Pharmaceutical Equipment Market Size

Pharmaceutical Equipment Market Analysis

The pharmaceutical equipment market is expected to grow at a CAGR of 4.6% over the forecast period.

Due to limitations on medicine production in biotech and pharmaceutical manufacturing facilities, trade restrictions, and a shortage of raw materials, the COVID-19 pandemic had a negative influence on the market in its earliest stages. However, the market recovered in the second phase of the pandemic thanks to the use of pharmaceutical machinery for medications connected to COVID-19 and the initiatives of important market participants. For instance, in May 2022, an article published in the National Library of Medicine stated that lipid nanoparticle (LNP)-formulated nucleoside-modified mRNA vaccines have proven to be very successful in the fight against the COVID-19 pandemic. Thus, the long-term storage of mRNA-LNP vaccines with lyophilization provides long-term stability for a lipid nanoparticle-formulated, nucleoside-modified mRNA vaccine. Hence, such advantages are expected to increase the market growth. Furthermore, initiatives such as in June 2022, Pfizer announced its commitment to United States manufacturing with a USD 120 million investment at its Kalamazoo, Michigan, facility, enabling United States-based production in support of its COVID-19 oral treatment, PAXLOVID (nirmatrelvir tablets and ritonavir tablets). Thus, such initiatives significantly impacted the market during the COVID-19 pandemic.

Factors such as high growth in the pharmaceutical and biopharmaceutical industry and technological developments are expected to increase market growth. For instance, in March 2022, Japan launched a new research and development center, for USD 1.6 billion, to support vaccine and drug projects as a part of a larger scheme to tackle infectious diseases. The establishment of an R&D facility for innovative partnerships and budget management will be under Supervisory Control And Data Acquisition (SCADA). Similarly, in December 2021, the Board of Global Alliance for Vaccine and Immunization (Gavi) approved an investment to support the malaria vaccine introduction, procurement, and delivery for Gavi-eligible countries in sub-Saharan Africa in 2022-2025. An initial investment of USD 155.7 million for 2022-2025 will initiate the implementation of this additional tool in the combat against malaria. Thus, such investments by the governments are expected to increase the adoption of pharmaceutical equipment which is expected to increase market growth over the forecast period.

Furthermore, investments by pharmaceutical companies in its production are another factor driving the market growth. For instance, in November 2021, Sartorius invested USD 300 million to launch cell culture media production and assemble sterile systems for efficient and flexible manufacturing of biopharmaceuticals in South Korea. Thus, such initiatives are expected to increase market growth over the forecast period. Similarly, a rise in technological developments based on agreements between industry players is expected to drive market growth. For instance, in July 2021, Huhtamaki and Syntegon agreed to create a paper-based tablet packaging solution for the pharmaceutical and healthcare industries. However, the high cost of equipment is expected to hinder market growth.