A New Turning Point in Synthetic Biology: The Commercial Breakthrough in the Biomanufacturing Industry by 2025
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Commercial Success Stories Proving the Reality of Biomanufacturing
By 2025, the biomanufacturing industry has established itself as a current business rather than a future technology. The global biomanufacturing market has reached a scale of $68 billion this year, marking a 23% growth compared to the previous year, and is expected to reach $142 billion by 2030, according to McKinsey Global Institute. The key driver of this growth is the success of synthetic biology companies in transitioning from laboratory stages to large-scale commercial production. Notably, there are successive success stories in the fields of bio-based chemicals, pharmaceutical ingredients, and sustainable materials.
Ginkgo Bioworks, based in Boston, USA, announced that its third-quarter revenue reached $124 million, a 34% increase from the same period last year. The company, which brands itself as the ‘Amazon of biology,’ offers a custom microorganism design platform and is currently working on over 700 projects in collaboration with clients across various industries, including pharmaceuticals, agriculture, chemicals, and food. This year, it achieved commercial success in bio-based fragrance production, supplying high-quality products at 30% lower costs compared to traditional chemical synthesis methods. This case demonstrates that synthetic biology has evolved beyond mere technical feasibility to become a solution with actual economic competitiveness.
In the Korean market, Samsung Biologics is solidifying its position as the third-largest global player in the biopharmaceutical contract development and manufacturing organization (CDMO) sector, with projected revenues of 3.2 trillion won this year. The company’s four plants in Songdo, Incheon, operate the world’s largest single biopharmaceutical production facility with a total production capacity of 364,000 liters. Additionally, Celltrion holds a 15% global market share in the biosimilar sector, with key biosimilar products like Herceptin and Rituxan generating annual sales of 1.8 trillion won, particularly in the European and US markets. These achievements by Korean companies further strengthen their status as a bio-manufacturing hub in Asia.
Global chemical companies are also actively transitioning to biomanufacturing. BASF, headquartered in Ludwigshafen, Germany, reported sales of €4.5 billion in its bio-based chemicals division this year and announced plans to expand sales in this division to €10 billion by 2030. Significant progress is being made in the production of key chemical intermediates such as bio-based acrylic acid and butanediol. Novozymes, based in Bagsvaerd, Denmark, is the global leader in the industrial enzyme sector, achieving sales of 15.8 billion Danish kroner this year and providing sustainable solutions in various fields, including bio-detergents, biofuels, and food processing.
Technological Breakthroughs and Economic Viability
The commercial success of synthetic biology is underpinned by several key technological breakthroughs. Firstly, the precision and efficiency of gene editing technologies have significantly improved. With advancements in CRISPR-Cas9 technology, the development time for microbial strains has been reduced from the previous 18-24 months to 6-9 months, and development costs have decreased by an average of 40%. Secondly, biological design optimization using artificial intelligence and machine learning has become possible. Zymergen, based in California, USA, achieved a 300% increase in productivity through its AI-based strain optimization platform. The company recorded second-quarter revenue of $42 million this year, an 89% growth compared to the same period last year.
The scale-up of fermentation technology has also reached a critical turning point. Traditionally, expanding from laboratory scale (liter-scale) to industrial scale (tens of thousands of liters) was the biggest challenge in biomanufacturing. However, recent advancements in continuous fermentation and perfusion culture technologies have largely addressed these issues. LG Chem is constructing a bio-based monoethylene glycol (MEG) production facility in Kuantan, Malaysia, with an annual capacity of 70,000 tons, scheduled to begin commercial production in 2026. This project, involving a total investment of $700 million, demonstrates the potential for economic viability of bio-based chemicals.
Reducing raw material costs is also a key factor in commercial success. Previously, expensive glucose was used as the main raw material, but recent technologies have been developed to utilize agricultural by-products, lignocellulosic biomass, and even carbon dioxide. LanzaTech, based in Illinois, USA, has commercialized technology to produce ethanol from industrial waste gases, producing 65 million gallons of sustainable fuel annually. This diversification of raw materials has resulted in a 25-40% reduction in production costs compared to previous levels. Additionally, product yield improvements are notable. The average product yield of major biomanufacturing companies has significantly improved from 60-70% in 2020 to 85-90% in 2025.
