Drug Delivery CDMO Market Current Topical Treatment Modalities in Veterinary Dermatology

Drug Delivery CDMO Market Trends for 2026

The drug delivery CDMO market is experiencing significant expansion, with projections indicating a revenue increase reaching several hundred million dollars by the end of the forecast period, spanning 2026 to 2035. This growth is driven by emerging trends and strong demand across key sectors.

The growing chronic diseases and advancements in advanced therapies are fuelling the demand for drug delivery CDMO services. Similarly, the growing AI integration, outsourcing trends, expanding research and development activities, and new drug delivery platform launches are also promoting the market growth.

Key Takeaways

• North America held the major revenue share of approximate 41.5% in the global drug delivery CDMO market in 2025.
• Asia Pacific is expected to be the fastest-growing region with an approximate 10.8% CAGR between 2026 and 2035.
• By service type, the manufacturing services segment held approximately 58.5% share in the market in 2025.
• By service type, the drug development services segment is expected to be the fastest growing with approximately 12.2% CAGR during the forecast period.
• By dosage form type, the oral solids segment held approximate 42.0% share in the market in 2025.
• By dosage form type, the injectables segment is expected to be the fastest-growing with an approximate 11.5% CAGR during the forecast period.
• By molecule type, the small molecules segment held approximately 55% share in the drug delivery CDMO market in 2025.
• By molecule type, the biologics/large molecules segment is expected to be the fastest growing with approximately 10.4% CAGR during the forecast period.
• By application type, the oncology segment held an approximate 36.5% share in the market in 2025.
• By application type, the metabolic disorders/GLP-1 segment is expected to be the fastest growing with an approximate 13.8% CAGR during the forecast period.

What is the Drug Delivery CDMO?

The drug delivery CDMO market is driven by the transition towards complex biologics, a surge in GLP-1 therapies, and the demand for specialized, high-potency manufacturing. The drug delivery CDMO encompasses specialized organizations that provide comprehensive services for the development and manufacturing of drug delivery systems (e.g., injectables, inhalers, transdermals). These partners integrate drug formulation with advanced delivery technologies to improve bioavailability, patient compliance, and therapeutic efficacy.

What are the Applications of AI in the Drug Delivery CDMO Market?

AI offers a wide range of applications in the drug delivery CDMO, supporting the formulation development by predicting the optimal drug formulation and drug release patterns. It also optimizes the manufacturing parameters and offers enhanced quality control. It also shows compliance with the regulatory standards and accelerates the development timelines, promoting the development of new drug delivery systems and complex molecules.

What are the Trends and Future Outlook of the Drug Delivery CDMO Market?

Advancements in Biologics and Advanced Therapies

Due to growing chronic diseases, there is a rise in the development of biologics, cell and gene therapies, personalized therapies, and novel APIs, which is increasing the demand for drug delivery CDMO services.

Expanding Outsourcing Trends

The increasing research and development complexities, regulatory hurdles, and development costs are increasing the outsourcing trends to leverage various services of the drug delivery CDMOs, which is also creating new opportunities for the full-service CDMOs.

Flourishing Technologies

The growing digitalization is driving the adoption and development of advanced technologies such as automation and digital platforms, enhancing the speed, efficiency, and quality of drug development and manufacturing in the drug delivery CDMOs.

Segmental Insights

By Service Type Insights

Why Did the Manufacturing Services Segment Dominate in the Drug Delivery CDMO Market in 2025?

The manufacturing services segment held the largest share of approximate 58.5% in the market in 2025, due to high demand for specialized facilities. The growth in the development of complex drug delivery systems also increased their use for technical expertise and advanced equipment, where their affordable services also increased the collaborations.

Drug Development Services

The drug development services segment is expected to show the highest growth with approximately 12.2% CAGR during the predicted time, due to growing research and development activities. Moreover, growing novel formulations and the rising shift towards personalized therapies are also increasing their use.

