Viral Vector Manufacturing Market - Forecasts from 2024 to 2029

The viral vector manufacturing market is poised to grow to US$2,612.384 million in 2029 from US$1,192.033 million in 2024 at a CAGR of 16.99%.

Viral vector manufacturing involves developing crucial carriers such as adenoviral vectors, lentiviral vectors, and retroviral vectors used to transport therapeutic genes. Owing to their high-performance benefits, viral vectors find applicability in gene therapy and vaccinology. It also bolstered growth in such applications, which is majorly driving the demand for viral vectors, thereby propelling their overall manufacturing level.

Moreover, viral vectors have been utilized to treat a variety of diseases that are inclusive of but not limited to cardiovascular diseases, different types of cancer, hematologic, infectious, and metabolic diseases. Hence, the growing number of clinical trials and the expanding cognizance of effective modes of disease treatment are further expected to drive the viral vector manufacturing market growth during the forecast period.

Vector designing, production, packaging, and release testing are subject to limited availability and challenges due to the complex nature of technologies and platforms. Hence, many players in this space frequently seek strategic collaborations and acquisitions that cover many aspects, such as the delivery of clinal grade products, to facilitate the successful collaboration development of viral agent-based products.

Moreover, the efficient ability to express the therapeutic genes and their non-pathogenic nature is another factor responsible for driving this market's growth. The other key factors expected to drive the market's growth are the increasing investment in biopharmaceutical production coupled with the growing aging population, healthcare expenditure, and technological advancement, especially in the genetic engineering segment.

Furthermore, the increasing accessibility of healthcare facilities and the growing demand for disease treatment due to the increasing global burden of diseases are a few of the other factors poised to drive the growth of this market during the forecast period. Nevertheless, the transition of this niche industry to high manufacturing is one such factor that may restrain the market's growth to a certain extent.

Viral Vector Manufacturing Market Drivers:

• Favorable investments in therapeutics are expected to bolster the demand for viral vectors.

Viral vectors with genetic information can directly target the disease, thereby altering cell functioning. Due to such benefits, vectors find high applicability in gene therapy to assist in delivering a healthy copy of a gene in the cell. The growing prevalence of cancer, cardiovascular, and neurodegenerative disease has led to various research collaborations and investments in gene and therapeutic therapies development.

For instance, in August 2023, Astella Pharma Inc. and Poseida Therapeutics announced a strategic investment of US$50 million to support the latter's advancements in cancer cell therapy. This investment would also further Astella's focus on developing next-generation immune-oncology drugs.

Likewise, in November 2023, AstraZeneca formed a collaboration and an investment agreement with Cellectis to bolster next-generation therapeutics development in immunology, oncology, and rare disease fields. Under the collaboration, AstraZeneca would leverage Cellectis gene editing technologies for developing novel cell & gene therapy products.

• The ongoing establishment of vaccine development facilities has furthered the overall market expansion.

The scale of infectious disease globally is on the rise, and to combat it, the demand for various effective vaccines is also growing, which has led to the establishment of new vaccine manufacturing facilities in major economies. For instance, in June 2022, BioNtech SE announced the establishment of an mRNA vaccine production facility in Rwanda, which would provide all manufactured vaccines in member states of the African Union.

Likewise, in July 2024, the U.S. Department of Health and Human Services announced the provision of nearly US$176 million to Moderna for developing an mRNA-based influenza vaccine. The investment was announced through BARDA's (Biomedical Advanced Research and Development Authority) new Rapid Response Partnership Vehicle Consortium.

Viral Vector Manufacturing Market Geographical Outlook

• North America is estimated to account for a remarkable share of the market.

Region-wise, the North American region is poised for significant growth. It will account for a considerable market share fuelled by the ongoing research collaboration for therapeutics followed by the development and approval of new vaccine & gene therapy development in major regional nations, namely the United States and Canada.

For instance, in December 2023, the Food and Drug Administration approved two-cell-based gene therapies, "Casgevy" and "Lyfgenia", for treating sickle cell disease in 12-year-old and older patients. The therapies signal an innovative advancement in gene therapy and will improve the treatment of sickle cell disease, which affects nearly 100,000 Americans.

Likewise, in October 2023, the Governor of New York announced an investment of US$98 million to expand the gene therapy-related research & development operations at the Roswell Park Comprehensive Cancer Center. This expansion would make Roswell New York's first gene therapy hub and also comply with the government's commitment to achieve new milestones in the life science sector.

Additionally, the US government is also investing in healthcare facilities and research institutes expansion to bolster the treatment of various chronic diseases, which has positively impacted the demand for viral vectors. Moreover, the well-established presence of major pharmaceutical companies, namely Pfizer, Galax Smith Kline, and AstraZeneca, has paved the way for future market expansion.

In February 2024, AstraZeneca announced an investment of US$300 million in establishing its state-of-the-art facility in Rockville to develop commercial cell therapy platforms, mainly on T-cell therapies. The facility will also facilitate critical cancer trials in the future to bolster the advancement in cancer treatment.

Viral Vector Manufacturing Key Market Developments

• In February 2024, the New South Wales government established a commercial company to operate its viral vector manufacturing facility in Westmead. This establishment would ensure the government's long-term run in viral vector manufacturing since it has already committed nearly $134.5 million to manufacture viral vector products for clinical and research trials.
• In June 2022, Avid Bioservices, Inc. inaugurated the analytical and process development suites in the company's new viral vector development and Current Good Manufacturing Plant manufacturing facility. The viral vector facility's CGMP manufacturing suites were set up online by mid-2023.
• In May 2022, AGC Biologics announced the addition of the viral vector suspension technology and capacity to aid the development and manufacturing of gene therapies at its commercial-grade campus in Longmont, Colorado.

The Viral Vector Manufacturing market is segmented and analyzed as given below:

By Type

• Retroviral Vectors
• Lentiviral Vectors
• Adenoviral Vectors
• Others

By Application

• Vaccinology
• Gene Therapy

By End-User

• Pharmaceutical & Biotechnology Companies
• Research Institutes
• Contract Research Organization

By Geography

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• United Kingdom
• Germany
• France
• Spain
• Others
• Middle East and Africa
• UAE
• Saudi Arabia
• Others
• Asia Pacific
• China
• India
• Japan
• South Korea
• Thailand
• Indonesia
• Taiwan
• Others