Second Largest Deal in Company History
Another Mega-Contract Following This Year’s 2 Trillion Won Agreement
Samsung Biologics has demonstrated its competitiveness by securing a large-scale contract with a local company in the United States, despite tariff risks originating from the US.
On September 9, Samsung Biologics announced through a public disclosure that it had signed a contract manufacturing organization (CMO) agreement worth $1,294.64 million (approximately 1.795 trillion won) with a US-based pharmaceutical company.
This contract is the second largest in the company's history. It follows the mega-contract worth approximately 2 trillion won signed with a European pharmaceutical company in January. The contract period runs until December 31, 2029, four years from now. The name of the client and the product have not been disclosed due to a confidentiality agreement.
With this order, Samsung Biologics has recorded a cumulative order amount of 5.2435 trillion won so far this year. In just eight months, the company has nearly matched last year’s total order value of 5.4035 trillion won. Since its founding, the cumulative total of orders has surpassed $20 billion (approximately 27.73 trillion won).
Samsung Biologics has continued to secure large-scale contracts, even as overall management uncertainty in the biopharmaceutical industry increases due to the global economic slowdown and tariff impacts.
The Donald Trump administration in the United States has announced plans to impose itemized tariffs on imported pharmaceuticals. Despite heightened trade risks, the fact that a US-based pharmaceutical company chose Samsung Biologics is attributed to the company’s core competitiveness, which is based on world-class production capacity, quality, and an extensive track record of manufacturing performance.
Samsung Biologics is expanding its production capacity in advance to meet the growing demand for biopharmaceuticals. Plant 5, which incorporates the best practices from Plants 1 through 4, is a production facility with a capacity of 180,000 liters and began full-scale operations in April this year. As a result, Samsung Biologics has secured the world’s largest total production capacity of 784,000 liters.
As of September this year, Samsung Biologics has obtained a total of 382 manufacturing approvals from major global regulatory agencies in the United States, Europe, and Japan, proving its quality competitiveness. The number of approvals continues to increase as production capacity expands, and the company maintains the industry’s highest rate of passing regulatory inspections.
Samsung Biologics plans to accelerate its global market strategy by expanding its main customer base from the existing “top 20” clients to the “top 40.” The company met with a variety of clients at the JP Morgan Healthcare Conference in January, DCAT Week in March, and the BIO International Convention (BIO USA) in June.
In addition, Samsung Biologics participated in “INTERPHEX Week Tokyo 2025” held in July, showcasing its order-winning capabilities. The company also plans to expand its connections with global and potential clients at upcoming events such as BioJapan 2025 and CPHI Worldwide, both scheduled for October.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
