Active Pharmaceutical Ingredient Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2031 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Afri

Active Pharmaceutical Ingredient Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2031 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)


The active pharmaceutical ingredients (API) market is witnessing remarkable growth, with global revenue estimated at US$ 199 billion in 2024. It is forecasted to surge ahead attain a valuation of US$ 290 billion by the end of 2031.

Driving Factors for API Market Growth

The active pharmaceutical ingredients market is experiencing dynamic growth, primarily driven by increasing innovation and research in the pharmaceutical sector. The demand for drugs capable of altering the course of therapy is on the rise, leading to advancements in pharmaceutical research. Notably, the integration of artificial intelligence (AI) in drug innovation and research plays a pivotal role in addressing unmet therapeutic targets. Technological breakthroughs in screening tools for preclinical research are overcoming pharmacological synthesis challenges associated with complex drug molecules. Biologics development has also surged, driven by factors such as product safety, efficacy, and the potential to treat previously untreatable diseases. This technological progress has led to the expansion of vast chemical libraries for potential therapeutic targets. Additionally, the approval of numerous new pharmaceuticals by regulatory authorities, including gene and cell therapies, monoclonal antibodies, and immunotherapies, is expected to drive market growth.

Challenges in API Demand

Despite its rapid growth, the API market faces challenges, notably the impact of rising API prices on manufacturers, particularly in developing regions like India. Increased pricing affects the economic feasibility of producing formulations, causing profit margins to decrease. India, a prominent region for API manufacturing, has faced challenges due to drug price controls, which restrict manufacturers from increasing retail prices. The pricing hike, coupled with the rise in the price of the dollar and increased freight costs, has further strained the industry. The United States stands as an exception with unregulated drug prices. Several European countries also have price control policies, adding to the challenges faced by manufacturers.

Country-wise Insights

U.S. Market Boom

The United States boasts a thriving healthcare system with advanced infrastructure and expenditure. Regulatory norms and insurance policies govern the healthcare regime, with policies aimed at cost-effectiveness and value-based healthcare. As chronic and infectious diseases become more prevalent, the demand for API in the United States continues to rise, particularly in addressing chronic diseases. This trend supports the growth of the overall API market in the country.

Germany's Lucrative Opportunity

Germany's universal healthcare system, predominantly government-funded, is one of the most successful globally. The country's high level of healthcare spending, technological advancements, the presence of significant competitors, an aging population, and increased research and development activities offer substantial opportunities for API market growth. The government's economic stimulus package in June 2020, allocating EUR 1 billion for the pharmaceutical manufacturing sector, is expected to drive further investment in the German API market.

Japan's Emerging Market

Japan's pharmaceutical industry primarily caters to the domestic market, with limited export sales. However, international interest in entering Japan's market and identifying local suppliers and manufacturers is on the rise. Demand for generics is increasing as companies seek reliable supply chains and alternative sources. Government investments and prevalence of generics are expected to propel Japan's API market forward.

Competitive Landscape

The pharmaceutical industry's leaders are characterized by fragmentation, with manufacturers investing in advanced machinery to expand product portfolios and manufacturing capabilities worldwide. Mergers and acquisitions, as well as collaborations, have become key tactics among prominent competitors to enhance their API offerings.

Key Companies Profiled
• Pfizer Inc.
• Boehringer Ingelheim International GmbH
• Bristol-Myers Squibb Company
• Cipla Inc.
• Eli Lilly and Company
• F. Hoffmann-La Roche Ltd
• GlaxoSmithKline plc
• Hepalink Group
• Lonza
• Merck & Co. Inc.
• Sandoz International GmbH
• Aurobindo Pharma Limited
• Fresenius Kabi LLC

