Market Size of Vaccine Contract Manufacturing Industry
Study Period | 2021 - 2029 |
Market Size (2024) | USD 3.51 Billion |
Market Size (2029) | USD 5.98 Billion |
CAGR (2024 - 2029) | 11.18 % |
Fastest Growing Market | Asia-Pacific |
Largest Market | North America |
Major Players*Disclaimer: Major Players sorted in no particular order |
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Vaccine Contract Manufacturing Market Analysis
The Vaccine Contract Manufacturing Market size is estimated at USD 3.51 billion in 2024, and is expected to reach USD 5.98 billion by 2029, growing at a CAGR of 11.18% during the forecast period (2024-2029).
The COVID-19 pandemic had a profound impact on the vaccine contract manufacturing market. During the outbreak of the pandemic, there was a shortage of vaccines for all diseases due to the lockdown, which hampered the growth of the vaccine contract manufacturing market. However, R&D and clinical trials across the world accelerated to provide a safe and effective vaccine, thus increasing the demand and manufacturing of vaccines, eventually driving the growth of the market. Increased demand for vaccines resulted in increased investment needs for the manufacturing and clinical trial infrastructure. For instance, as per a press release by the United Nations International Children's Emergency Fund (UNICEF) in October 2021, a new ACT-Accelerator strategy was planned, which called for a USD 23.4 billion international investment to address disparities in the availability of COVID-19 diagnostics, vaccinations, and therapies worldwide. The market has recovered since the manufacturing restrictions were lifted. The vaccine contract manufacturing market is expected to show a stable growth rate during the forecast period.
In addition, the advancements in technology and cost benefits in infrastructure and operational benefits, increase in initiatives favoring vaccinations, and favorable patient demographics, and growing vaccinations of newborns and children are actively affecting the growth of the market studied.
The initiatives taken by various governments and health organizations all over the world focusing on providing vaccinations to all people are driving the growth of the vaccine contract manufacturing market in the forecast period. For instance, as per the World Health Organization, in February 2022, Djibouti's Ministry of Health, with technical support from WHO and UNICEF, launched a five-day national polio vaccination campaign to vaccinate approximately 150,000 children in Djibouti. These vaccine drives focusing on preventive measures for various diseases are likely to drive the growth of the market in the forecast period.
Furthermore, technological advancements in vaccine technology have been fueled by the introduction of genetic engineering, vaccine-delivering technology, and proteomics. Currently, it is resulting in the entry of new products. For instance, according to the article published by the Association of American Medical Colleges (AAMC) in March 2021, mRNA technology promises to revolutionize future vaccines and treatments for cancer and infectious diseases. Researchers claim that mRNA can be used to create a variety of vaccines and treatments in less time and at lower costs than traditional methods. Thus, the advantage of new technology like mRNA to create vaccines is expected to drive the market's growth.
Additionally, rising strategic initiatives adopted by key players, such as business expansion, partnerships, and acquisitions, are estimated to propel the market's growth. For instance, in March 2022, Bharat Biotech entered into a partnership with the Spanish biopharmaceutical firm, Biofabri for the development, manufacturing, and marketing of a new tuberculosis vaccine. The new TB vaccine, MTBVAC, is being manufactured and developed by Biofabri in close collaboration with the University of Zaragoza, the International AIDS Vaccine Initiative (IAVI), and the Tuberculosis Vaccine Initiative (TBVI). Such developments by market players are also boosting the growth of the vaccine contract manufacturing market in the study period.
The increase in the necessity of vaccine contract manufacturing around the world is expected to propel the growth of the market studied. However, the increasing cost of vaccines, along with the lack of storage infrastructure, is likely to hinder the growth of the market in the forecast period.
Vaccine Contract Manufacturing Industry Segmentation
As per the scope of this report, vaccine contract manufacturing is the outsourcing of vaccine production on a large scale to manufacturing units, such as contract manufacturing organizations.
The vaccine contract manufacturing market is segmented by vaccine type (inactivated vaccines, live-attenuated vaccines, RNA vaccines, subunit vaccines, and toxoid-based vaccines), process (downstream (analytical and QC studies, fill and finish, packaging, other downstream processes) and upstream (bacterial expression systems, baculovirus/insect expression systems, mammalian expression systems, yeast expression systems, other upstream processes)), the scale of operations (preclinical, clinical, and commercial), end use (human use and veterinary), and geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The report also covers the estimated market sizes and trends of 17 countries across major regions globally. The report offers values (in USD million) for the above-mentioned segments.
