Amid shortages and another recall, Abbott plans $500 million infant formula plant

Abbott plans to build a $500 million infant formula facility and is boosting production at other plants as the health care company looks to increase supply in the U.S. amid ongoing shortages.

"We're currently in the final stages of determining the site location and will work with regulators and other experts to ensure this facility is state-of-the-art and sets a new standard for infant formula production," Robert Ford, the company's chairman and CEO told investors in an earnings call on Wednesday.

The decision to invest in a new plant comes in response to an analysis that found "this country would benefit from more manufacturing capacity and redundancy," Ford said.