Total cost 1.98 trillion won - Production capacity 180K liters - Floor area 96,000㎡
Samsung Biologics (Samsung Bio) has decided to move forward the completion of its 5th Plant, whose construction began in April 2023, by five months from the original plan.
The company now plans to complete the completion of the 5th plant in April 2025, 5 months earlier than originally planned September same year.
"The estimated construction time for the fifth plant is 24 months, which is about a year ahead of the same-sized third plant (180,000 liters)," said Mr John Rim, CEO of Samsung Bio during a visit to Boston, US, on June 6 to attend the 2023 Bio USA.
The early commencement of the 5th plant’s operation was driven by the need for proactive response to the growing demand for CDMOs and increased volumes of new and existing customer contracts.
The global CDMO market is expected to grow from $19.1 billion this year to $27 billion in 2026, at a compound annual growth rate of 12.2% over the next three years.
In March, Samsung Bio's board of directors decided to expand to a fifth plant.
The total investment is 1.98 trillion won, with a production capacity of 180,000 liters and a total area of 96,000 ㎡. Once the fifth plant is completed, Samsung Bio’s total production capacity will reach 784,000 liters, ranked at first in the world.
Starting with the fifth plant, Samsung Bio plans to build its second bio campus in earnest. With the fifth plant as the start, additional production plants and an open innovation center will be built sequentially on the 11th industrial complex site.
Total investment will be 7.5 trillion won.
Mr. Rim said, "The dramatic reduction in construction time for the fifth plant is thanks to our accumulated plant construction knowhow.
By applying a design cookie approach that incorporates best practices from the experience in the construction of our previous four plants over the past decade, we have been able to drive efficiency to world-class levels.“
Samsung Bio also expects earnings synergies to materialize this year as Samsung Bioepis' biosimilar portfolio expands.
Samsung Bioepis will launch Hadlima (Humira biosimilar) in the US market in July. The market for Humira biosimilars is approximately 27 trillion won.
[WIKI KOREA=Cho Pil Hyun, Staff Reporter]