Peptide and Oligonucleotide CDMO

Global Peptide and Oligonucleotide CDMO Market to Reach US$5.7 Billion by 2030

The global market for Peptide and Oligonucleotide CDMO estimated at US$2.8 Billion in the year 2024, is expected to reach US$5.7 Billion by 2030, growing at a CAGR of 12.8% over the analysis period 2024-2030. Peptides, one of the segments analyzed in the report, is expected to record a 14.1% CAGR and reach US$4.2 Billion by the end of the analysis period. Growth in the Oligonucleotides segment is estimated at 9.4% CAGR over the analysis period.

The U.S. Market is Estimated at US$752.3 Million While China is Forecast to Grow at 17.3% CAGR

The Peptide and Oligonucleotide CDMO market in the U.S. is estimated at US$752.3 Million in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$1.2 Billion by the year 2030 trailing a CAGR of 17.3% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 9.2% and 11.4% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 10.1% CAGR.

Global Peptide and Oligonucleotide CDMO Market - Key Trends & Drivers Summarized

What Is a Peptide and Oligonucleotide CDMO and How Does It Work?

A Peptide and Oligonucleotide Contract Development and Manufacturing Organization (CDMO) specializes in the development and manufacturing of peptides and oligonucleotides, which are short chains of amino acids and nucleotides, respectively. These biopharmaceutical products are crucial in the development of therapeutics for a range of diseases, including cancer, autoimmune disorders, genetic diseases, and viral infections. The role of a peptide and oligonucleotide CDMO is to provide services related to the research, development, and large-scale production of these complex molecules. These services typically include drug discovery, process development, manufacturing, and commercialization support, ensuring that the products meet the stringent regulatory requirements of the pharmaceutical industry.

Peptide drugs are gaining significant traction due to their specificity and lower toxicity compared to traditional small-molecule drugs. Oligonucleotides, which include products like RNA-based therapeutics and antisense oligonucleotides, are becoming increasingly important for their ability to target and modulate gene expression. CDMOs focused on peptides and oligonucleotides help pharmaceutical companies navigate the challenges of producing these highly specialized molecules. This includes overcoming challenges related to scalability, purity, yield optimization, and ensuring regulatory compliance. As the market for peptide and oligonucleotide-based drugs continues to expand, the demand for CDMO services in this space is poised to increase substantially.

Why Is the Peptide and Oligonucleotide CDMO Market Expanding?

The peptide and oligonucleotide CDMO market is growing due to several key factors, including the rise of biologics and personalized medicine, advances in RNA therapies, and the increasing prevalence of chronic diseases. One of the most prominent drivers is the growing shift toward biologic drugs, particularly peptides and oligonucleotides, which are considered more targeted and precise compared to traditional small-molecule drugs. These biologics offer higher specificity, fewer side effects, and can be used to treat diseases that were previously challenging to manage, such as rare genetic disorders, certain cancers, and viral infections.

The advancement of RNA-based therapies is another major factor contributing to the growth of the peptide and oligonucleotide CDMO market. The success of mRNA vaccines in combating the COVID-19 pandemic has highlighted the potential of RNA technologies in medicine. As a result, the demand for oligonucleotide manufacturing services is rapidly increasing, particularly for products like mRNA vaccines, gene-editing tools, and RNA interference therapies. Pharmaceutical companies and biotech firms are increasingly seeking CDMO partners with expertise in the production and development of these complex molecules. The demand for oligonucleotides, including small interfering RNA (siRNA), messenger RNA (mRNA), and antisense oligonucleotides (ASOs), is expected to continue its upward trajectory as research into RNA therapeutics expands.

In addition, the increasing prevalence of chronic diseases such as cancer, diabetes, and cardiovascular conditions is driving the need for novel therapeutic approaches, including those involving peptides and oligonucleotides. As the global population ages, there is an escalating demand for innovative drugs that target the underlying causes of these diseases at a molecular level. This has led to a growing number of peptide and oligonucleotide-based drug candidates entering the clinical and commercial stages, further increasing the demand for specialized manufacturing and development services offered by CDMOs.

What Key Trends Are Shaping the Future of Peptide and Oligonucleotide CDMOs?

