Siemens Healthineers announced plans to relocate some of the manufacturing for its Varian radiotherapy division from Mexico into the U.S., as part of a broader plan to expand its domestic production in the face of new international tariffs.
The company said the move from Baja, Mexico to Palo Alto, California, would bring about 50 new local jobs, while reducing "the complexity of our global supply chain."
A slated total investment of $150 million will help support that shift while the lion’s share will go toward the construction of a 60,000-square-foot “experience center” within the research and innovation district of Charlotte, North Carolina, known as the Pearl.
“Siemens Healthineers’ $141 million investment in the Pearl in Charlotte is the latest in a long line of companies that see the value of our well-trained workforce thanks to advanced health education programs in our state,” North Carolina Governor Josh Stein said in a statement.
The news follows Siemens Healthineers’ announcement in February that it aims to establish bi-coastal “mega depots” for holding spare parts and other equipment—with two new locations outside New York City and Oakland, California, joining its centrally located facility in Memphis, Tennessee.
In addition to addressing “geopolitical uncertainties,” the company said the warehouses will also offer same-day delivery within 300 miles and increase parts inventory by 30%.
“With these new investments, we’re further demonstrating our long-term commitment and desire to grow along with the American economy,” said John Kowal, president and head of Siemens Healthineers in the Americas.