Key Segments Covered in Active Pharmaceutical Ingredients Industry Research

By API:
• Small Molecules
Controlled Substances

 Natural Opioids

 Semi-synthetic/Synthetic Opioids
Non-Controlled Substances

 NSAIDs

 Anti-infective

 Antimicrobial

 Oral anti-diabetics

 Anti-hypertensive

 Others
HPAPI
• Peptides & Oligonucleotides
• Carbohydrate Drugs
• Steroidal Drugs

By End User:
• Pharmaceutical Companies
• Biopharmaceutical Companies
• CMOs
• CDMOs

By Region:
• North America
• Latin America
• Europe
• South Asia
• East Asia
• Oceania
• Middle East & Africa



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1. Executive Summary
1.1. Global Active Pharmaceutical Ingredient Market Snapshot
1.2. Future Projections
1.3. Key Market Trends
1.4. Regional Snapshot, by Value, 2023
1.5. Analyst Recommendations
2. Market Overview
2.1. Market Definitions and Segmentations
2.2. Market Dynamics
2.2.1. Drivers
2.2.2. Restraints
2.2.3. Market Opportunities
2.3. Value Chain Analysis
2.4. Porter’s Five Forces Analysis
2.5. COVID-19 Impact Analysis
2.5.1. Supply
2.5.2. Demand
2.6. Impact of Ukraine-Russia Conflict
2.7. Economic Overview
2.7.1. World Economic Projections
2.8. PESTLE Analysis
3. Global Active Pharmaceutical Ingredient Market Outlook, 2018 – 2031
3.1. Global Active Pharmaceutical Ingredient Market Outlook, by API, Value (US$ Bn), 2018 – 2031
3.1.1. Key Highlights
3.1.1.1. Small Molecules
3.1.1.1.1. Controlled Substances
3.1.1.1.1.1. Natural Opioids
3.1.1.1.1.2. Semi-synthetic/Synthetic Opioids
3.1.1.1.2. Non-Controlled Substances
3.1.1.1.2.1. NSAIDs
3.1.1.1.2.2. Anti-infective
3.1.1.1.2.3. Antimicrobial
3.1.1.1.2.4. Oral anti-diabetics
3.1.1.1.2.5. Anti-hypertensive
3.1.1.1.2.6. Others
3.1.1.1.3. HPAPI
3.1.1.2. Peptides & Oligonucleotides
3.1.1.3. Carbohydrate Drugs
3.1.1.4. Steroidal Drugs
3.2. Global Active Pharmaceutical Ingredient Market Outlook, by End User, Value (US$ Bn), 2018 – 2031
3.2.1. Key Highlights
3.2.1.1. Pharmaceutical Companies
3.2.1.2. Biopharmaceutical Companies
3.2.1.3. CMOs
3.2.1.4. CDMOs
3.3. Global Active Pharmaceutical Ingredient Market Outlook, by Region, Value (US$ Bn), 2018 – 2031
3.3.1. Key Highlights
3.3.1.1. North America
3.3.1.2. Europe
3.3.1.3. Asia Pacific
3.3.1.4. Latin America
3.3.1.5. Middle East & Africa
4. North America Active Pharmaceutical Ingredient Market Outlook, 2018 – 2031
4.1. North America Active Pharmaceutical Ingredient Market Outlook, by API, Value (US$ Bn), 2018 – 2031
4.1.1. Key Highlights
4.1.1.1. Small Molecules
4.1.1.1.1. Controlled Substances
4.1.1.1.1.1. Natural Opioids
4.1.1.1.1.2. Semi-synthetic/Synthetic Opioids
4.1.1.1.2. Non-Controlled Substances
4.1.1.1.2.1. NSAIDs
4.1.1.1.2.2. Anti-infective
4.1.1.1.2.3. Antimicrobial
4.1.1.1.2.4. Oral anti-diabetics
4.1.1.1.2.5. Anti-hypertensive
4.1.1.1.2.6. Others
4.1.1.1.3. HPAPI
4.1.1.2. Peptides & Oligonucleotides
4.1.1.3. Carbohydrate Drugs
4.1.1.4. Steroidal Drugs
4.2. North America Active Pharmaceutical Ingredient Market Outlook, by End User, Value (US$ Bn), 2018 – 2031
4.2.1. Key Highlights
4.2.1.1. Pharmaceutical Companies
4.2.1.2. Biopharmaceutical Companies
4.2.1.3. CMOs
4.2.1.4. CDMOs
4.3. North America Active Pharmaceutical Ingredient Market Outlook, by Country, Value (US$ Bn), 2018 – 2031
4.3.1. Key Highlights
4.3.1.1. U.S. Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