By Dosage Form Insights

How the Oral Solids Segment Dominated the Drug Delivery CDMO Market in 2025?

The oral solids segment led the market with an approximate 42.0% share in 2025, due to their high acceptance rates and ease of administration. These formulations offered enhanced stability and longer shelf life, which increased their production. Additionally, their wide range of applications also increased their outsourcing.

Injectables

The injectables segment is expected to show the fastest growth rate with an approximate 11.5% CAGR during the predicted time, due to the growing development of biologics and vaccines. The increasing incidence of chronic diseases are also increasing their innovations, leading to increased use of drug delivery CDMO.

By Molecule Type Insights

Which Molecule Type Segment Held the Dominating Share of the Drug Delivery CDMO Market in 2025?

The small molecules segment held the dominating share of approximate 55% in the market in 2025, due to growth in their development and approval rates. Their broad therapeutic use and growth in generic product developments also increased their demand, driving the use of drug delivery CDMO services.

Biologics/Large Molecules

The biologics/large molecules segment is expected to show the highest growth with approximately 10.4% CAGR during the upcoming years, due to their growing clinical pipeline. The expanding outsourcing trends, increasing research and development activities, and patent expiration are also increasing the demand for drug delivery CDMOs.

By Application Insights

What Made Oncology the Dominant Segment in the Drug Delivery CDMO Market in 2025?

The oncology segment led the market with an approximate 36.5% share in 2025, due to growth in the cancer burden. This increased the oncology research and development activities supported by investments from various sources, which promoted the development of various therapeutic options and increased the use of drug delivery CDMO services.

Metabolic Disorders/GLP-1

The metabolic disorders/GLP-1 segment is expected to show the fastest growth rate with an approximate 13.8% CAGR during the upcoming years, due to increasing incidences of diabetes and obesity. This is encouraging the use of drug delivery CDMO services to develop various next-generation dual or triple receptor agonists and once-a-week injectables.

Regional Insights

Advanced Companies Drives North America

North America dominated the drug delivery CDMO market with approximate 41.5% in 2025, due to the presence of robust pharmaceutical and biotechnology companies. The growth in healthcare investments and advanced manufacturing infrastructure also increased the development of various complex therapies, driving the use of drug delivery CDMO, which contributed to the market growth.

U.S. Market Trends

The presence of robust industries and advanced manufacturing infrastructure in the U.S. is driving the development of new specialized therapies and biologics, which is increasing their outsourcing, driving the demand for drug delivery CDMOs. Additionally, stringent regulations and growing diseases are also increasing their demand.

Affordable Manufacturing Boost Asia Pacific

Asia Pacific is expected to host the fastest-growing drug delivery CDMO market with an approximate 10.8% CAGR during the forecast period, driven by affordable manufacturing services. The expanding industries and healthcare sector are also increasing the adoption and development of various novel formulations and generic products, which is increasing the demand for drug delivery CDMO services, enhancing the market growth.

China Market Trends

The growing chronic disease in China is increasing the adoption of biologics, vaccines, and advanced therapies, promoting collaboration with drug delivery CDMOs. Moreover, growing research and development activities, outsourcing trends, technological advancements, and government initiatives are also increasing their demand.

Europe Driven by Growing Therapeutic Products

Europe is expected to grow significantly in the drug delivery CDMO market during the forecast period, due to growth in the biologic and specialty drug development. The presence of well-developed pharma and biotech industries is also increasing their research and development activities, which is increasing the collaboration with drug delivery CDMOs, backed by investment, promoting the market growth.

UK Market Trends

The presence of strong research and development hubs in the UK is increasing the advancements in the biologics, cell and gene therapies, and vaccines, which is leading to the increased demand for drug delivery CDMOs. Additionally, robust regulatory frameworks and government initiatives are also increasing their use.

