Merck KGaA to Discontinue Operations at Ireland API Plant, Opens New Filtration Facility in Cork
German pharmaceutical giant Merck KGaA has announced plans to discontinue operations at its active pharmaceutical ingredient (API) production plant in Arklow, Ireland, by the end of 2028. This decision comes as the company simultaneously expands its presence elsewhere in the country with the opening of a new filtration manufacturing facility in Cork.
Arklow Plant Closure and Job Cuts
Merck KGaA's decision to mothball its Arklow operations follows a strategic review of the products manufactured at the site. The company has confirmed that it will "discontinue" its API portfolio there, affecting approximately 100 jobs. The Services Industrial Professional and Technical Union (SIPTU), Ireland's largest trade union, will represent the affected employees during consultations with the company.
The Arklow facility, which Merck acquired in 2015, is registered under the company's CDMO arm, Merck Life Science. While specific products manufactured at the site were not disclosed, the plant's API production capabilities align with its registration under the CDMO division.
New Filtration Facility in Cork
In contrast to the Arklow closure, Merck KGaA has expanded its Irish footprint with the opening of a new filtration manufacturing facility in Cork. Operating under the MilliporeSigma brand, the company's U.S. and Canada CDMO arm, the 150-million-euro ($174 million) facility spans 3,000 square meters (32,292 square feet).
The Cork plant will produce filtration devices crucial for aseptic processing, tangential-flow filtration, and viral filtration steps in the production of monoclonal antibodies, vaccines, and cell and gene therapies. This development is part of a larger 440-million-euro ($511 million) investment in Ireland, which includes an expansion of the company's membrane production site in Carrigtwohill, also located in Cork.
Corporate Challenges and Leadership Changes
Merck KGaA has faced challenges in 2025, particularly due to trade policy uncertainties. The company lowered its 2025 sales forecast for its life science division earlier this year, citing "current uncertainties around tariffs." While a resolution seemed to be in sight by late September, recent reports of a new U.S. investigation into foreign drug pricing practices have raised concerns about potential additional trade duties.
Despite these challenges, Merck KGaA's U.S. subsidiary, EMD Serono, has reached an agreement with the U.S. Department of Commerce for exemption from Section 232 tariffs on pharmaceuticals. The company has also agreed to sell its in vitro fertilization drug portfolio at a discounted rate in the U.S. through President Donald Trump's TrumpRx direct-to-consumer purchasing platform.
In a significant leadership change, CEO Belén Garijo is set to step down by the end of April 2026, to be succeeded by Kai Beckmann, the current CEO of Merck KGaA's electronics division. Johannes Baillou, chairman of the executive board of E. Merck KG, emphasized Beckmann's "proven transformational expertise" as crucial for the company's next growth phase.
References
- Merck KGaA to mothball operations at Ireland API plant by end of 2028
Merck KGaA plans to discontinue operations at its production plant in Arklow, Ireland, “by the end of 2028,” a company spokesperson confirmed to Fierce Pharma. The decision follows a strategic review of the products made at the site, which prompted Merck KGaA to “discontinue” its API portfolio there, the spokesperson explained.
Explore Further
What are the specific factors that led to the decision to close the Arklow API production plant by the end of 2028?
What impact has Belén Garijo’s leadership had on Merck KGaA's strategic direction, and how might Kai Beckmann's expertise shape the company’s future?
How will the closure of the Arklow facility and the expansion of the Cork filtration plant affect Merck KGaA's workforce distribution in Ireland?
What are the broader implications of Merck KGaA’s agreement with the U.S. Department of Commerce on its international operations and market competitiveness?
How do the personnel changes within Merck KGaA align with the company’s broader efforts to address challenges like trade policy uncertainties and changes in the global pharmaceutical landscape?