4.3.1.2. U.S. Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
4.3.1.3. Canada Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
4.3.1.4. Canada Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
4.3.2. BPS Analysis/Market Attractiveness Analysis
5. Europe Active Pharmaceutical Ingredient Market Outlook, 2018 – 2031
5.1. Europe Active Pharmaceutical Ingredient Market Outlook, by API, Value (US$ Bn), 2018 – 2031
5.1.1.1. Small Molecules
5.1.1.1.1. Controlled Substances
5.1.1.1.1.1. Natural Opioids
5.1.1.1.1.2. Semi-synthetic/Synthetic Opioids
5.1.1.1.2. Non-Controlled Substances
5.1.1.1.2.1. NSAIDs
5.1.1.1.2.2. Anti-infective
5.1.1.1.2.3. Antimicrobial
5.1.1.1.2.4. Oral anti-diabetics
5.1.1.1.2.5. Anti-hypertensive
5.1.1.1.2.6. Others
5.1.1.1.3. HPAPI
5.1.1.2. Peptides & Oligonucleotides
5.1.1.3. Carbohydrate Drugs
5.1.1.4. Steroidal Drugs
5.2. Europe Active Pharmaceutical Ingredient Market Outlook, by End User, Value (US$ Bn), 2018 – 2031
5.2.1. Key Highlights
5.2.1.1. Pharmaceutical Companies
5.2.1.2. Biopharmaceutical Companies
5.2.1.3. CMOs
5.2.1.4. CDMOs
5.3. Europe Active Pharmaceutical Ingredient Market Outlook, by Country, Value (US$ Bn), 2018 – 2031
5.3.1. Key Highlights
5.3.1.1. Germany Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.2. Germany Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.1.3. U.K. Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.4. U.K. Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.1.5. France Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.6. France Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.1.7. Italy Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.8. Italy Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.1.9. Turkey Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.10. Turkey Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.1.11. Russia Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.12. Russia Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.1.13. Rest of Europe Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
5.3.1.14. Rest of Europe Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
5.3.2. BPS Analysis/Market Attractiveness Analysis
6. Asia Pacific Active Pharmaceutical Ingredient Market Outlook, 2018 – 2031
6.1. Asia Pacific Active Pharmaceutical Ingredient Market Outlook, by API, Value (US$ Bn), 2018 – 2031
6.1.1.1. Small Molecules
6.1.1.1.1. Controlled Substances
6.1.1.1.1.1. Natural Opioids
6.1.1.1.1.2. Semi-synthetic/Synthetic Opioids
6.1.1.1.2. Non-Controlled Substances
6.1.1.1.2.1. NSAIDs
6.1.1.1.2.2. Anti-infective
6.1.1.1.2.3. Antimicrobial
6.1.1.1.2.4. Oral anti-diabetics
6.1.1.1.2.5. Anti-hypertensive
6.1.1.1.2.6. Others
6.1.1.1.3. HPAPI
6.1.1.2. Peptides & Oligonucleotides
6.1.1.3. Carbohydrate Drugs
6.1.1.4. Steroidal Drugs
6.2. Asia Pacific Active Pharmaceutical Ingredient Market Outlook, by End User, Value (US$ Bn), 2018 – 2031
6.2.1. Key Highlights
6.2.1.1. Pharmaceutical Companies
6.2.1.2. Biopharmaceutical Companies
6.2.1.3. CMOs
6.2.1.4. CDMOs
6.3. Asia Pacific Active Pharmaceutical Ingredient Market Outlook, by Country, Value (US$ Bn), 2018 – 2031
6.3.1. Key Highlights
6.3.1.1. China Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
6.3.1.2. China Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
