[Asia Economy Reporter Lee Chun-hee] An analysis has emerged suggesting that the American pharmaceutical company Moderna is highly likely to establish a subsidiary in Korea. This raises the possibility of contract manufacturing (CMO) of COVID-19 vaccines through Korean companies.
On the 20th, Park Byung-guk, a researcher at NH Investment & Securities, stated in the report titled "Moderna Plans to Establish a Subsidiary in Korea" that "Moderna continuously mentioned the possibility of establishing a Korean subsidiary during its second Vaccine Day on the 15th," adding, "Moderna plans to strengthen its vaccine capabilities this year by establishing additional subsidiaries in three countries: Korea, Japan, and Australia."
According to the report, the countries where Moderna currently has CMO partnerships are the United States, Switzerland, France, and Spain?all countries where it has subsidiaries. Based on this, Researcher Park predicted, "If a subsidiary is established in Korea, the likelihood of utilizing Korean companies as CMOs increases."
Moderna currently divides the production and distribution of COVID-19 vaccines into two categories: the United States and regions outside the United States. Among these, drug substance (DS) is produced in the United States and Switzerland, while drug product (DP) is produced by CMO companies in the United States, Spain, and France.
Researcher Park explained, "Through the establishment of subsidiaries in Korea, Japan, and Australia, we can expect an expansion of CMO partnerships in the Asia-Pacific region, including Japan," adding, "In messenger ribonucleic acid (mRNA) vaccines, the CMO barrier is lower for drug products."
He analyzed that Moderna’s strategy in establishing subsidiaries in the Asia-Pacific region is to improve relatively low prevention rates of other virus vaccines such as influenza through mRNA vaccine development, as well as to prepare for the endemic (periodic outbreak) possibility of COVID-19 and grow into a global vaccine big pharma.
Currently, 20 million doses of Moderna’s COVID-19 vaccine are scheduled to be introduced in Korea. Although it was initially expected to arrive domestically from the second quarter, the specific schedule has not yet been finalized.
In this regard, the government announced that a domestic pharmaceutical company will begin contract manufacturing of a multinational pharmaceutical company’s COVID-19 vaccine starting in August, leading to speculation that the vaccine in question is Moderna’s. Companies mentioned as candidates for the CMO contract include GC Green Cross, Hanmi Pharmaceutical, and ST Pharm.
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