The biopharmaceutical industry in America directly employs more than 1 million people and drives $1.74 trillion in economic activity, according to a new report from TEConomy Partners. Biopharma industry jobs grew 19.5% from 2020 to 2024, more than double the private sector (9.1%) and over three times U.S. manufacturing (5.6%).
The big picture: The report shows how America’s biopharmaceutical industry is a major driver of economic growth across the country. As America’s biopharmaceutical companies continue to invest in U.S. manufacturing and R&D, their impact reaches far beyond the lab, creating jobs, strengthening domestic supply chains and generating economic opportunity across the country while advancing medicines of the future for patients.
By the numbers… and they’re big:
- Nearly 1.1 million direct biopharma jobs in all 50 states, the District of Columbia and Puerto Rico
- 7 states – CA, MA, NJ, NY, NC, PA, TX – each have more than 50,000 workers directly employed by the industry.
- 26 states and Puerto Rico with more than 10,000 workers directly employed by the industry.
- 1,527 manufacturing facilities across 48 states and Puerto Rico
- Nearly 5 million total jobs supported across the U.S. economy
- $1.74 trillion in total economic output
- $957 billion in value added to the economy, 3.3% of U.S. GDP
- $109 billion in federal, state and local personal income tax revenue
America leads the world in biopharmaceutical R&D and investment in new treatments and cures:
- Over 213,000 workers in R&D alone, more than semiconductors and auto manufacturing combined
- Nearly 80% of all private investment in U.S. medical research in 2025 was projected to come from the biopharmaceutical industry.
- 23% of all U.S. business R&D
- Just 1% of U.S. commercial biopharmaceutical R&D is federally funded, compared with 49% in aerospace
Diving deeper: The industry’s economic footprint extends beyond traditional biopharmaceutical hubs, supporting jobs in all 50 states and fueling growth in emerging centers of innovation across the country. R&D is the biopharmaceutical industry's fastest-growing sector, adding nearly 55,000 jobs between 2022 and 2024. Today, the U.S. biopharmaceutical industry employs more R&D workers than any other American industry, a talent advantage competitors around the world are racing to match.
The bottom line: America’s leadership in biopharmaceutical innovation depends on a policy environment that supports continued investment in R&D and manufacturing. The competition is heating up: China has made biotechnology a national priority and is investing heavily to expand its research and manufacturing capacity. Pro-innovation policies like strong intellectual property protections, an evidence-based regulatory system and support for R&D can help strengthen the U.S. biopharmaceutical ecosystem, keep America ahead and keep investment and innovation here at home.
Read the report and learn more at AmericaCures.com.
Drew Voytal
Drew Voytal, MPA is a Senior Director of public affairs at PhRMA focusing on advocacy and policy communications on key issues, including 340B. His career in health care advocacy, policy and public affairs spans more than a decade in Washington, DC where he has built relationships with key government and industry partners to advance public policy priorities. Drew has personally experienced the benefits of biopharmaceutical research and innovation and is passionate about telling the story of this vital industry.
Drew Voytal