CDMO

CDMO Market Outlook: A Sector on the Rise

As of 2025, the Contract Development and Manufacturing Organization (CDMO) sector is experiencing significant growth and transformation, driven by ongoing demand for outsourcing, innovation in drug modalities, and strategic consolidation. The global CDMO market, valued at approximately $185 billion in 2024, is projected to nearly double by 2034, with a compound annual growth rate (CAGR) of around 6.9%. This surge is fuelled by the pharmaceutical and biotechnology industries’ growing preference to outsource manufacturing so they can focus on core R&D efforts. High-demand areas include biologics, oncology, GLP-1 drugs, and small molecules, particularly in injectable formats such as vaccines, antibody-drug conjugates (ADCs), and prefilled syringes. KinetiQ Life Sciences supports partners in navigating this evolving landscape with flexible, scalable solutions across these high-growth therapeutic areas.

Digital Transformation and Global Expansion

Technology is playing an increasingly central role in this evolution. CDMOs are investing heavily in digitalization, automation, continuous manufacturing, and AI-driven processes to enhance scalability, efficiency, and quality. Innovations such as digital twins, self-driving tablet factories, and next-generation RNA production platforms are becoming more prevalent. Despite these advances, the industry faces persistent capacity bottlenecks, especially in high-specialization areas like viral vectors and cell and gene therapy (CGT). This has led to modular plant expansions, strategic partnerships, and a wave of mergers and acquisitions (M&A), especially as only about 15% of the market is controlled by the top five CDMOs, leaving room for consolidation.

Regionally, North America maintains its leadership in R&D-heavy and biologic-focused development, while Asia-Pacific particularly India and China, is rapidly expanding manufacturing capacity due to cost advantages and improving regulatory compliance. Within the CGT space, traditional CDMO models are being re-evaluated. High fees, underutilized facilities, and talent shortages are prompting a shift toward a more consolidated market structure, with forecasts suggesting the emergence of 10 to 15 large, multi-modality CGT-focused CDMOs by 2035.

Next-Generation Modalities and Future-Ready Models

CDMOs are also expanding across key modalities. Small molecules remain relevant, especially with the adoption of continuous manufacturing for cost-efficiency. Biologics and vaccines continue to dominate capacity investments, while peptide synthesis and injectables see rising demand due to the GLP-1 boom. Meanwhile, RNA and oligonucleotide production, including circular and messenger RNA are advancing, opening up new service areas. 

Looking forward, CDMOs are expected to become more integrated, digital, and resilient. End-to-end service models, smart manufacturing technologies, and geographic diversification are likely to define the winners in this space. M&A activity will likely intensify, with private equity playing a significant role in scaling niche capabilities. Ultimately, the CDMO landscape in 2025 is one of rapid modernization, competitive consolidation and strategic reinvention, positioning it as a cornerstone of global pharmaceutical innovation and supply.

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Harry

Harry has established himself as one of the most well-connected search professionals in the global contract services space. Driven by a passion for continuous networking and long-term relationship building, Harry has consistently supported organizations in expanding into new markets – notably helping Asian firms establish a presence in Europe and North America.

Primarily focused on the small molecule space, with additional experience in large molecule, Harry specializes in commercial leadership appointments. He has also partnered with PE/VC firms to support executive hiring across their portfolio companies.

Committed to delivering best-in-class executive search services, Harry plays a key role in the continued growth and global reach of KinetiQ.

James

James is an experienced search professional specializing in the CDMO sector, with a focus on commercial and operational leadership roles across Europe and North America. With a strong passion for connecting with the people shaping the future of biopharmaceutical manufacturing,

James is known for building lasting relationships and delivering top-tier talent. Leveraging a deep understanding of the small molecule CDMO landscape and an extensive network, James consistently delivers high-impact candidates who drive growth and innovation. He has a proven track record of success across organizations of all sizes, from emerging ventures to established market leaders, and has worked closely with financial institutions investing in the CDMO space.

James is committed to creating long-term value for both clients and candidates, always striving to secure the best possible outcomes for all parties involved.

Ollie

Ollie is an experienced search professional specializing in the large molecule CDMO industry and bioprocessing. With a strong track record in C-level placements and key commercial and operational roles across Europe and North America, Ollie has helped numerous clients strengthen their leadership teams through strategic hiring across various functions.

Committed to sustainability and long-term partnerships, Ollie is known for high client retention and trusted advisory relationships. He also collaborates closely with venture capital firms, offering consultative support on hiring strategy and organizational growth.

In addition to his search work, Ollie oversees the operations of KinetiQ, where he provides strategic direction while remaining actively involved in client and candidate engagements.