These technological advancements have greatly enhanced the price competitiveness of biomanufactured products. For instance, the price of bio-based 1,4-butanediol has decreased from $3,500 per ton in 2020 to $2,800 currently, narrowing the price gap with petrochemical-based products to within 15%. Some products have already achieved price competitiveness. Bio-based acrylic acid is currently priced at $1,650 per ton, which is 5% cheaper than petrochemical-based products. This indicates that biomanufacturing is emerging as an attractive alternative not only in terms of sustainability but also in economic terms.
The expansion of production scale is also accelerating. The global biomanufacturing production capacity is currently around 5 million tons annually in 2025, representing a 180% increase compared to 2020. The growth in the Asian region is particularly notable, with China’s biomanufacturing production capacity accounting for 1.8 million tons annually, representing 36% of the global total. Korea also maintains its position as the third-largest in Asia with an annual production capacity of 450,000 tons. This expansion of production capacity creates a virtuous cycle that further lowers product prices through economies of scale.
The investment environment has also significantly improved. Global venture investment in the synthetic biology sector reached $7.8 billion in 2025, a 42% increase from the previous year. Particularly, late-stage investments after Series B accounted for 65% of the total, indicating active commercial investments in companies that have completed technology validation. In Korea, private investment is expanding alongside the government’s Biohealth New Deal policy, with venture investment in the bio sector expected to exceed 1.2 trillion won this year. This improvement in the funding environment is a crucial factor supporting companies’ investments in large-scale production facilities.
Regulatory environment improvements are also contributing to the acceleration of commercialization. The US FDA announced new guidelines this year to streamline the approval process for biomanufactured products, and the European Union is operating a regulatory sandbox for sustainable biomanufactured products. The Korean Ministry of Food and Drug Safety is also working on regulatory improvements, such as reducing the approval review period for biopharmaceuticals from the previous 300 days to 240 days. These regulatory environment improvements shorten market entry times for companies and reduce development costs.
However, challenges still remain. The standardization of production processes and the establishment of quality control systems are urgent issues. Biomanufacturing has more process variables and difficulties in ensuring product quality consistency compared to chemical manufacturing. Additionally, a shortage of skilled personnel is a constraint on industry growth. The global biomanufacturing industry currently requires approximately 150,000 additional personnel, with a severe shortage of advanced personnel such as fermentation process engineers and bioinformatics experts. The stability of raw material supply chains is also a critical issue. Seasonal fluctuations and quality variations in bio-based raw materials, such as agricultural by-products, pose obstacles to stable production.
Environmental impact assessments and sustainability verification are also important challenges. While biomanufacturing is perceived as environmentally friendly, it actually consumes significant amounts of water and energy during the fermentation process, and there are issues with by-product disposal. According to life cycle assessment (LCA) studies, the carbon footprint of some biomanufacturing processes is similar to or even higher than that of conventional chemical processes. Therefore, to achieve true sustainability, process optimization and the expanded use of renewable energy are necessary. Despite these challenges, the growth momentum of the biomanufacturing industry is expected to continue due to technological advancements and economic viability.
Market experts assess that the biomanufacturing industry has entered a full-fledged popularization phase starting in 2025. According to a recent report by the Boston Consulting Group, biomanufacturing is expected to account for 15-20% of the total chemical market by 2030, representing a market opportunity of approximately $300 billion. The Asian region, in particular, is expected to emerge as a global biomanufacturing hub, leveraging its manufacturing base and government support. Korean companies are also continuing to enhance their competitiveness by aligning with these global trends through technological innovation and facility investments.
This post is provided for educational and informational purposes only. It does not constitute investment advice, and you should consult with a qualified financial advisor before making investment decisions.
