The Show Me State has become a national leader in reshoring critical manufacturing, helping ensure Missourians’ health and safety.
This week, the House Emerging Issues Committee heard from leaders of the API Innovation Center, Missouri University of Science and Technology, Brewer Science and the Jordan Valley Innovation Center as they discussed Missouri’s role in the national security space through the reshoring of critical manufacturing.
State funding has been essential to this effort. In 2024, the Missouri Chamber of Commerce and Industry helped secure $15 million to bring more high-tech manufacturing to Missouri – specifically, the manufacturing of semiconductors and active pharmaceutical ingredients, or APIs.
This state funding combats the public health and national security risk caused by an over-reliance on foreign-sourced products.
Reshoring drug production
Of the top 100 generic medicines used in the U.S., 83% have no U.S. supply of their API – the ingredient which makes the medicine effective for treatment.
However, the U.S. has the manufacturing capacity to produce these drugs, and Missouri is uniquely poised to help improve U.S. health security.
Based in St. Louis, the API Innovation Center (APIIC) has become a national leader in reshoring manufacturing to restabilize the U.S drug supply. Thanks to strong partnerships with the state, private businesses and research institutions, APIIC is making remarkable progress. One success story is lomustine, a critical brain cancer drug that is now being developed in Missouri.
“In the next five years, we want to commercialize 25 medicines made in the United States. For the region – we had an independent study – that’s $1.2 billion in economic stimulus,” said Tony Sardella, chairman and CEO of APIIC. “Making our own medicines is one of the most significant economic stimulus efforts that we can put in place for our nation and our state.”
Strengthening critical minerals processing
Critical minerals processing is another area of opportunity for Missouri.
“For far too long, our country has relied on other countries to mine and process the materials we need for our modern lives and for national security,” said Dr. Mo Dehghani,
chancellor of Missouri S&T. “China currently dominates critical minerals supply.”
That may be changing, though, thanks to key funding.
Earlier this year, the U.S. Dept. of Commerce’s Economic Development Administration awarded Missouri S&T $28.5 million to support the Critical Minerals and Materials for Advanced Energy (CM2AE) Tech Hub.
The Missouri Chamber is part of a broad coalition of associations, business leaders and education leaders working on the CM2AE initiative. This grant money will support the construction of a test bed facility at Missouri S&T to evaluate methods for extracting and processing the critical minerals used for advanced energy systems.
“Here in Missouri, we have an abundant supply of critical minerals,” Dehghani said. “Our state is home to 29 of the 50 minerals categorized as critical.”
Legislative support was crucial to the initial Tech Hub proposal’s success, Dehghani said. With further state support, he believes the project can help transform Missouri’s rural regions and create jobs.
Securing the semiconductor supply chain
In 1981, a technology company named Brewer Science opened in Rolla, Mo. Since then, Missouri has played an important role in the security of our nation’s semiconductor supply chain.
But over the years, the industry has globalized.
“When Brewer Science was founded, the United States accounted for roughly 60% of global microchip manufacturing. Now that number is 10,” said Kevin Edwards, senior project manager at Brewer Science. “Yet today our nation’s financial systems, communications media, entertainment channels and military capability are built on advanced microchips. Having a robust manufacturing base is not just about jobs, it is truly a matter of national security.”
Brewer Science develops essential materials and processes for microelectronics. By partnering with the state and Missouri universities, the company has remained independent and U.S.-based.
The legislature plays a key role in ensuring that continues, Edwards said.
“Any action that improves access to capital or funds further research or product development will help us keep pace with the market demand and the advancing technology,” Edwards said.
Collaborating across industries
Collaboration will be key to Missouri’s future success in the critical manufacturing space.
Allen Kunkel, associate vice president for economic development and director of the Jordan Valley Innovation Center (JVIC) at Missouri State University, spoke to the committee about the importance of public-private partnerships.
JVIC is Missouri State’s advanced research and development hub, and it was created, Kunkel said, to promote collaboration with private businesses to accelerate new technologies.
“We’ve been very successful thanks to the state’s support. JVIC’s been around for 20 years, and we support a lot of different technologies – microelectronics, nanotechnology, we’re doing composite manufacturing for hypersonic vehicles. We cross a lot of different industries, but the semiconductor industry has been one of our strengths over the years,” Kunkel said. “I think we’re going to see a very bright future.”