6.3.1.3. Japan Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
6.3.1.4. Japan Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
6.3.1.5. South Korea Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
6.3.1.6. South Korea Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
6.3.1.7. India Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
6.3.1.8. India Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
6.3.1.9. Southeast Asia Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
6.3.1.10. Southeast Asia Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
6.3.1.11. Rest of Asia Pacific Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
6.3.1.12. Rest of Asia Pacific Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
6.3.2. BPS Analysis/Market Attractiveness Analysis
7. Latin America Active Pharmaceutical Ingredient Market Outlook, 2018 – 2031
7.1. Latin America Active Pharmaceutical Ingredient Market Outlook, by API, Value (US$ Bn), 2018 – 2031
7.1.1.1. Small Molecules
7.1.1.1.1. Controlled Substances
7.1.1.1.1.1. Natural Opioids
7.1.1.1.1.2. Semi-synthetic/Synthetic Opioids
7.1.1.1.2. Non-Controlled Substances
7.1.1.1.2.1. NSAIDs
7.1.1.1.2.2. Anti-infective
7.1.1.1.2.3. Antimicrobial
7.1.1.1.2.4. Oral anti-diabetics
7.1.1.1.2.5. Anti-hypertensive
7.1.1.1.2.6. Others
7.1.1.1.3. HPAPI
7.1.1.2. Peptides & Oligonucleotides
7.1.1.3. Carbohydrate Drugs
7.1.1.4. Steroidal Drugs
7.2. Latin America Active Pharmaceutical Ingredient Market Outlook, by End User, Value (US$ Bn), 2018 – 2031
7.2.1. Key Highlights
7.2.1.1. Pharmaceutical Companies
7.2.1.2. Biopharmaceutical Companies
7.2.1.3. CMOs
7.2.1.4. CDMOs
7.2.1.5.
7.3. Latin America Active Pharmaceutical Ingredient Market Outlook, by Country, Value (US$ Bn), 2018 – 2031
7.3.1. Key Highlights
7.3.1.1. Brazil Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
7.3.1.2. Brazil Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
7.3.1.3. Mexico Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
7.3.1.4. Mexico Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
7.3.1.5. Argentina Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
7.3.1.6. Argentina Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
7.3.1.7. Rest of Latin America Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
7.3.1.8. Rest of Latin America Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
7.3.2. BPS Analysis/Market Attractiveness Analysis
8. Middle East & Africa Active Pharmaceutical Ingredient Market Outlook, 2018 – 2031
8.1. Middle East & Africa Active Pharmaceutical Ingredient Market Outlook, by API, Value (US$ Bn), 2018 – 2031
8.1.1.1. Small Molecules
8.1.1.1.1. Controlled Substances
8.1.1.1.1.1. Natural Opioids
8.1.1.1.1.2. Semi-synthetic/Synthetic Opioids
8.1.1.1.2. Non-Controlled Substances
8.1.1.1.2.1. NSAIDs
8.1.1.1.2.2. Anti-infective
8.1.1.1.2.3. Antimicrobial
8.1.1.1.2.4. Oral anti-diabetics
8.1.1.1.2.5. Anti-hypertensive
8.1.1.1.2.6. Others
8.1.1.1.3. HPAPI
8.1.1.2. Peptides & Oligonucleotides
8.1.1.3. Carbohydrate Drugs
8.1.1.4. Steroidal Drugs
8.2. Middle East & Africa Active Pharmaceutical Ingredient Market Outlook, by End User, Value (US$ Bn), 2018 – 2031
8.2.1. Key Highlights
8.2.1.1. Pharmaceutical Companies
8.2.1.2. Biopharmaceutical Companies
8.2.1.3. CMOs
8.2.1.4. CDMOs
