In October 2020 the U.S. Department of Defense and the U.S. Department of Health and Human Services awarded a government grant of USD 32.9 million (CHF 29.8 million) to support the buildup of a U.S. pipette tip manufacturing for COVID-19 testing. Disposable pipette tips are key components for molecular tests for SARS-CoV-2 and other assays performed on fully automated, high throughput systems. The funding enables the Group to launch new production capacity in the U.S. and to increase the domestic supply for critical medical resources.

This government grant is linked to the purchase and installation of new production lines reported in position property, plant and equipment (see note 19). The new U.S. manufacturing is expected to start producing pipette tips in fall 2021.