By Vaccine Type | |
Inactivated Vaccines | |
Live-attenuated Vaccines | |
RNA Vaccines | |
Subunit Vaccines | |
Toxoid-based Vaccines |
By Process | |||||||
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By Scale of Operations | |
Preclinical | |
Clinical | |
Commercial |
By End Use | |
Human Use | |
Veterinary |
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Vaccine Contract Manufacturing Market Size Summary
The vaccine contract manufacturing market is poised for significant growth over the forecast period, driven by a combination of technological advancements, increased demand for vaccines, and strategic initiatives by key industry players. The market experienced a temporary setback during the COVID-19 pandemic due to vaccine shortages and manufacturing restrictions. However, the rapid development and deployment of vaccines during the pandemic spurred investments in manufacturing infrastructure and R&D, setting the stage for recovery and growth. Technological innovations, particularly in mRNA technology, are expected to play a crucial role in enhancing vaccine development efficiency and reducing costs, further propelling market expansion. Government and health organization initiatives worldwide, aimed at increasing vaccination coverage, are also contributing to the market's positive outlook.
In addition to technological advancements, the market is benefiting from strategic partnerships and collaborations among major players, which are enhancing production capabilities and expanding market reach. The growing focus on inactivated vaccines, supported by research and development efforts, is expected to drive segment growth. Despite challenges such as rising vaccine costs and storage infrastructure limitations, the market is anticipated to grow steadily, with North America leading due to high awareness and investment in healthcare. The competitive landscape is characterized by the presence of several key players, with ongoing collaborations and expansions further strengthening their market positions. Overall, the vaccine contract manufacturing market is set to experience robust growth, supported by technological, strategic, and regulatory developments.
Vaccine Contract Manufacturing Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.2.1 Advancements in Technology and Cost Benefits in Infrastructure and Operational Benefits
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1.2.2 Increase in Initiatives Favoring Vaccinations
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1.2.3 Favorable Patient Demographics and Growing Vaccinations of Newborns and Children
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1.3 Market Restraints
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1.3.1 Rising High Costs of Vaccines
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1.3.2 Lack of Storage Infrastructure and Limitations Associated with Supply Chain
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1.4 Porter's Five Forces Analysis
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1.4.1 Threat of New Entrants
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1.4.2 Bargaining Power of Buyers/Consumers
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1.4.3 Bargaining Power of Suppliers
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION (Market Size by Value - USD Million)
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2.1 By Vaccine Type
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2.1.1 Inactivated Vaccines
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2.1.2 Live-attenuated Vaccines
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2.1.3 RNA Vaccines
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2.1.4 Subunit Vaccines
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2.1.5 Toxoid-based Vaccines
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2.2 By Process
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2.2.1 Downstream
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2.2.1.1 Analytical and QC Studies
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2.2.1.2 Fill and Finish
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2.2.1.3 Packaging
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2.2.1.4 Other Downstream Processes
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2.2.2 Upstream
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2.2.2.1 Bacterial Expression Systems
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2.2.2.2 Baculovirus/Insect Expression Systems
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2.2.2.3 Mammalian Expression Systems
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2.2.2.4 Yeast Expression Systems
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2.2.2.5 Other Upstream Processes
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2.3 By Scale of Operations
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2.3.1 Preclinical
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2.3.2 Clinical
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2.3.3 Commercial
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2.4 By End Use
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2.4.1 Human Use
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2.4.2 Veterinary
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2.5 Geography
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2.5.1 North America
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2.5.1.1 United States
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2.5.1.2 Canada
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2.5.1.3 Mexico
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2.5.2 Europe
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2.5.2.1 Germany
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2.5.2.2 United Kingdom
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2.5.2.3 France
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2.5.2.4 Italy
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2.5.2.5 Spain
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2.5.2.6 Rest of Europe
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2.5.3 Asia-Pacific
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2.5.3.1 China
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2.5.3.2 Japan
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2.5.3.3 India
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2.5.3.4 Australia
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2.5.3.5 South Korea
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2.5.3.6 Rest of Asia-Pacific
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2.5.4 Middle East and Africa
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2.5.4.1 GCC
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2.5.4.2 South Africa
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2.5.4.3 Rest of Middle East and Africa
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2.5.5 South America
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2.5.5.1 Brazil
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2.5.5.2 Argentina
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2.5.5.3 Rest of South America
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Vaccine Contract Manufacturing Market Size FAQs
How big is the Vaccine Contract Manufacturing Market?
The Vaccine Contract Manufacturing Market size is expected to reach USD 3.51 billion in 2024 and grow at a CAGR of 11.18% to reach USD 5.98 billion by 2029.
What is the current Vaccine Contract Manufacturing Market size?
In 2024, the Vaccine Contract Manufacturing Market size is expected to reach USD 3.51 billion.