8.3. Middle East & Africa Active Pharmaceutical Ingredient Market Outlook, by Country, Value (US$ Bn), 2018 – 2031
8.3.1. Key Highlights
8.3.1.1. GCC Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
8.3.1.2. GCC Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
8.3.1.3. South Africa Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
8.3.1.4. South Africa Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
8.3.1.5. Egypt Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
8.3.1.6. Egypt Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
8.3.1.7. Nigeria Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
8.3.1.8. Nigeria Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
8.3.1.9. Nigeria Active Pharmaceutical Ingredient Market End User, Value (US$ Bn), 2018 – 2031
8.3.1.10. Rest of Middle East & Africa Active Pharmaceutical Ingredient Market by API, Value (US$ Bn), 2018 – 2031
8.3.1.11. Rest of Middle East & Africa Active Pharmaceutical Ingredient Market by End User, Value (US$ Bn), 2018 – 2031
8.3.2. BPS Analysis/Market Attractiveness Analysis
9. Competitive Landscape
9.1. API vs End User Heatmap
9.2. Manufacturer vs End User Heatmap
9.3. Company Market Share Analysis, 2023
9.4. Competitive Dashboard
9.5. Company Profiles
9.5.1. Pfizer Inc.
9.5.1.1. Company Overview
9.5.1.2. API Portfolio
9.5.1.3. Financial Overview
9.5.1.4. Business Strategies and Development
9.5.2. Boehringer Ingelheim International GmbH
9.5.2.1. Company Overview
9.5.2.2. API Portfolio
9.5.2.3. Financial Overview
9.5.2.4. Business Strategies and Development
9.5.3. Bristol-Myers Squibb Company
9.5.3.1. Company Overview
9.5.3.2. API Portfolio
9.5.3.3. Financial Overview
9.5.3.4. Business Strategies and Development
9.5.4. Cipla Inc.
9.5.4.1. Company Overview
9.5.4.2. API Portfolio
9.5.4.3. Financial Overview
9.5.4.4. Business Strategies and Development
9.5.5. Eli Lilly and Company
9.5.5.1. Company Overview
9.5.5.2. API Portfolio
9.5.5.3. Financial Overview
9.5.5.4. Business Strategies and Development
9.5.6. F. Hoffmann-La Roche Ltd
9.5.6.1. Company Overview
9.5.6.2. API Portfolio
9.5.6.3. Financial Overview
9.5.6.4. Business Strategies and Development
9.5.7. GlaxoSmithKline plc
9.5.7.1. Company Overview
9.5.7.2. API Portfolio
9.5.7.3. Financial Overview
9.5.7.4. Business Strategies and Development
9.5.8. Hepalink Group
9.5.8.1. Company Overview
9.5.8.2. API Portfolio
9.5.8.3. Financial Overview
9.5.8.4. Business Strategies and Development
9.5.9. Lonza
9.5.9.1. Company Overview
9.5.9.2. API Portfolio
9.5.9.3. Financial Overview
9.5.9.4. Business Strategies and Development
9.5.10. Merck & Co. Inc.
9.5.10.1. Company Overview
9.5.10.2. API Portfolio
9.5.10.3. Financial Overview
9.5.10.4. Business Strategies and Development
9.5.11. Sandoz International GmbH
9.5.11.1. Company Overview
9.5.11.2. API Portfolio
9.5.11.3. Financial Overview
9.5.11.4. Business Strategies and Development
9.5.12. Aurobindo Pharma Limited
9.5.12.1. Company Overview
9.5.12.2. API Portfolio
9.5.12.3. Financial Overview
9.5.12.4. Business Strategies and Development
9.5.13. Fresenius Kabi LLC
9.5.13.1. Company Overview
9.5.13.2. API Portfolio
9.5.13.3. Financial Overview
9.5.13.4. Business Strategies and Development
10. Appendix
10.1. Research Methodology
10.2. Report Assumptions
10.3. Acronyms and Abbreviations

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