We were just talking about how the expansion's going, and a lot of expansion because of Trump, I have to say. But I think the one-year depreciation was great. One-year expensing, everyone loves it. And we had to do a little excursion. We had to take this little couple of weeks, few weeks excursion, but it's been incredible. Our military is unbelievable, the job they're doing. I would say, to put it mildly, way ahead of schedule. We've knocked out their navy, their military in all forms. We've knocked out just about everything there is, including their leadership, twice. We knocked out twice their leadership. Now they have a new group coming up. Let's see what happens to them. But 47 bad years we suffered with them. Not only us, the rest of the world. And we're doing our jobs. So we had to take an excursion, but it's doing well. The market's holding up well. I figured it would be hit a little bit, but we were hit probably less than I thought, and we'll be back on track in pretty short while. Prices are coming down very substantially. Oil will be coming down. That's just a—it's just a matter of war that happens very—you can almost predict it. I would say it went up a little bit less than we thought. It's going to come down more than anybody understands. But do you have any questions, Peter?
President Trump Participates in a Site Visit at Thermo Fisher Scientific
Yes. You just said it is a little excursion and you said it is a war. So which one is it?
Well, it's both. It's both. It's an excursion that will keep us out of a war. And the war is going to be—I mean, for them it's a war. For us, it's turned out to be easier than we thought. But think of it, they had thousands of missiles—7, 8,000 missiles—we got many of them before they got to launch. They have drones all over the place, we got many—now we're knocking out the drone plants, as you know, and doing it fast. They started talking about mines, so we hit 28 mine ships as of this moment. 28. Like using the same weapon, the exact same weapon that we use against the drug dealers in the water. We have, as an example, we had tremendous drugs pouring in through the water through the sea, and now we have almost none. It's down 97% through water. Now we'll do it through land. The land is easier than water. But this is a great honor being here. It's a great company. I've known it for a long time and you have done a fantastic job and I'd like to congratulate...
Thank you. It's the colleagues' work. It's the colleagues.
It's the colleagues. See the colleagues? That's a new form of... as I said before, my associates, my colleagues, my... what about people that just work for you? No, right? They're colleagues.
It's 25 years of working together.
That's why it works so well. Congratulations. Great company.
Thank you very much. It's a great honor. Thank you. Thank you, everybody. Gentlemen, we thought it would be great to introduce some of our best people at our team that hasn't had the chance to say hello.
Sure, let's go. Well, let me have a picture with them. How about that? Come on, Peter, take a picture. Let's go. Let me get in front of some really good looking people. All right, let's go. This guy here. Look at this guy here. Look at his hair. Nobody knows why, but that's okay. Some great information about this incredible company, please.
Yeah. We produce 1.3 billion doses of annual medicine, and over 70% of that goes right here into the US for US-based patients. We have a wide variety of therapeutic areas—cardiovascular, oncology, diabetes—that we support out of this site. When products are complex or difficult to make, they come here, which means it's reflective of the technical expertise and the workforce that we have here in Cincinnati.
And we're taking this away from a lot of countries from all over the world that are making medicines and other things, and sometimes they're not doing a very good job of it, and sometimes they put us actually at risk. And we're taking that away.
Actually, we'd like to thank you for that, for the reshoring efforts. We are actively reshoring. We produce 1.3 billion, and we are actively working with two customers—Merck is one of them for a key profile product reshoring back to this facility; Boehringer Ingelheim is another. We produce 1.3 billion. Between these two opportunities, we'll nearly double the manufacturing for this facility. So we really appreciate the work that you're doing.
And they're coming in. Merck as an example, they're building many factories. Pfizer, Lilly, they're all coming in, building manufacturing. But they're up here faster and at some time in the future they'll probably be doing a little bit of what you're doing, maybe a lot. But in the meantime, they can get here a lot faster by using this great company and other companies like this, but this great company, right?
Thank you. Good job. Thank you very much. And the other thing I would add is we are deeply invested in the community here in Cincinnati. We focus on—all of our employees live here, we raise our families here—we're focused on job development here. We partner with local universities as well as trade. In this facility, you have everything from high school graduates all the way to PhDs. Al and I are both examples of a co-op program right out of the university. Thermo Fisher very much develops talent.
And I spent three summers in the Queen City. Do they still call it the Queen City?
Yes, they do, sir.
In the Queen City, and it was a great experience. When my father was very young and we had a little apartment house here, a little complex called Swifton Village. And it worked out very well. It's always good to get off to a good start, right? If you get off to a good start, if you don't do a good start, it gets a lot more difficult. But it was a great experience. I love Ohio, and Kentucky, we're going to also, you know, we love Kentucky. And we won them both by a lot. By I think we can absolutely without question we can say by a landslide. And it's great to be back. Thank you. Thank you very much. And Dr. Oz is here, one of our real stars.
Mr. President, do you want to share with our buddies at Thermo Fisher about the most favored nation pricing and why this is so important to our country?
So in the whole world, we were paying the most for drugs. We were paying more than any other nation by far. And I don't mean by a little bit—like double, triple, quadruple. I say I use as a basic example: a pill that would cost in London $10 could cost $100 in New York. And through a lot of talent and a Dr. Oz too and some of his people they're incredible, but I dealt with countries and with the pharmaceutical companies and Pharma was pretty easy because they thought we'd never get it approved by the countries. So they said, well, we're going to be okay with it, which they weren't. But in the end, they were fine, really good. But in the end, I used some very strong negotiating talent to get every single country to almost immediately approve. I threatened them with tariffs. I said, look, if you're not going to do this, you're going to take your medicine from $10 to $20 and you're going to bring us from $100 down to $20. So we're going to be now the lowest, we're going to be tied for the lowest anywhere in the world. We take the lowest and that's where we are right now. We went from the highest in the world to the lowest in the world. And I think it's the biggest thing to ever happen with medicine, certainly in terms of pricing. And you're a beneficiary of that and it's made a big difference. But it makes a big difference for people that aren't paying the $100, they're paying now $20. They go from $100 to $20. And a country, France or one of the countries will go from $10 to $20. And they said we're not going to double our price and they said yes, you are. And they said no, you're not. And they said to me, look, what are you going to do? I said I'm going to put very substantial tariffs if you don't do it. And they go into effect tomorrow morning. And they said like we said, we're going to do it. And it was pretty amazing. Nobody could believe that would happen. And I guess other administrations tried but they're not that competent or they didn't try at all. I would say mostly they didn't try. I don't even think they tried. But we took it down by 60, 70, 80, 90 percent and nobody's ever—in 28 years medicines only gone up and we brought it down by in many cases 80 percent or more. So it's an honor and you're a big recipient because it's good for your business, right?
Absolutely. We're proud to be a part of the American supply chain and reshoring pharmaceutical operations. So thank you very much.
That's what we're doing. We're bringing it back to our country where it should be. Thank you.