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Siemens to invest $32 million into Delaware lab manufacturing plant

by John R. Fischer, Senior Reporter | September 29, 2021
Business Affairs
Siemens Healthineers will invest $32 million into its Delaware diagnostic laboratory manufacturing facility
Siemens Healthineers is pitching $32 million into the manufacturing capabilities of its Glasgow Laboratory Diagnostics Manufacturing Facility in Newark, Delaware for its diagnostics supply chain.

The investment will allow the company to add on production of more than 20 new in vitro diagnostic assays over the span of 24 months. The facility is one of several under Siemens Healthineers that manufactures solutions for its diagnostics division. It makes over 120 assays that run on the Atellica Solution, ADVIA Chemistry Dimension, Dimension VIsta, Syva Drug Testing and Status CS instruments.

The goal is to expand the company’s manufacturing capabilities at the facility now to make room for growth in its production for the Atellica Solution, which is designed to address laboratory challenges and integrate immunoassay and clinical chemistry analyzers with sample management technology. The company first installed the Atellica solution in 2018 at Access Medical Laboratories in Jupiter, Florida. Equipped with Aptio Automation, it is able to adjust complex and redundant operations and simplify testing workflow. This can help in managing rising demands for patient testing in the midst of falling reimbursement rates, while helping to facilitate better outcomes at lower costs.

Siemens Healthineers plans to relocate test manufacturing to the facility to streamline some of its processes and enhance delivery of these tests to healthcare providers and patients. It will add new production equipment, including large-scale specialties and formulation process equipment, which will help to reduce production outsourcing to contract manufacturers, reports Delaware Business News.

“The Glasgow manufacturing facility expansion will further increase our manufacturing footprint in the United States — the largest healthcare market in the world,” said Deepak Nath, president of laboratory diagnostics at Siemens Healthineers, in a statement.

The facility has over $1,300 full-time employees, including about 500 in manufacturing and technical positions. The project is expected to help it retain these positions and further its presence in Delaware, reports Town Square Live.

Siemens Healthineers is one of the largest private employers in Delaware and one of the biggest taxpayers in New Castle County. It is also a robust figure in the state’s medical technology industry, according to Governor John Carney. “Delaware is a great place for innovative manufacturing companies like Siemens Healthineers to grow their operations. We are pleased Siemens Healthineers will be making a significant investment in our state to enhance and expand their manufacturing facility, which will keep good-paying jobs here in Delaware.”

Funding for the investment has been approved by the Delaware Strategic Fund and will be distributed in the form of a retention grant of up to $1.3 million and a Capital Expenditure Grant of up to $690,000, according to Delaware Business News.

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