manufacturing capability, but multinational drug makers wonโt shift quickly.
There arenโt too many plants like Bayview sitting idle, he said. The facility is also located in an area with an abundance of qualified people and in easy reach of other East Coast clients. Normally, high-tech supplies are shipped overnight from overseas.
The Pharmaceutical Research and Manufacturers of America, drug makersโ main lobbying group, said in May that tariffs arenโt good policy.
โTariffs are not the answer for promoting greater domestic production of these products,โ the group said in response to an investigation into national security implications from drug imports. โOn the contrary, every dollar collected in tariffs would be a dollar less that innovative biopharmaceutical companies are able to invest in U.S. R&D, manufacturing facilities and infrastructure.โ
The result of tariffs could be billions in increased drug costs for importers, surely affecting consumers, said JP Krahel, a professor at Loyola University Marylandโs Sellinger School of Business and Management.
Some people, he said, will not be equipped to pay much extra for their prescriptions.
Krahel added that even if Trump sticks with tariffs for his term, the next administration could reverse them, and no one will want to invest hundreds of millions in a new plant without certainty in the landscape.
โBaltimore is a great place for them to land,โ Krahel said of Syngene. โBut I donโt think this is kicking off a whirlwind of activity.โ




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