News|Articles|November 5, 2025

Cencora Reveals $1 Billion Investment Plan Enhancing US-Based Distribution Network

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Key Takeaways

  • Cencora plans to invest over $1 billion to expand and modernize its US distribution network by 2030.
  • A second national distribution center in Ohio and a new facility in California will feature advanced automation technologies.
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Cencora's investment includes new automated centers in Ohio and California and a major cold chain expansion in Alabama to enhance capacity, efficiency, and supply chain resilience.

Cencora announced plans to invest upwards of $1 billion towards expanding, strengthening, and modernizing its US-based distribution network through 2030.1 The company’s investment plans include opening a second national distribution center located in Ohio, along with expanding its presence in both Alabama and California to increase capacity, improve efficiency, and enhance resilience of its national distribution network.1

“Healthcare providers rely on us to provide efficient access to the medications their patients need, and we’re able to deliver on that promise because of the robust distribution infrastructure and operations we’ve built through decades of investment,” said Bob Mauch, president & CEO of Cencora. “This investment underscores our commitment to and role in building a resilient pharmaceutical supply chain and in ensuring patients across the United States have timely and reliable access to prescribed medications, where and when they need them.”

Cencora’s plans for a second national distribution center and west coast expansion

With more than 30 distribution centers spanning across 20 states and Puerto Rico, Cencora’s investment plans aim to expand upon its distribution capabilities by opening a second national distribution center in Harrison, Ohio. The 530,000 square-foot facility is expected to significantly increase Cencora’s storage capacity and throughput, along with enhancing its ability to meet growing demands from its 40,000 healthcare provider customers.1 Plans for the center include advanced automation technology, such as robotic handling systems, artificial intelligence (AI), and autonomous mobile robots, aiming to increase the efficiency and reliability of supply chain processes.1 The facility is expected to be complete and fully operation by Spring 2027.

Cencora is also planning a new distribution center in Fontana, California, which is expected to be complete by fall 2026.1 According to a press release from Cencora, the new, highly automated wholesale center is almost double the size of Cencora’s current facility located in Corona, measuring 430,000 square-foot, the new facility will expand the company’s presence and capacity on the West Coast.

Cold chain expansion

Included in Cencora’s $1 billion investment is plans for expanding its specialty medicines distribution center in Dothan, Alabama, just one of three distribution centers dedicated to storing and distributing specialty pharmaceuticals.1 The expansion is expected to be completed by fall 2026, and once complete, the 122,500 square-foot expansion will be one and a half times larger than its existing distribution center. This will also increase the facility’s refrigerated storage capacity upwards of 500%, along with improving frozen storage capacity by 200%, enhancing Cencora’s ability to handle and store complex specialty medications.1

“We’re committed to delivering an industry-leading customer experience, and that starts with listening to our customers, anticipating their needs and making strategic investments to ensure we can provide the exceptional service they expect,” said Rich Tremonte, executive vice president and president, U.S. pharmaceuticals and animal health at Cencora. “As demand continues to grow and more specialty pharmaceuticals reach the market, the investments we’re making today will strengthen our ability to support our customers’ current and future needs, enabling them to continue delivering high-quality patient care in their communities.”

Sources

  1. Cencora Announces $1 Billion Investment to Strengthen its U.S. Distribution Network Cencora November 5, 2025 https://www.cencora.com/newsroom/cencora-to-invest-1-billion-in-us-distribution-network

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