Why Trump's Proposed Generic Drug Tariffs Matter for Architecture, Engineering and Construction

Much of the discussion surrounding President Trump's proposed tariff structure on imported generic pharmaceuticals has focused on healthcare costs, drug supply chains and international trade. However, Grace Goldberg, Senior Vice President at LVI Associates, believes Architecture, Engineering and Construction (AEC) firms should also be paying attention. 

Pharmaceutical investment is already accelerating 

The proposed tariffs could encourage additional domestic pharmaceutical manufacturing, but they are only one part of a much broader trend. Demand for medicines, supply chain resilience, government incentives and long-term manufacturing strategies have already prompted major pharmaceutical companies to expand production across the United States. 

Eli Lilly, Johnson & Johnson and Roche have each announced major investments in US manufacturing, including multiple new production and research facilities across states such as North Carolina, Indiana, Pennsylvania, Massachusetts and California. Together, these programmes represent more than US$155 billion in planned investment and are expected to create thousands of permanent manufacturing and construction jobs. 

These announcements show that pharmaceutical reshoring is already underway. If the proposed tariffs encourage manufacturers to relocate additional generic drug production to the US, the current investment cycle could accelerate, creating further demand for engineering, construction and commissioning expertise across the AEC sector.

Why pharmaceutical manufacturing creates opportunities for AEC 

Unlike conventional industrial developments, pharmaceutical manufacturing facilities require highly specialised design, engineering and construction. 

Demand spans structural, mechanical, electrical, process, civil, controls and automation engineering, alongside commissioning, qualification and validation (CQV). Structural engineers support foundations, building frames, equipment supports and seismic design, while mechanical, electrical and process engineers play a central role in delivering the complex building services and production systems required for regulated manufacturing. 

Projects typically include: 

• Cleanrooms and controlled manufacturing environments 
• Advanced HVAC and environmental control systems 
• Process piping and purified water systems 
• Redundant electrical and critical infrastructure 
• Building automation and manufacturing controls 
• Commissioning, qualification and validation (CQV) 

Before construction begins, manufacturers also require feasibility studies, site selection, utility assessments, master planning and regulatory planning. 

As a result, opportunities extend across the full project lifecycle, from early advisory work through design, construction, commissioning and operational readiness.

Demand for specialised engineering talent 

The AEC sector already faces shortages across several technical disciplines. Additional pharmaceutical investment would increase competition for professionals with experience in regulated manufacturing environments. 

Roles likely to see the greatest demand include: 

• Mechanical engineers with cleanroom experience 
• Electrical engineers specialising in critical infrastructure 
• Process engineers 
• Automation and controls specialists 
• Commissioning, Qualification and Validation (CQV) professionals 
• Construction and project managers with life sciences experience 

"If investment continues, the projects will come. The bigger challenge will be finding engineers and project leaders with the experience of delivering complex pharmaceutical facilities. That talent is already in short supply." 

The sector has experienced similar hiring pressure across data centers, semiconductor manufacturing and other advanced industrial projects. Pharmaceutical facilities compete for many of the same engineering, automation and commissioning professionals.

How AEC firms can prepare 

While the proposed tariffs may encourage additional pharmaceutical manufacturing in the United States, the biggest opportunity for AEC firms will come from being prepared before projects reach procurement. 

If investment accelerates over the next few years, demand for specialist engineering expertise is likely to outpace supply. Firms that build capability early will be better positioned to win work and deliver projects successfully. 

Build specialist life Sciences capability 

Life sciences projects require a different skill set to conventional commercial or industrial developments. Firms should invest in recruiting and developing engineers with experience in cleanrooms, regulated environments, process utilities and pharmaceutical manufacturing. 

Competition for experienced professionals is already strong, and any increase in domestic manufacturing investment is likely to place further pressure on the market. 

"The biggest challenge may not be finding opportunities. It will be finding the specialist people needed to deliver them." 

Invest in commissioning and digital delivery 

Pharmaceutical facilities depend on extensive testing, qualification and validation before production can begin. At the same time, manufacturers are increasingly investing in automation, digital manufacturing systems and operational technology. 

AEC firms that combine traditional engineering expertise with commissioning, controls, automation and digital delivery capabilities will be well positioned to support increasingly complex projects.

Engage pharmaceutical clients earlier 

Many of the most valuable opportunities arise long before construction starts. 

Manufacturers typically begin with feasibility studies, site selection, utility assessments and master planning before appointing design and construction teams. Firms that build relationships during these early stages are often better positioned to secure work as projects progress. 

Developing stronger partnerships with pharmaceutical owners today could provide a competitive advantage if reshoring activity gathers pace.

Preparing for pharmaceutical investment 

It remains unclear how much additional pharmaceutical reshoring the proposed tariffs will generate. What is already clear is that manufacturers are investing heavily in U.S. production, and every new facility requires specialised engineering, commissioning, and construction expertise. If tariffs accelerate that trend, competition for experienced life sciences professionals is likely to increase further. 

Grace Goldberg, Senior Vice President at LVI Associates, said:

For organisations planning new facilities or expanding existing operations, workforce planning should begin well before projects move into procurement. Engineering talent with experience across design, commissioning, validation, and construction is already in short supply, and increased investment is likely to intensify competition. 

Through Phaidon International’s specialist brands, organisations can access the multidisciplinary talent needed to plan, deliver, and operate complex pharmaceutical facilities. 

LVI Associates connects organisations with Architecture, Engineering, and Construction professionals who have experience across life sciences, advanced manufacturing, and mission-critical projects. From design engineers and CQV specialists to project managers and technical leaders, its recruitment teams help organisations reduce delivery risk, maintain project schedules, and build effective project teams. Request a call back today, for more information on our recruitment services.