North Carolina has quietly emerged as one of the nation's most formidable life sciences ecosystems, anchored by its position as the leading biomanufacturing hub in the United States.
With more than 860 life sciences companies employing over 76,000 people across the state, North Carolina offers a unique combination of world-class research institutions, a robust manufacturing workforce, and strategic East Coast positioning that continues to attract both established medtech leaders and emerging innovators.
The state has significant
benefits for manufacturers
, even being named top in the nation by the Site Selection Group in 2024. North Carolina maintains one of the lowest corporate income tax rates in the U.S., currently at 2.5%. In addition, state and local governments in the area offer economic incentives, including grants and tax breaks, to attract new investments.
Major firms like Genentech, Eli Lilly, FUJIFILM Diosynth, and Novo Nordisk already had facilities in the state, and since July 2024, Japan’s Nipro Medical Corp. has announced that it will build its first North American manufacturing facility in Greenville, NC, Netherlands-based Nelipak, a supplier of rigid and flexible packaging for healthcare and other demanding applications, opened its first North American flexible packaging production site in the state, Johnson & Johnson broke ground on a facility, and GMAX Industries Inc., a manufacturer of medical disposables, chose to locate its base of manufacturing operations in Winston-Salem.
As the medical device and diagnostics industries navigate post-pandemic supply chain challenges, increased demand for reshoring, and rapid technological advancement, North Carolina's diversified ecosystem, which spans biopharmaceuticals, medical devices, diagnostics, and agricultural technology, positions the state as a compelling alternative to traditional hubs like Massachusetts, California, and Minnesota.
MD+DI
connected with Christopher Chung, CEO of the Economic Development Partnership of North Carolina, to discuss what sets North Carolina apart in the increasingly competitive landscape of medtech site selection, how the state is building its talent pipeline to meet industry demands, and where he sees the greatest opportunities for growth in the years ahead.
North Carolina is recognized as the #1 biomanufacturing hub in the nation, but how would you characterize the state's position in the medical device and diagnostics sectors specifically? What differentiates North Carolina's medtech ecosystem from other established hubs like Massachusetts, California, or Minnesota?
Chung:
I would characterize North Carolina as a leader in medical devices and diagnostics. NCBiotech, a non-profit organization that supports North Carolina’s life sciences industry, counts more than 160 device and diagnostic companies in the state, including Aptyx in Charlotte, bioMérieux in Durham, and Labcorp in Burlington. We’re also seeing significant new investment from companies like ESSERT Robotics, Ypsomed, and Nipro Medical. What separates North Carolina from other major medtech hubs is that we have both sides of the equation: the research talent to develop new technologies and the manufacturing workforce to bring them to market. Five Tier-1 research universities in North Carolina produce more than 6,000 biological and biomedical graduates each year, and our state has the largest manufacturing workforce in the Southeast. That combination of research, talent and manufacturing expertise gives companies a unique advantage when they’re deciding where to grow.
You have 860+ life sciences companies employing 76,000+ people in the state. Can you break down the composition of that ecosystem—how much is biopharm versus medtech versus diagnostics? Where are you seeing the most growth?
Chung:
North Carolina’s life sciences ecosystem is broad and continues to grow. More than 860 companies employ over 76,000 people across the state, with biopharmaceutical manufacturing representing the largest segment at nearly 34,000 employees across 108 facilities. Clinical research accounts for another 24,000 workers, while medical devices and diagnostics include more than 160 companies and agtech adds more than 180 companies. What’s particularly encouraging is the pace of that growth. Since 2021, pharmaceutical and medicine manufacturing employment has grown 12% in North Carolina (compared with 6% nationally), while medical device employment has grown 5% (more than twice the national rate). That tells us the state’s life sciences economy isn’t simply growing in one area. We’re seeing momentum across the ecosystem, and that diversification is one of North Carolina’s greatest strengths.
What trends are you seeing in life science and advanced manufacturing investments coming into North Carolina? Are companies primarily expanding existing operations, or are you attracting new entrants to the state?
Chung:
North Carolina has a diversified life sciences sector, both in terms of the products being developed and manufactured here and where companies are located across the state. If I had to point to one area with real momentum right now, it would be GLP-1 weight-loss drugs. We’re seeing investment in both the drugs themselves and the ancillary products that support them. Novo Nordisk is a great example, announcing two years ago one of the largest investments in its history – $4.1 billion and 1,000 new jobs at its Johnston County operation. We continue to see both new companies come to North Carolina and existing companies make significant investments to grow here.
Post-pandemic, we've seen significant reshoring and supply chain diversification efforts in medical devices and diagnostics. How is North Carolina positioned to capture that investment, and what are companies telling you they need from the state to make those decisions?
Chung:
North Carolina is well-positioned because we’re not starting from scratch. We already have a deep bench of medical device and diagnostics manufacturers, along with a strong contract manufacturing base to support them. When companies are looking to bring production closer to home, they’re primarily asking whether they can find the workforce they need, get into a building or break ground quickly, and have confidence in the regulatory and permitting process. Capital costs obviously matter, but increasingly, the deciding factor is whether we can show a company a credible path to getting its facility staffed and operational. Our location is a major asset, too – the midpoint location of the East Coast gives us reach to several major markets within hours.
Global medtech leaders like BD, Teleflex, and bioMérieux have significant operations in North Carolina. What initially attracted these companies to the state, and what keeps them expanding there rather than relocating to other regions?
Chung:
BD, Teleflex, and bioMérieux have all been part of North Carolina’s life sciences story for decades. What initially attracted them was the Research Triangle and its proximity to our world class universities producing the talent they needed to grow. What keeps them here is the cluster that has developed in the Triangle. When you have major life sciences companies operating in the same region, it becomes easier to recruit specialized talent, grow supplier networks, and build the infrastructure the industry needs. That creates a cycle where companies that are already here continue to see opportunities to grow.
Workforce is often cited as a critical factor in site selection decisions. How is North Carolina addressing the talent pipeline for medtech, particularly in areas like precision manufacturing, quality systems, and regulatory affairs?
Chung:
Workforce is often the number one factor companies consider when deciding where to invest, and North Carolina has made significant investments in building that pipeline. Our community college system does a tremendous amount of heavy lifting in this area. BioWork, for example, gives people with no prior science background a pathway into life sciences manufacturing careers in about 152 hours of training and is offered at several community college campuses across the state. We’re also continuing to invest in specialized training infrastructure, including a new life sciences training center at Durham Tech. There is more work to do, but North Carolina has the institutions and partnerships in place to keep building the talent pipeline as the industry evolves.
Looking ahead, what are the biggest opportunities and challenges for North Carolina's medtech sector? Are there specific subsectors – surgical robotics, digital health, diagnostics – where you see the state having a competitive advantage?
Chung:
The biggest opportunity is that North Carolina already has the ingredients needed for the next generation – world-class research universities, an established base of device and diagnostics manufacturers, and growing momentum in digital health and AI-enabled diagnostics. No matter the focus area, the challenge is making sure our workforce keeps pace with demand, particularly for specialized engineering, quality and regulatory talent. Our job as economic developers is to make sure North Carolina remains a place where companies can find the talent they need to grow.