Visiongain has published a new report entitled Pharmaceutical Contract Manufacturing Market Report 2025-2035: Forecasts by Services (Pharmaceutical Manufacturing Services, Drug Development Services, Biologics Manufacturing Services), by Drug Type (Branded, Generics), by End-users (Big Pharmaceutical Companies, Small & Medium-sized Pharmaceutical Companies, Generic Pharmaceutical Companies, Other), by Scale of Operation (Clinical, Commercial) AND Regional and Leading National Market Analysis PLUS Analysis of Leading Companies.

The global pharmaceutical contract manufacturing market is estimated at US$170.6 billion in 2025 and is projected to grow at a CAGR of 11.8% during the forecast period 2025-2035.

Growing Reliance on CMOs for Cost-Efficient Drug Manufacturing

The increasing complexity and financial burden of drug development have compelled pharmaceutical firms, particularly small to mid-sized enterprises, to collaborate with CMOs. These external partners provide specialised expertise in formulation, production, and compliance, allowing pharmaceutical companies to focus on their core competencies, such as research and commercialisation.

CMOs offer state-of-the-art manufacturing facilities equipped with sterile filling capabilities, enabling pharmaceutical firms to scale production while maintaining stringent quality control. By outsourcing production to contract manufacturers, companies can mitigate the risks associated with capital-intensive infrastructure investments while accelerating the development and launch of new therapeutics.

Moreover, outsourcing to CMOs ensures regulatory compliance across global markets, as these organisations are well-versed in meeting stringent manufacturing guidelines such as Good Manufacturing Practices (GMP) and other regulatory frameworks mandated by agencies like the MHRA (UK), EMA (EU), and FDA (US). This enhances operational efficiency while ensuring the seamless delivery of life-saving medications.

How will this Report Benefit you?

Visiongain’s 355-page report provides 147 tables and 201 charts/graphs. Our new study is suitable for anyone requiring commercial, in-depth analyses for the pharmaceutical contract manufacturing market, along with detailed segment analysis in the market. Our new study will help you evaluate the overall global and regional market for Pharmaceutical Contract Manufacturing. Get financial analysis of the overall market and different segments including type, process, upstream, downstream, and company size and capture higher market share. We believe that there are strong opportunities in this fast-growing pharmaceutical contract manufacturing market. See how to use the existing and upcoming opportunities in this market to gain revenue benefits in the near future. Moreover, the report will help you to improve your strategic decision-making, allowing you to frame growth strategies, reinforce the analysis of other market players, and maximise the productivity of the company.

What are the Current Market Drivers?

Surging Demand for Generic & Branded Pharmaceuticals

The rising prevalence of chronic diseases, an ageing global population, and increasing healthcare expenditure are driving the demand for both branded and generic drugs. As patents for blockbuster drugs expire, pharmaceutical companies are seeking cost-effective solutions for mass production, making CMOs indispensable in meeting this growing demand. Additionally, governments worldwide are promoting generic drug usage to reduce healthcare costs, further boosting contract manufacturing opportunities.

Increased Focus on Biologics & Specialty Medicines

Biologics, including monoclonal antibodies, gene therapies, and personalised medicines, require highly specialised manufacturing capabilities. Many pharmaceutical companies lack the infrastructure to handle biologics production, leading them to outsource to CMOs with advanced bioprocessing expertise. The rising demand for high-potency active pharmaceutical ingredients (HPAPIs) also necessitates contract manufacturing due to stringent safety and containment requirements.

Where are the Market Opportunities?

Globalisation & Emerging Market Expansion

Pharmaceutical companies are increasingly seeking cost-efficient production hubs in emerging markets, particularly in Asia-Pacific, Eastern Europe, and Latin America. These regions offer lower production costs, skilled labour, and favourable government policies, making them attractive destinations for contract manufacturing investments. Furthermore, global supply chain diversification strategies post-pandemic have reinforced the importance of establishing multiple manufacturing locations to mitigate risks associated with geopolitical uncertainties and trade restrictions.

Growing Adoption of End-to-End Contract Manufacturing Services

Pharmaceutical companies are increasingly embracing end-to-end contract manufacturing models, where Contract Manufacturing Organizations (CMOs) offer comprehensive solutions spanning drug development, clinical trial production, commercial-scale manufacturing, and packaging. This integrated approach provides multiple advantages, including:

Operational Efficiency: By outsourcing multiple stages of production to a single provider, pharma companies can streamline workflows, reduce coordination efforts, and minimize supply chain disruptions.

Faster Time-to-Market: With seamless transitions between drug development and commercial production, end-to-end CMOs help accelerate product launches, especially for complex biologics and specialty drugs.

Cost Optimization: Consolidating services under one provider reduces overhead costs related to facility investments, workforce management, and logistics.

Regulatory Compliance & Quality Assurance: Leading CMOs invest heavily in regulatory expertise, ensuring compliance with stringent global standards set by the FDA, EMA, and other regulatory bodies.

Competitive Landscape

The major players operating in the pharmaceutical contract manufacturing market are AbbVie Inc., Abnova Corporation, Aenova Group, Almac Group, Baxter, Boehringer Ingelheim International GmbH, Catalent, Inc., Charles River Laboratories, Curia Global, Inc., Evonik Industries AG, FUJIFILM Diosynth Biotechnologies, Grifols, S.A., ICON plc, IQVIA Inc., Jubilant Pharmova Limited, Lannett, Lonza, Nipro Pharma Corporation, Piramal Pharma Solutions, Pfizer Inc., Recipharm AB, Samsung Biologics, Siegfried Holding AG, Thermo Fisher Scientific Inc., Vetter Pharma, and WuXi AppTec. These major players operating in this market have adopted various strategies comprising M&A, investment in R&D, collaborations, partnerships, regional business expansion, and new product launch.

Recent Developments

• In January 2025, Evonik, a specialty chemicals company, partnered with ST Pharm, a contract development and manufacturing organization (CDMO) based in South Korea, to expand services in RNA and nucleic acid therapeutics.  
• In December 2024, Novo Holdings A/S acquired Catalent, a leading contract development and manufacturing organization (CDMO), for $16.5 billion.

Notes for Editors

If you are interested in a more detailed overview of this report, please send an e-mail to contactus@visiongain.com or call +44 207 336 6100.

About Visiongain

Visiongain is one of the fastest-growing and most innovative independent media companies in Europe. Based in London, UK, Visiongain produces a host of business-to-business reports focusing on the automotive, aviation, chemicals, cyber, defence, energy, food & drink, materials, packaging, pharmaceutical and utilities sectors.

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