Dublin, May 20, 2025 (GLOBE NEWSWIRE) -- The "Topical Drugs Contract Manufacturing Market Size, Share & Trends Analysis by Product Type (Semi-Solid Formulations, Solid Formulations), Scale of Operation (Clinical), End-use (Pharmaceutical Companies), Region, with Growth Forecasts, 2025-2030" report has been added to ResearchAndMarkets.com's offering.
The Topical Drugs Contract Manufacturing Market was valued at USD 29.25 Billion in 2024, and is projected to reach USD 54.55 Billion by 2030, rising at a CAGR of 11.05%. Currently, the global market for contract manufacturing of topical drugs is currently experiencing significant growth, driven by evolving therapeutic needs, outsourcing trends, and advancements in technology.
Moreover, with the increasing prevalence of dermatological conditions, coupled with a rising geriatric population and a preference for non-invasive drug delivery methods such as creams, gels, ointments, sprays, and transdermal patches has made outsourcing services like Contract Manufacturing Organizations (CMOs) essential for optimizing costs, ensuring regulatory compliance, and enhancing production capabilities.
In addition, CMOs offer numerous advantages that support streamline operations, lower in-house manufacturing expenses, and speed up product commercialization, further contributing to market expansion. In addition, with the rising consumer demand for topical drugs, outsourcing has become a strategic priority, particularly for semi-solid and transdermal product lines that require specialized expertise and adaptable infrastructure.
Furthermore, cost dynamics play a crucial role in the growth of the market. Based on the pricing analysis, the North America provides high-quality manufacturing that complies with regulatory standards, while the Asia-Pacific's countries like India, China, and South Korea offers more cost-effective production options with growing capabilities. Factors such as lower labor costs, supportive government policies, and a developing infrastructure complaint with Good Manufacturing Practices (GMP) are fueling the market in Asia-Pacific.
Furthermore, technological innovations such as continuous manufacturing, nanoencapsulation, advanced homogenization, and 3D printing are improving formulation accuracy, bioavailability, and batch consistency. These advancements support the CMOs to meet complex product demands and meet rising consumer expectations for efficacy and customization.
Furthermore, pricing models are evolving with aligning financial results with performance. However, external factors like U.S. tariffs on imported active pharmaceutical ingredients (APIs) and excipients have created cost pressures in the supply chain, particularly impacting exporters. Despite these challenges, the market is expected to witness growth during the forecast period. Likewise, strategic initiatives and accelerating product launches drive the market.
For instance, in July 2024, Arcutis Biotherapeutics, Inc. announced the release of ZORYVE cream 0.15% for the treatment of mild to moderate atopic dermatitis in both adults and children under 6 in the U.S. This new cream, which is applied once daily and contains no steroids, provides quick relief from symptoms and reduces itching, allowing for better long-term management of the condition. Such innovations are expected to further propel the market during the forecast period.
Topical Drugs Contract Manufacturing Market Report Highlights
- The semi-solid formulations segment dominated the market, with a share of 65.54% in 2024. This growth is driven by the increasing prevalence of skin diseases, patient preferences for targeted therapies, the convenience of semi-solid formulations, and the demand for improved drug absorption, stability, and aesthetic appeal within both therapeutic and cosmetic sectors.
- Based on the scale of operation, the commercial segment held the largest market share in 2024, attributed to the growing trend toward outsourcing, increased demand for dermatological and transdermal therapies, regulatory compliance, increased cost efficiency, and the rising complexity of formulations that require specialized manufacturing expertise.
- The pharmaceutical companies segment held the largest market share in 2024 based on end-use. These companies leverage CMO services due to increasing demand for non-invasive therapies, treatments for chronic skin conditions, improved patient compliance, and opportunities within cosmetic dermatology and advanced transdermal drug delivery systems.
- North America is expected to register a growth rate of 10.37% CAGR over the forecast period due to the rising number of contract manufacturing organizations(CMOs) in countries such as the U.S. and Canada. In addition, the availability of a skilled workforce and regulatory scenarios are expected to significantly contribute to the market's expansion in this region.
Why Should You Buy This Report?
- Comprehensive Market Analysis: Gain detailed insights into the market across major regions and segments.
- Competitive Landscape: Explore the market presence of key players.
- Future Trends: Discover the pivotal trends and drivers shaping the future of the market.
- Actionable Recommendations: Utilize insights to uncover new revenue streams and guide strategic business decisions.
This report addresses:
- Market intelligence to enable effective decision-making
- Market estimates and forecasts from 2018 to 2030
- Growth opportunities and trend analyses
- Segment and regional revenue forecasts for market assessment
- Competition strategy and market share analysis
- Product innovation listings for you to stay ahead of the curve
Key Attributes
| Report Attribute | Details |
| No. of Pages | 120 |
| Forecast Period | 2024-2030 |
| Estimated Market Value (USD) in 2024 | $29.25 Billion |
| Forecasted Market Value (USD) by 2030 | $54.55 Billion |
| Compound Annual Growth Rate | 11% |
| Regions Covered | Global |
The companies profiled in this Topical Drugs Contract Manufacturing market report include:
- MedPharm
- DPT Laboratories Ltd.
- Cambrex Corporation
- Kindeva Drug Delivery
- AbbVie Contract Manufacturing
- NextPharma
- Catalent Pharma Solutions
- Thermo Fisher Scientific
- Lonza Group
- The Lubrizol Corporation
- SGS SA
- Bora Pharmaceutical CDMO
For more information about this report visit https://www.researchandmarkets.com/r/chpyg2
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