Becton, Dickinson and Company (BD) has agreed to invest $19 billion in the US over several years under a partnership with the US government. In return, it will receive relief from future Section 232 tariffs on covered products and inputs, subject to the final scope of any tariffs and BD meeting agreed milestones. No such medical device tariff is currently in force.
The commitment includes $3 billion for expanding US manufacturing at strategic sites. BD plans to increase domestic production by about 5 billion essential medical consumables annually, raising its share of domestically supplied consumables to 80%. It also plans to manufacture all needles used in the US domestically with American-made steel. The products covered by the expansion are used in about 90% of US hospital visits, BD said.
The company’s manufacturing network includes sites in Nebraska, Connecticut, Puerto Rico, Utah, Texas, Georgia and South Carolina. The $19 billion commitment also covers capital, operational and supply-chain investments.
The deal follows the Commerce Department’s September 2025 launch of a Section 232 investigation into imports of personal protective equipment, medical consumables and medical equipment. The final tariff rates, product coverage and effective timing remain undetermined, and BD has not quantified the deal’s financial impact.
Reuters called the agreement the first of its kind between a major US medical device maker and the government. Drugmakers have also negotiated company-specific deals tied to relief from Section 232 pharmaceutical tariffs.
Separately, Chinese-made syringes and needles already face 100% tariffs under Section 301, imposed in 2024.
