Published by Global Banking & Finance Review®
Posted on May 7, 2025
2 min readLast updated: January 24, 2026
Novo Nordisk's CFO is skeptical about Trump's order to expedite U.S. drug manufacturing, citing long timelines and recent FDA downsizing.
By Maggie Fick and Jacob Gronholt-Pedersen
LONDON/COPENHAGEN (Reuters) -Obesity drugmaker Novo Nordisk's CFO said on Wednesday he was sceptical that U.S. President Donald Trump's executive order to reduce the time it takes to approve pharmaceutical plants in the country will significantly change timelines for the pharma industry.
Trump signed an executive order on Monday that aims to reduce the time it takes to approve pharma plants in the United States, as part of new regulations to encourage domestic manufacturing.
Novo Nordisk Chief Financial Officer Karsten Munk Knudsen said in an interview it takes years for a pharmaceutical company to build a factory in compliance with the quality protocols set and enforced by the U.S. Food and Drug Administration (FDA).
"We would welcome if there are more pragmatic ways through it, but I'm sceptical that it will markedly change timelines in our industry," he said.
Trade group PhRMA estimates it takes five to 10 years to build a new pharmaceutical plant in the United States.
Trump's executive order directs the FDA to streamline reviews and work with companies to provide early support before facilities come online.
The Trump administration last month enacted mass firings at the FDA, removing staff critical to reviewing new medicines and staff supporting inspectors who check factories for safety standards, Reuters reported.
"So clearly we're noting the downsizing of the FDA," said Knudsen.
His comments follow announcements by pharma companies including Novartis, Eli Lilly and Roche of huge investments in U.S. manufacturing as the industry faces U.S. tariffs threats.
Novo has not unveiled new U.S. investments this year but reiterated on Wednesday that over the past decade it has announced more than $24 billion in investments in the United States. It is currently building a $4 billion factory at its North Carolina plant for Wegovy injection pens.
(Reporting by Maggie Fick and Jacob Gronholt-Pedersen;Editing by Elaine Hardcastle)
Trump's executive order aims to reduce the time it takes to approve pharmaceutical plants in the United States as part of new regulations to encourage domestic manufacturing.
Trade group PhRMA estimates that it takes five to ten years to build a new pharmaceutical plant in the United States.
Karsten Munk Knudsen expressed skepticism that the executive order would markedly change timelines in the pharmaceutical industry, despite welcoming more pragmatic approaches.
Novo Nordisk has announced over $24 billion in investments in the United States over the past decade, although it has not unveiled new U.S. investments this year.
The Trump administration enacted mass firings at the FDA, removing staff critical to reviewing new medicines and those supporting inspectors who check factories for safety standards.
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