Drug Delivery CDMO Market Value Chain Analysis

Research and development

• The research and development of the drug delivery CDMO focuses on the development of high-concentration sterile fill-finish, enhancement of product bioavailability, and integration of smart connectivity in the devices.
• Key players: Lonza Group AG, Catalent, Inc., Kindeva Drug Delivery.

Clinical Trials and Regulatory Approvals

• The safety, dosage consistency, and efficacy of the drug delivery platform are evaluated in the clinical trials and regulatory approvals of the drug delivery CDMOs.
• Key players: Lonza Group AG, Catalent, Inc., Kindeva Drug Delivery.

Patient Support and Services

• Smart connect sensors, specialized training materials, and intuitive device designs are provided in the patient support and services of the drug delivery CDMO.
• Key players: Catalent, Inc., Kindeva Drug Delivery, Recipharm AB.

Who are the Drug Delivery CDMO Market Top Vendors and What are Their Offerings?

SWOT Analysis

Strengths

• The drug delivery CDMO offers deep formulation expertise across a wide range of products, which increases their demand.
• They also offer end-to-end services, which increase their use during commercial manufacturing.
• They also provide various advanced technologies that are validated, reducing the chances of errors.
• Moreover, their compliance with the regulatory standards also encourages their use for faster approvals.

Weaknesses

• High dependence on client pipelines acts as a major weakness in the drug delivery CDMO market.
• Shortage of skilled personnel and complex technology transfer also reduces the use of drug delivery CDMO.

Opportunities

• The growing advancements in biologics are increasing the development of advanced delivery systems, which is increasing the use of drug delivery CDMO.
• Similarly growing development of cell and gene therapies and combination products is also increasing their demand.
• The companies are also developing various self-administered drug delivery systems, which are encouraging their use.
• Additionally, rising outsourcing trends are also leading to new collaborations with these CDMOs.

Threats

• The drug delivery CDMO requires specialised equipment, advanced technologies, and well-developed facilities, which increases the cost associated with them, limiting their use.
• Long development timelines and regulatory barriers also reduce their collaborations.

Recent Developments in the Drug Delivery CDMO Market

• In February 2026, Avery Pharmaceuticals Pvt. Ltd. announced its participation in the Vitafoods India 2026, where it will exhibit its cutting-edge solutions in drug delivery, contract manufacturing development services for orally dissolving strips, and engage the technical and commercial team with the attendees.
• In January 2026, with an aim to expand the suite of integrated solutions, the AI-powered software for high-throughput salt and co-crystal screening will be developed and launched by Eurofins CDMO Alphora.

Segments Covered in the Report

By Service Type

• Manufacturing Services
• Drug Development Services
• Analytical and Testing Services
• Packaging and Device Development

By Dosage Form

• Oral Solids
• Injectables
• Topical and Transdermal
• Pulmonary and Inhalation

By Molecule Type

• Small Molecules
• Biologics/Large Molecules

By Application

• Oncology
• Metabolic Disorders/GLP-1
• Infectious Diseases
• Cardiovascular and Others

By Region 

• North America
  • U.S.
  • Canada 
  • Mexico 
  • Rest of North America
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Europe 
  • Western Europe 
    • Germany 
    • Italy
    • France
    • Netherlands
    • Spain
    • Portugal 
    • Belgium
    • Ireland
    • UK 
    • Iceland 
    • Switzerland
    • Poland
    • Rest of Western Europe
  • Eastern Europe 
    • Austria
    • Russia & Belarus 
    • Türkiye
    • Albania 
    • Rest of Eastern Europe 
• Asia Pacific
  • China 
  • Taiwan
  • India 
  • Japan 
  • Australia and New Zealand
  • ASEAN Countries (Singapore, Malaysia)
  • South Korea 
  • Rest of APAC 
• MEA 
  • GCC Countries
    • Saudi Arabia 
    • United Arab Emirates (UAE)
    • Qatar 
    • Kuwait 
    • Oman 
    • Bahrain 
  • South Africa
  • Egypt 
  • Rest of MEA