The U.S. and Europe pharmaceutical manufacturing market size was exhibited at USD 378.9 billion in 2022 and is projected to hit around USD 738.42 billion by 2032, growing at a CAGR of 6.9% during the forecast period 2023 to 2032.
Key Pointers:
Report Scope of the U.S. and Europe pharmaceutical manufacturing Market
Report Coverage |
Details |
Market Size in 2023 |
USD 405.04 Billion |
Market Size by 2032 |
USD 738.42 Billion |
Growth Rate from 2023 to 2032 |
CAGR of 6.9% |
Base Year |
2022 |
Forecast Period |
2023 to 2032 |
Segments Covered |
Product type, Drug development type, Formulation, Therapy area, Route of administration, Prescription requirements, Age type, Sales channel, Region |
Regional scope |
U.S., Europe |
The introduction of novel technologies, adoption of more efficient & cost-effective manufacturing processes, increasing investment by key pharmaceutical manufactures, and a large number of pharmaceutical manufacturing plants in the region are expected to increase the market growth. Moreover, the shift in paradigm toward data-rich, smart, paperless, integrated operations, and increasing penetration of automation & artificial intelligence has led to precise & efficient manufacturing. Such ongoing developments and progress have transformed the U.S. & Europe pharmaceutical manufacturing industry.
The presence of supportive regulatory legislation, patentability norms, high investments in the pharmaceutical industry, and increasing healthcare expenditure remain key drivers of growth. In addition, the rising trend of third-party production across the pharmaceutical sector along with the increased emphasis on cost-cutting approaches are likely to provide lucrative growth opportunities.
A continuous increase in the number of clinical trials of pharmaceutical products is expected to create numerous opportunities for market growth in the coming years. According to ClinicalTrials.gov, as of January 2023, a total of 137,145 ongoing clinical studies were registered in the U.S., which accounts for 31% of overall clinical trials. This increase in the number of clinical studies indicates the growth of the pharmaceutical industry, which is likely to create new avenues for market stakeholders.
Moreover, the majority of pharmaceutical manufacturers have shifted their preference toward continuous production approaches to overcome medicines shortages, reduces production cost, and improve manufacturing efficiencies. For instance, in January 2021, CONTINUUS Pharmaceuticals Inc. announced a receipt of USD 69.3 million U.S. government contract to speed up country-level production of three essential medicines to treat severely ill patients. Moreover, this contract helped the company to enable cost-efficient production to facilitate the delivery of high-quality and affordable therapeutics to patients.
Government initiatives to establish domestic pharmaceutical manufacturing sites are one of the determinants of pharmaceutical manufacturing market growth. For instance, in April 2022, CureVac and GSK plc entered into a partnership to be part of the German Pandemic contingency plan to increase mRNA production capacity and the government will receive access to CureVac’s production capacity until 2029.
The UK government is taking action to establish local manufacturing through Medicines Manufacturing Innovation Centre. Under this program, drug makers, academic institutions, healthcare providers, and regulatory bodies are expected to combine their resources at the facility to test and enhance new technologies, including autonomous production.
Furthermore, the organic and inorganic developments undertaken by pharmaceutical companies to strengthen their business avenues are anticipated to support market expansion. For instance, in October 2021, Samsung Biologics and Enzolytics, Inc. signed a development & manufacturing agreement for Anti-SARS-CoV-2 Monoclonal Antibody and Anti-HIV therapies. Similarly, in February 2021, WuXi STA purchased Bristol Myers Squibb’s manufacturing unit in Switzerland. This expansion will further enhance its existing capabilities.
Some of the prominent players in the U.S. and Europe pharmaceutical manufacturing Market include:
Segments Covered in the Report
This report forecasts the volume and revenue growth at the country level and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2032. For this study, Nova one advisor has segmented the U.S. and Europe pharmaceutical manufacturing market.
By Product Type
By Drug Development Type
By Formulation
By Route of Administration
By Therapy Area
By Prescription Requirements
By Age Type
By Sales Channel
By Regional