Celltrion Invests 1.2 Trillion Won to Boost Production Capacity… Expanding Songdo Plants 4 and 5

Simultaneous Expansion of U.S. Production Facility... "Two-Track Production"

Production Capacity Rises to 571,000L... Enhanced Cost Competitiveness and Supply Stability

Celltrion is embarking on a large-scale production facility expansion exceeding 1 trillion won. The company’s strategy is to proactively address rapidly growing demand for biosimilars and strengthen its U.S. manufacturing base, thereby preemptively mitigating supply chain risks. The core of this plan is the establishment of a “two-track production system,” targeting both cost competitiveness through production internalization and the expansion of contract manufacturing organization (CMO) business.

On March 24, Celltrion announced that it has finalized the scale of expansion for both the Incheon Songdo campus and the manufacturing facility in Branchburg, New Jersey, USA. This investment will be executed in phases from this year through 2030, focused on expanding global production infrastructure centered in Korea and the United States.

180,000L Expansion in Songdo, 75,000L in the U.S.; Production Capacity Significantly Increased

First, Celltrion will invest 1.2265 trillion won to simultaneously expand the fourth and fifth plants in Songdo, bringing total capacity to 180,000 liters. The new facilities will feature automation systems and smart factory technologies to maximize production efficiency and flexibility.

Aerial view of Celltrion Plant 2 in Songdo, Incheon. Photo by Hyunmin Kim

This will enable Celltrion to handle both small-lot, multi-product manufacturing and large-scale mass production. The new system will accommodate not only the company’s flagship biosimilars but also future new drug pipelines simultaneously. The company explained that this move is also a proactive response to the recent surge in CMO demand.

The Branchburg plant in the United States is also expanding, increasing its capacity from 66,000 liters to 75,000 liters. As a result, the facility’s total production capacity will rise to 141,000 liters. Amid the rapid increase in U.S. biopharmaceutical production demand, this local manufacturing hub is expected to play a key role in both product supply and the expansion of Celltrion’s CMO business.

Once the expansions are complete, Celltrion’s total drug substance (DS) production capacity will increase from 316,000 liters to 571,000 liters. The company expects to achieve 100% internalization of DS production and significantly reduce production costs as a result.

At the same time, the company is also enhancing its drug product (DP) manufacturing capabilities. The new DP plant at the Songdo campus has surpassed 70% completion and is scheduled for completion within the year. Once commercial production begins next year, annual output will reach 6.5 million vials. Combined with the existing second plant’s capacity of 4 million vials per year, Celltrion will establish an annual production system of 10.5 million vials at the Songdo site alone.

Design for a new DP plant at the Yesan Industrial Complex in Chungnam is scheduled to begin within the year. In addition, with the expansion of Celltrion Pharm’s pre-filled syringe (PFS) production facility, the group is expected to cover approximately 90% of its total DP demand in-house.

“Risk Response in the U.S., Cost Competitiveness in Korea”

Through this investment, Celltrion plans to fully implement its “two-track production strategy” centered on Korea and the United States. The domestic manufacturing base will focus on increasing internalization rates to lower costs and enhance competitiveness in global tenders. The U.S. facility will serve as a hub for local production to minimize trade risks such as tariffs and to secure a stable supply chain.

A Celltrion official commented, “This investment will allow us to respond swiftly to global biopharmaceutical demand while significantly boosting profitability through cost competitiveness and supply stability. We aim to establish a flawless production infrastructure that encompasses both new drugs and biosimilars, as well as the CMO business.”

This content was produced with the assistance of AI translation services.