The future of the peptide and oligonucleotide CDMO market is being shaped by several transformative trends, including advances in manufacturing technologies, the increasing importance of quality and regulatory compliance, and the growing focus on scalability and flexibility. One key trend is the advancement of peptide and oligonucleotide synthesis technologies, which are enabling faster, more efficient, and cost-effective manufacturing processes. Innovations in solid-phase peptide synthesis (SPPS), continuous-flow chemistry, and automated high-throughput systems are improving the ability to produce high-quality peptides and oligonucleotides at scale, which is critical for meeting the increasing global demand.

Additionally, the regulatory environment for biologics, including peptides and oligonucleotides, is becoming more stringent, driving the need for CDMOs to enhance their quality control measures and ensure compliance with global regulations. This includes meeting the requirements set by regulatory bodies like the U.S. FDA and the European Medicines Agency (EMA), which have strict guidelines for the development, manufacturing, and distribution of biologics. As the complexity of biologics increases, CDMOs will need to stay ahead of evolving regulatory standards and adopt best practices to ensure that their manufacturing processes are fully compliant and capable of producing therapeutics with the highest levels of purity and efficacy.

Another important trend is the growing demand for flexible and scalable manufacturing solutions. As peptide and oligonucleotide-based therapeutics move through the clinical pipeline, drug developers require CDMOs that can provide flexible manufacturing capabilities that scale with the progression of the drug’s development. This flexibility is essential as it allows pharmaceutical companies to efficiently scale up production while maintaining cost-effectiveness, quality, and regulatory compliance. As personalized medicine and targeted therapies become more common, CDMOs will also need to be adaptable in offering customized solutions that can cater to the unique needs of individual drug candidates.

What Are the Key Drivers of Growth in the Peptide and Oligonucleotide CDMO Market?

The growth in the peptide and oligonucleotide CDMO market is driven by several factors, including increasing demand for biologics, advancements in RNA-based therapies, and growing research into gene-targeted treatments. As the pharmaceutical industry continues to shift toward biologic drugs, peptides and oligonucleotides have gained significant attention due to their ability to target specific biological processes with higher precision and fewer side effects. This has led to a surge in research and development activities focused on these therapeutic modalities, thereby increasing the demand for specialized CDMO services that can provide expertise in the manufacturing and scale-up of these molecules.

The rapid development and approval of RNA-based therapies, especially mRNA vaccines and gene therapies, have further fueled growth in the CDMO sector. Following the success of mRNA vaccines for COVID-19, there has been a heightened interest in expanding the application of RNA technologies to treat a broader range of diseases. This has driven the need for CDMOs with advanced capabilities in oligonucleotide synthesis and RNA production. As the pipeline for RNA-based therapeutics grows, CDMOs that specialize in oligonucleotide manufacturing are well-positioned to support pharmaceutical companies as they scale up production for clinical trials and commercial launch.

Additionally, the increasing focus on personalized medicine is driving the need for more specialized, small-scale, high-quality peptide and oligonucleotide manufacturing services. As more drugs are developed to target specific genetic markers or disease subtypes, there is a greater emphasis on precision manufacturing that can accommodate smaller, customized batches while maintaining high levels of quality. CDMOs that offer flexible, scalable, and high-quality production capabilities are increasingly in demand to support these innovations. Moreover, the growing prevalence of chronic diseases and the shift toward gene-editing therapies are contributing to the expansion of the peptide and oligonucleotide CDMO market, as these technologies offer new avenues for treating previously untreatable conditions.

SCOPE OF STUDY:

The report analyzes the Peptide and Oligonucleotide CDMO market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Product Type (Peptides, Oligonucleotides); Service Type (Contract Manufacturing Service, Contract Development Service); End-Use (Pharmaceutical Companies End-Use, Biopharmaceutical Companies End-Use, Other End-Uses)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Select Competitors (Total 43 Featured) -

• Agilent Technologies, Inc.
• Ajinomoto Co., Inc.
• Almac Group
• Aurigene Pharmaceutical Services Ltd.
• Bachem Holding AG
• BioSynthesis Inc.
• Catalent, Inc.
• CordenPharma International
• EUROAPI
• GenScript Biotech Corporation
• Kaneka Eurogentec S.A.
• Lonza Group AG
• Merck KGaA
• Piramal Pharma Solutions
• PolyPeptide Group
• Rentschler Biopharma SE
• Senn Chemicals AG
• STA Pharmaceutical Co., Ltd. (WuXi STA)
• Thermo Fisher Scientific Inc.
• Wuxi AppTec Co., Ltd.

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

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