Celltrion will invest more than KRW 1 trillion to expand its production facilities in response to surging demand for biopharmaceuticals.

Celltrion announced on the 24th that it will expand its drug substance (DS) production capacity at home and abroad to a total of 511,000 liters by simultaneously expanding its 4th and 5th plants with a combined capacity of 180,000 liters at the Songdo campus, and increasing capacity at its Branchburg plant in the United States. This represents an 80.7% increase from the current level of 316,000 liters.

The expansion investment will be carried out in stages from this year through 2030. The core of the plan is infrastructure expansion that encompasses both domestic sites and a U.S. production base to respond to growing demand.

A Celltrion representative said, “This investment goes beyond a simple expansion of production facilities and marks a turning point in establishing a mid- to long-term growth platform that takes into account the stable production and supply of next-generation biosimilars and new drugs under development, as well as the expansion of our global contract manufacturing (CMO) business.”
Celltrion will invest KRW 1,226.5 billion at its Songdo campus in Incheon, where its headquarters is located, to simultaneously add 4th and 5th plants with a combined capacity of 180,000 liters. The new 4th and 5th plants are expected to incorporate a wide range of advanced automation systems and smart factory technologies. The company explained that they will be built to maximize process efficiency while maintaining flexibility, enabling them to respond to uncertainty. In particular, the facilities will be configured to handle everything from small-scale, multi-product production to large-scale mass production. The layout focuses on enabling rapid production of current flagship products as well as future next-generation biosimilars and new drug portfolios.

Celltrion stated, “The decision to expand the new plants was made both to prepare for increased production of follow-on pipeline products and as a preemptive response to the recent surge in CMO inquiries.”
Celltrion will also expand production capacity at its Branchburg plant in New Jersey, United States. The company plans to increase the plant’s scale from the current 66,000 liters to 75,000 liters. As a result, the Branchburg plant’s DS-based production capacity will rise from 66,000 liters to 141,000 liters. The company said this decision reflects growing interest in and demand for biopharmaceutical manufacturing in the U.S. In particular, the Branchburg site is expected to serve as a key hub for supplying Celltrion Group products locally and for expanding its CMO business.

Once the domestic and overseas expansions are completed, Celltrion’s DS production capacity will be significantly increased from 316,000 liters to 571,000 liters. Following the expansion, Celltrion expects to fully internalize future DS production and at the same time enjoy substantial additional reductions in cost of goods sold.
Celltrion is also working to strengthen its production capacity and competitiveness for drug products (DP), in addition to DS.

The expansion of new DP production facilities at the Songdo campus is progressing smoothly, with a construction progress rate of more than 70%. Completion is expected within the year, and full-scale commercial production is scheduled to begin next year. Once the expansion is completed, this plant, as a standalone DP production facility, will be capable of producing 6.5 million liquid vials annually. This exceeds the maximum annual DP output of 4 million vials from the existing 2nd plant’s DP production line, and combined, the Songdo campus alone will have DP production capacity of 10.5 million vials per year.

The new DP plant to be built in the Yesan Industrial Complex in South Chungcheong Province has finalized its site, and design work is scheduled to begin within the year. Once the Yesan DP plant is completed along with the planned expansion of Celltrion Pharm’s “pre-filled syringe (PFS)” production facilities, the Celltrion Group expects to internalize around 90% of global DP demand across the group. The company anticipates that this will reduce production costs compared with overseas DP CMO facilities.

A Celltrion representative said, “This investment decision will enable the company to respond swiftly to soaring global demand for biopharmaceuticals, while significantly improving profitability based on overwhelming cost competitiveness and enhanced supply stability,” adding, “By building a comprehensive production infrastructure encompassing both new drugs and biosimilars as dual growth pillars, as well as CMO operations, the company will advance to become a global top-tier enterprise.”

Meanwhile, Celltrion plans to secure additional production facilities as needed, in line with global market conditions and the pace of follow-on pipeline launches.

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