COVID-19 Drives Demand for Active Pharmaceutical Ingredients (APIs) in North America
Researched by Industrial Info Resources (Sugar Land, Texas)--Pharmaceuticals and biological drugs are manufactured using ingredients usually produced offsite. Historically, the U.S. and Canada have relied heavily on countries such as China, India and Italy to supply these ingredients in a timely and economic manner. But the pandemic fueled a need to produce active pharmaceutical ingredients (APIs) domestically to secure supply chains for North American drug manufacturers.
The global supply chain remains complicated, although the U.S. and Canadian governments are focusing on this issue and are whiteboarding incentives to assist the domestic production and reshoring of APIs.
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Industrial Info is tracking 105 capital-spending projects in the U.S. and Canada for the production of pharmaceutical and biological APIs, with a total investment value of about $2.83 billion. If you subscribe to Industrial Info's Pharmaceutical & Biotech project database, click here for a list of related projects.
In one of the larger API projects under construction in the U.S. Merck Vaccines Company is building a $650 million bulk, fill and finish plant at its Durham, North Carolina campus. Construction is scheduled for completion in early 2022 with fully validated manufacturing scheduled to commence in 2024.