Pharmaceutical Manufacturing Equipment Market Size (2025 – 2030)

The Pharmaceutical Equipment Manufacturing Market was valued at USD 19.77 billion and is projected to reach a market size of USD 27.05 billion by the end of 2030. Over the forecast period of 2025-2030, the market is projected to grow at a CAGR of 6.47%. 

The term "pharmaceutical manufacturing equipment" refers to a broad category of gear used in the pharmaceutical business to efficiently, safely, and securely package pharmaceutical products. The Pharmaceutical Equipment market is something that in recent years has seen decent amount of growth. This has been primarily attributable to the shifting population dynamics in Western countries as the population growth is stalling and the projected number of retirees in our forecast period will be increasing considerably. This has meant a requirement of more medication to treat chronic diseases and illnesses. This demand has translated to the pharmaceuticals equipment manufacturing sector as manufacturers want to increase production.

Key Market Insights:

• Eli Lilly is investing an extra $3 billion to expand its manufacturing plant in Wisconsin's Kenosha County. The objective of this expansion is to increase the production of injectable medications, such as Zepbound and Mounjaro, which together brought in $4.4 billion in sales in the most recent quarter. 2025 is when construction is expected to start.

• GSK has reported plans to double the size and capability of its production facility in Marietta, Pennsylvania and invest up to $800 million. Two more facilities will be added as part of the project to enhance the production of medications and existing drug product capabilities.

• Various Innovations are also taking place in equipment design for mixing and blending machines to ensure consistency across pharma production. These machines are also designed to meet US FDA and CGNP requirements and regulatory standards.

• Emerging markets (India, China, Brazil) are experiencing rapid pharmaceutical sector growth, driving investments in production infrastructure. India’s pharmaceutical industry alone is expected to reach $130 billion by 2030 (IBEF).

Pharmaceutical Equipment Manufacturing Market Drivers:

Aging Population poses a greater demand for pharmaceutical products.

The key reason this manufacturing market is seeing increasing demand is because of the western countries aging problem. The birth rate for major economies such as US, South Korea, EU etc. is going well below the replacement rate of 2.1. The older generation born during the boom years of the 50’s 60’s and the 70’s are now entering old age and in becoming prone to various diseases. In the US according to the CDC 7 out of 10 people suffer from some form of chronic illness and the number is projected to rise rapidly. By 2050, the global population aged 65 and older is expected to double, reaching 1.6 billion (UN). For accuracy and scalability, this expansion needs top-notch, automated manufacturing equipment. As a consequence, producers of pharmaceutical equipment are investing money on continuous manufacturing systems, AI, and sophisticated robotics.

Biopharmaceuticals, regulatory requirements are also adjusted to preserve efficiency and quality both.

Apart from an ageing population, there are other factors driving the market for pharmaceutical equipment manufacture. Demand for drugs is rising as a result of the increasing prevalence of chronic diseases, with the WHO projecting that there will be 28.4 million instances of cancer worldwide by 2040. The demand for advanced manufacturing systems is being driven by biopharmaceuticals, which include gene treatments and biologics. The market is expected to reach $749 billion by 2028. Manufacturers are pushed towards automation and precision by strict regulatory standards (FDA, EMA, cGMP). Efficiency and cost-effectiveness are being enhanced by advances in robots, artificial intelligence, and continuous manufacturing. Pharmaceutical manufacturing is increasing in emerging markets like India, which is expected to reach $130 billion by 2030. Additionally, investments in flexible, high-tech manufacturing processes are rising the pace of vaccine development and pandemic preparedness

Pharmaceutical Equipment Manufacturing Market Restraints and Challenges:

High Capital requirements in a volatile Interest rate environment have increased the risk associated with the market.

Companies which pursue pharma production or are looking to enter this market will require high capital investment as setting up manufacturing facilities is costly and while these costs were previously done in low-interest rate environments, that has changed since covid and the ensuing inflation, because of high interest rates the cost of capital across the globe has increased significantly making it difficult to enter this market. Existing players are also finding it difficult to secure funding and stick to development timelines. The initial capital investment is also increased because of stringent regulatory compliance requirements across different regions, necessitating substantial investments in quality control and documentation. Additionally, there is dependency on various companies across the globe for parts and other material which makes supply chain management very important.

