U.S. Labs Gear Up as Peptide Demand Surges

SK pharmteco’s $6.1 million U.S. expansion speeds peptide drug development and stabilizes supply chains

17 Nov 2025

SK pharmteco is expanding peptide manufacturing capacity in California as demand for the drug class reaches new highs and companies compete for limited production slots.

The group is investing $6.1mn in its Rancho Cordova site, adding laboratory space and upgraded systems aimed at easing constraints in purification, a stage that has become a bottleneck for many developers of metabolic and oncology treatments. The new laboratories are due to open in January 2026, with kilo-scale capacity expected in the second half of the year.

Peptide therapies, once considered a specialist niche, have moved to the centre of research portfolios as work on obesity and other chronic diseases accelerates. But US manufacturing has struggled to keep pace, pushing some developers into long waits for pilot and commercial-scale production. SK pharmteco has said demand continues to grow faster than infrastructure can expand.

The California project follows the company’s $260mn commitment to peptide capacity in South Korea, signalling a coordinated effort to build a more resilient global network.

Analysts note that other producers, including PolyPeptide and Cambrex, are also enlarging their footprints. The heightened competition is expected to support investment in high-throughput purification, automation and other technology intended to reduce lead times and improve quality.

Specialists warn that current expansion plans may represent only a first phase. New therapies targeting large patient populations could require greater volumes and more specialised expertise, adding pressure on manufacturers to scale further.

For biotech companies, added domestic capacity offers the prospect of shorter development cycles. For the broader health sector, it marks a step toward strengthening the US pharmaceutical supply base as interest in local production continues to rise.