Peptide Synthesis Market CAGR To Exceed 5.5% by 2035 | Roots Analysis

The synthetic peptide APIs find various applications in medicine, immunology, and molecular biology. Given the numerous advantages of peptide therapeutics, their demand has increased considerably, resulting in significant growth of peptide synthesis market.

The rise in demand for peptide-based therapeutics, coupled with the requirement of complex manufacturing processes and substantial capital investments for facility, has prompted the peptide therapeutic developers to increasingly outsource their manufacturing operations to contract manufacturers, which offer several benefits, such as access to large capacity, well-equipped manufacturing facility, scientists and experts of peptide synthesis field.

According to Roots Analysis, the global peptide synthesis market size is projected to reach USD 5.1 billion by 2035 from USD 2.8 billion in 2024, growing at a CAGR of 5.5% in the forecast period 2024-2035.

Peptide Synthesis Market Segments  

Based on the type of peptide synthesis method, the market is segmented into chemical synthesis method and non-chemical synthesis method. 

• The chemical synthesis method segment is likely to lead the market for peptide synthesis, capturing the largest revenue share close to 85.0% in 2024.
• The non-chemical synthesis method segment is anticipated to grow at an annualized rate of over 5% during the forecast period.

Based on the chemical synthesis method, the market is segmented into liquid phase synthesis, solid phase synthesis and hybrid phase synthesis. 

• The solid phase synthesis segment is likely to lead the market for peptide synthesis, capturing the largest revenue share of close to 50.0% in 2024.
• The hybrid phase synthesis segment is anticipated to grow at an annualized rate of over 8% during the forecast period.

Based on the contract manufacturing organization size, the market is segmented into small companies, mid-sized companies, and large and very large companies. 

• The large and very large companies segment is likely to lead the market for peptide synthesis, capturing the largest revenue share of 75.0% in 2024.
• The market segment for small companies is anticipated to grow at an annualized rate of over 9% during the forecast period.

Based on the regional insights, the market is segmented into North America, Europe, and Asia-Pacific and Rest of the World 

• Europe dominated the peptide synthesis market and is likely to capture the largest revenue share of nearly 40.0% in 2024.
• In Asia-Pacific, the peptide synthesis market is anticipated to demonstrate lucrative growth during the forecast period.

Peptide Synthesis Market Regional Outlook 

Based on the key geographical regions, the peptide synthesis market can be segmented into four major regions, including North America, Europe, Asia-Pacific and Rest of the world. Europe is anticipated to capture the majority share of the peptide synthesis market in 2024 and this trend is likely to remain unchanged during the forecast period.

The Asia-Pacific is accounted to be the fastest-growing segment of the market. The growth of the peptide synthesis markets in the region is driven by availability to skilled manpower within the Asia-Pacific region and growing demand for peptide-based drugs.

Key Report Takeaways 

• The current market landscape is highly fragmented, featuring the presence of both new entrants and established players in different geographical regions; close to 50% of such contract manufacturers are large companies
• Majority of players offer generic peptide API manufacturing using chemical synthesis method; further, 60% of the peptide synthesis service providers offer API manufacturing with more than one type of peptide synthesis method
• In pursuit of gaining a competitive edge, peptide therapeutics contract API manufacturers are actively upgrading their existing capabilities and enhancing their service portfolios to establish a strong foothold in the domain
• A comprehensive set of company profiles of prominent / emerging players offers valuable insights into their current strategic focus and future initiatives, empowering stakeholders with crucial information
• The growing interest of developers in peptide-based therapeutics is evident from the rise in partnership activity; more than 30% of the deals were inked specifically for peptide API manufacturing
• In order to meet the rising demand for peptide APIs, service providers have made elaborate investments to expand their existing capacities and capabilities; this trend is most pronounced in Germany and the US
• In order to meet the rising demand for peptide APIs, service providers have made elaborate investments to expand their existing capacities and capabilities; this trend is most pronounced in Germany and the US
• In the last decade, over 600 clinical trials, enrolling close to 200 thousand patients suffering from a myriad of disease indications, have been registered across the globe to evaluate the efficacy of peptide-based drugs
• Since peptide-based drugs are being used progressively for the treatment of various diseases, the demand is indubitably rising and expected to grow at annualized rate of over 7% in the near future
• The global installed peptide manufacturing capacity is spread across various geographies; majority of the capacity is installed in the production plants located in Asia-Pacific and Europe
• Using our proprietary analysis, we identified several peptide-based drug developers which are anticipated to forge strategic manufacturing alliances with contract service providers to further augment their service offerings
• In addition, our Total Cost of Ownership model presents an informed estimate of the direct and indirect expenses that are likely to be incurred while setting up a contract manufacturing facility in different regions
• The projected opportunity for peptide therapeutics contract service providers is likely to be well distributed across different segments; currently, close to 40% share of the contract manufacturing opportunity is captured by Europe

Peptide Synthesis Market Key Players

Examples of key companies engaged in peptide synthesis market (which have also been profiled in this market report; the complete list of companies is available in the full report) include AmbioPharm, CPC Scientific, Creative Peptides, CSBio, Bachem, BCN Peptide, CordenPharma, Senn Chemicals, PolyPeptide, Auspep, Chinese Peptide Company, Hybio Pharmaceuticals, Peptide Institute and ScinoPharm.

About Roots Analysis

Roots Analysis is a global leader in the pharma / biotech market research. Having worked with over 750 clients worldwide, including Fortune 500 companies, start-ups, academia, venture capitalists and strategic investors for more than a decade, we offer a highly analytical / data-driven perspective to a network of over 450,000 senior industry stakeholders looking for credible market insights. All reports provided by us are structured in a way that enables the reader to develop a thorough perspective on the given subject. Apart from writing reports on identified areas, we provide bespoke research / consulting services dedicated to serve our clients in the best possible way.

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