In a move aimed at reshoring pharmaceutical production, President Donald Trump has signed a new executive order to streamline the approval and construction of domestic drug manufacturing facilities.

The order directs the FDA to eliminate “duplicative and unnecessary requirements,” reducing the time it takes to approve pharmaceutical manufacturing plants in the U.S. It also calls on the EPA and other federal agencies to expedite permits and designate a single point of contact to coordinate facility approvals.

This policy comes amid Trump’s plans to impose pharmaceutical tariffs within weeks—a continuation of his administration’s broader strategy to reduce U.S. reliance on foreign medicine suppliers and bolster national security. Trump emphasized, “We want to be able to make our own [medicines]… We will produce our pharmaceuticals right here in the United States.”

However, industry leaders caution that restoring domestic capacity will require long-term investments and supportive policy reforms. Johnson & Johnson CEO Joaquin Duato and Eli Lilly CEO David Ricks both stressed that permanent tax incentives—not tariffs—will be key to encouraging U.S.-based pharmaceutical investments. Tariffs, they warned, may disrupt supply chains and cause shortages.

PhRMA’s Alex Schriver welcomed the push for American manufacturing but warned against policies that could undermine pharmaceutical innovation. Premier Inc.’s SVP of Government Affairs, Soumi Saha, added that “a one-policy solution” is not enough, advocating for a comprehensive approach that includes regulatory reform, fair reimbursement, and near-shoring partnerships.

The executive order builds on Trump’s earlier efforts to reshore essential medicine production and responds to persistent gaps in the U.S. healthcare supply chain, which became especially apparent during the COVID-19 pandemic.

As global competition for pharmaceutical dominance intensifies, the initiative marks a pivotal step in reshaping the economics of medicine manufacturing in the U.S.