Report

Economic Impact Report

The Biopharmaceutical Industry Helps Strengthen the U.S. Economy

PhRMA May 16, 2016

At a time when the economic competitiveness at the national and state level is recognized to be strongly rooted in the capacity to advance innovation-based industries, the U.S. biopharmaceutical industry stands out as a leading research and development (R&D) and advanced manufacturing industry. Over the past 30 years, the U.S. has solidified its place as the preeminent nation in biopharmaceutical innovation world-wide. Today, that global leadership is built upon a robust foundation of innovation-led U.S. companies that perform and support advanced R&D and sustain a diverse and large-scale supply chain for the development, production, and distribution of life-saving and quality-of-life-improving therapeutics to patients.

The innovation-led biopharmaceutical industry and its closely-integrated supply chain represents a significant geographic footprint across the nation. To measure the economic contributions that the biopharmaceutical industry is making, the Pharmaceutical Research and Manufacturers of America (PhRMA) engaged TEConomy Partners, LLC to develop an independent estimate of the current size and structure of the U.S. biopharmaceutical industry and its total economic impact on the U.S. economy—including the 50 states, the District of Columbia, and Puerto Rico. This examination fully examines the broad value-chain of the biopharmaceutical industry from R&D to clinical testing to manufacturing of biopharmaceuticals to final distribution.