Weight Loss Drugs Could Prop Up Manufacturing Construction -- Market Talk

Dow Jones

2025/07/18

1455 ET - For manufacturing construction companies, such as Jacob Solutions and Fluor, EV plants are out and GPL-1 factories are in. Multibillion EV and semiconductor projects are close to being completed, but investment by pharmaceutical companies, boosted by huge demand for weight loss drugs, could fill the upcoming revenue void for the construction industry, say UBS analysts in a research note. The analysts estimate $280 billion committed by pharmaceutical companies to manufacturing construction in the next four to five years, which would add 0.5% to 1% growth in both 2026 and 2027 to non-residential construction spending. The investments will help pharma companies avoid tariffs while ramping up production of weight loss drugs. (nicholas.miller@wsj.com)

(END) Dow Jones Newswires

July 17, 2025 14:55 ET (18:55 GMT)

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