Pharmaceutical Equipment Manufacturing Market opportunities:

The market for manufacturing pharmaceutical equipment has considerable potential for expansion due to shifting industry demands. Significant opportunities are presented by the increase in outsourcing and contract manufacturing, especially in developing nations where companies are searching for inexpensive production alternatives. There is an increasing demand for specific, high-precision technology due to the growth of personalised medicine and cell and gene therapies. Efficiency increases are achievable through automation and AI-driven production, which lowers expenses and enhances regulatory compliance.

PHARMACEUTICAL MANUFACTURING EQUIPMENT MARKET REPORT COVERAGE:

Pharmaceutical Equipment Manufacturing Market Segmentation: By Product Type

• Solid

• Liquid

• Semi-Solid

The Solid form i.e. tables, tablet pressers, powders hold the largest market share at 45%, the liquid dosage equipment such as injections etc. is seeing its share increasing significantly due to various innovations. Factors such as regulatory compliance combined with a need for cost effectiveness are fueling the rising demand in these segments.

The liquid dosage in particular has seen increase in demand as vaccine demands and various research being done to address other problems through this has meant that a good amount of capital investment has flowed to the companies which manufacture this sort of an equipment.

Pharmaceutical Manufacturing Equipment Market Segmentation: By Equipment Type

• Processing Equipment

• Packaging Equipment

The market to produce pharmaceutical equipment is divided into two sections: packaging equipment and processing equipment. Owing to the rise in the manufacture of biologics and generic medications, processing equipment—used for drug formulation, mixing, granulation, and sterilization—accounts for the greatest portion of the market, at over 60%. Led by the need for tamper-proof and intelligent packaging solutions, packaging equipment, which consists of blister packing, filling, and labelling machines, accounts for around 40% of the market with a compound annual growth rate (CAGR) of 7-8%. Investments in innovative pharmaceutical packaging technologies are being further stimulated by a rise in serialisation and track-and-trace requirements. Both sectors are changing to meet strict industry requirements while enhancing production efficiency as a consequence of automation and digitisation.

Pharmaceutical Manufacturing Equipment Market Segmentation: By Region

• North America

• Asia-Pacific

• Europe

• South America

• Middle East and Africa

The biggest demand for the equipment comes from US and the EU with it totaling at 40-50%. Asia Pacific occupied around 39% of the market and is expected to grow from 2025 and 2034 at a CAGR of about 7.1%. Cost advantages, high manufacturing capacity, and a highly skilled labour force are the main drivers of supremacy, with China and India making major contributions.

The primary driver for this demand from the West is the aging population and the primary driver for manufacturing in countries of Asia/Pacific region is the relatively cheaper labour. While the Africa and some Asian countries are still reproducing above the replacement rate of 2.1 other countries have an aging population catching up such as Japan, South Korea and even China. The demand from these countries is also expected to grow which has meant more investments in manufacturing.

COVID-19 Impact Analysis on the Pharmaceutical Equipment Manufacturing Market:

The COVID-19 pandemic initially disrupted the pharmaceutical equipment manufacturing market through supply chain challenges but quickly spurred unprecedented growth driven by urgent vaccine production needs. This led to surging demand for specialized equipment like bioreactors, filling lines, and cold storage systems. The pandemic accelerated key trends including automation, digitization, and investment in flexible manufacturing capabilities. Governments increased funding for pharmaceutical manufacturing infrastructure, while manufacturers focused on single-use technologies and modular equipment. The long-term impact includes sustained investment in manufacturing capabilities, faster adoption of Industry 4.0 technologies, and greater emphasis on continuous manufacturing processes and quality control systems.

Latest Trends/ Developments:

In Grangemouth, Scotland, Piramal Pharma Solutions built a brand-new, innovative Antibody-Drug Conjugate (ADC) manufacturing plant. The firm's ADC production capacity is increased by roughly 70–80% due to this £45 million investment, that meets the sector's rising demand.

AstraZeneca has cancelled its planned £450 million investment in a new vaccine manufacturing plant in Speke, Liverpool, after prolonged negotiations with the UK government. The decision has raised concerns about the UK's attractiveness for pharmaceutical investments.

India is often referred to as the pharmacy of the world and various companies have a broad range of drugs and other medicines which are manufactured here. In the recently announced Budget, FDI limit in greenfield pharma was increased to 100% under the automatic route.

Key Players:

1. GEA

2. SED Pharma

3. Syntegon Tech

4. IMA Group

5. GSK

6. Glatt

7. Eli Lily

8. Sartorius AG

9. ACG Worldwide

10. Paul Mueller Company