Vaccine Contract Manufacturing Global Market Report 2024

The vaccine contract manufacturing market size has grown strongly in recent years. It will grow from $3.3 billion in 2023 to $3.62 billion in 2024 at a compound annual growth rate (CAGR) of 9.9%. The expansion observed in the historical period can be attributed to limitations in traditional vaccine manufacturing, increased demand driven by global disease outbreaks, regulatory support for contract manufacturing, the growing complexity of vaccine production, and a surge in vaccine research and development.

The vaccine contract manufacturing market size is expected to see rapid growth in the next few years. It will grow to $5.32 billion in 2028 at a compound annual growth rate (CAGR) of 10.1%. The anticipated growth in the forecast period can be attributed to an increased emphasis on pandemic preparedness, a rise in outsourcing within pharmaceutical manufacturing, the expansion of biopharmaceutical companies, accelerated timelines for vaccine development, and global initiatives aimed at improving vaccine accessibility. Prominent trends expected during the forecast period include the integration of single-use technologies in manufacturing, an increase in personalized medicine approaches to vaccine development, the development of mRNA and viral vector vaccines, the adoption of continuous manufacturing processes, and the expansion of fill-finish services.

The anticipated rise in initiatives promoting vaccinations is set to drive the growth of the vaccine contract manufacturing market in the future. Vaccination serves as an easy, safe, and effective method to defend against contagious diseases by enhancing the immune system and fortifying the body's defenses. The advancement and enhancement of various vaccine manufacturing processes to support vaccine contract manufacturing are expected with increasing initiatives favoring vaccinations. An illustrative example is the U.S. Department of Health and Human Services' announcement in November 2022 of a new $350 million initiative for HRSA (Health Resources and Services Administration)-supported health facilities to enhance COVID-19 vaccine availability, particularly for marginalized communities. Thus, the surge in initiatives supporting vaccinations is a catalyst for the growth of the vaccine contract manufacturing market.

The global rise in infectious diseases is anticipated to contribute to the expansion of the vaccine contract manufacturing market. Infectious diseases caused by microorganisms, such as bacteria, viruses, fungi, or parasites, necessitate urgent vaccine development during outbreaks to curb their further spread. Contract manufacturers play a crucial role in rapidly scaling up vaccine production to address these outbreaks. For example, in England, by the end of the week ending December 9, 2022, infection rates increased for specific age groups and school years. The urgency for vaccines is evident as the infection rate rises, driving the need for vaccine contract manufacturing to respond effectively to infectious diseases.

A notable trend gaining traction in the vaccine contract manufacturing market is strategic partnerships. Leading companies are forming partnerships with entities operating in the vaccine contract manufacturing sector to solidify their market positions. An instance is the collaboration between Vaxxas, an Australia-based biotechnology company specializing in needle-free vaccination technology, and the Coalition for Epidemic Preparedness Innovations, with a focus on developing new vaccines and advancing Vaxxas' needle-free vaccine patch delivery technology. Additionally, the partnership between Novartis AG, Pfizer Inc., and BioNTech SE demonstrates collaborative efforts to provide manufacturing capacity for the Pfizer-BioNTech COVID-19 vaccine, illustrating the significance of strategic partnerships in the vaccine contract manufacturing market.

Major companies in the vaccine contract manufacturing market are directing their efforts toward establishing production sites dedicated to vaccine contract manufacturing. This entails creating facilities exclusively for the manufacturing and production of vaccines on a contractual basis. WuXi Vaccines, a China-based contract development and manufacturing organization (CDMO), expanded its capabilities with the opening of its first standalone vaccine CDMO site in Suzhou, China, in September 2023. This expansion enhances WuXi Vaccines' capacity to contribute to vaccine development and manufacturing, reinforcing its pivotal role in advancing global healthcare solutions.

In November 2021, CJ CheilJedang Corporation, a South Korea-based conglomerate, acquired Batavia Biosciences for $226 million. This strategic acquisition aimed to expand CJ CheilJedang Corporation's bio business portfolio and foster synergies with other wellness-related companies in the long term. Batavia Biosciences, based in the Netherlands, is a science-based contract development and manufacturing organization (CDMO) specializing in viral vectors and vaccines, providing services from process development to clinical and commercial manufacturing.

Major companies operating in the vaccine contract manufacturing market report are Pfizer Inc., Johnson & Johnson, AbbVie Inc., Sanofi, GlaxoSmithKline, Merck KGaA, Fujifilm Holdings Corporation, Moderna, BioNTech, GSK Vaccines, AstraZeneca PLC, Ajinomoto Co. Inc., Icon PLC, Lonza Group AG, Cytiva, Catalent Inc., Charles River Laboratories International Inc., Serum Institute of India Pvt. Ltd., Samsung Biologics, WuXi Biologics, Novavax, Sinovac Biotech, Emergent BioSolutions Inc., Albany Molecular Research Inc., Soligenix Inc., Bio Farma, Curia Global Inc., Hualan Biological Engineering, BioMARC, Bavarian Nordic A/S, AGC Biologics, IDT Biologika GmbH, Bharat Biotech, Goodwin Biotechnology Inc., Biofabri S.L.

North America was the largest region in the vaccine contract manufacturing market in 2023. Asia-Pacific is expected to be the fastest-growing region in the vaccine contract manufacturing market report forecast period. The regions covered in the vaccine contract manufacturing market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the vaccine contract manufacturing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The main types of services involved in vaccine contract manufacturing include fill-finish and bulk products. Fill-finish specifically pertains to the filling and finishing stages of the vaccine manufacturing process. In the pharmaceutical industry, finishing involves the sterilization and standardization of vaccine components into containers, while filling refers to adding them to containers and sealing them properly. The vaccines produced through this process include inactivated vaccines, live-attenuated vaccines, RNA (ribonucleic acid) vaccines, subunit vaccines, and toxoid-based vaccines. These vaccines are prepared through downstream and upstream processes on preclinical, clinical, and commercial scales of operation, catering to both human use and veterinary end-users.

The vaccine contract manufacturing research report is one of a series of new reports that provides vaccine contract manufacturing market statistics, including the vaccine contract manufacturing industry's global market size, regional shares, competitors with vaccine contract manufacturing market share, detailed vaccine contract manufacturing market segments, market trends and opportunities, and any further data you may need to thrive in the vaccine contract manufacturing industry. This vaccine contract manufacturing market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The vaccine contract manufacturing market consists of revenues earned by entities by providing services such as analytical, quality control studies, cell or virus banking, and cold chain services. The market value includes the value of related goods sold by the service provider or included within the service offering. The vaccine contract manufacturing market also includes sales of synthetic vaccines and DNA (deoxyribonucleic acid) vaccines, which are used in providing vaccine contract manufacturing services. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.