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The global pharmaceutical electronic manufacturing services (EMS) market is projected to increase from USD 32.69 billion in 2025 and USD 35.17 billion in 2026 to USD 51.91 billion by 2031. The market is forecast to register a compound annual growth rate of 8.10% between 2026 and 2031, supported by pharmaceutical manufacturing outsourcing, investment in automated production systems and growing demand for connected drug delivery technologies.
Pharmaceutical and biotechnology companies are increasingly working with EMS providers to direct more capital toward research, product development and commercialization. This trend is expanding the role of contract manufacturers beyond board production and assembly to include design engineering, supply chain management, regulatory documentation, quality assurance and lifecycle support.
Jabil reported 14% growth in its healthcare segment in 2025, while 60% of its new contracts combined design-for-manufacturing services with supply chain support. These results reflect customer preference for integrated manufacturing relationships that can reduce supplier handoffs and support programs across multiple regulated facilities.
Connected Drug Delivery and Automation Create New Opportunities
The increasing electronic content of wearable injectors, connected combination products and advanced drug delivery systems is strengthening demand across the pharmaceutical electronic manufacturing services market. These products require coordinated electronics design, validated assembly, packaging integration, testing and documentation.
Jabil's February 2025 acquisition of Pharmaceutics International expanded its capabilities in aseptic filling, lyophilization and oral solid-dose manufacturing. The transaction demonstrates how major suppliers are broadening their offerings to support more of the pharmaceutical and drug-device production process under a unified operating structure.
Laboratory automation is another significant growth area. The laboratory automation electronics segment is forecast to register a 10.96% CAGR through 2031, making it the fastest-growing product category. Daiichi Sankyo's establishment of a 24-hour automated drug discovery operation in the United States in January 2025 highlights continued investment in robotic, integrated and cloud-connected laboratory environments.
Service and Product Segment Highlights
PCB assembly and integration represented 40.13% of pharmaceutical EMS market revenue in 2025, retaining the largest share among service categories. Demand is supported by circuit board applications in bioreactor controls, production-line automation, serialization systems, monitoring equipment and laboratory instruments.
Electronic design and engineering services are projected to grow at a 10.84% CAGR through 2031, the highest rate among service segments. Pharmaceutical equipment manufacturers are engaging specialized partners earlier in the development cycle to improve manufacturability, regulatory alignment and production scalability. Aftermarket services are also generating recurring revenue through board replacement, firmware support, maintenance and controlled equipment updates.
Pharmaceutical manufacturing equipment electronics accounted for 42.27% of market revenue in 2025. New fill-finish lines, sterile production facilities and oral solid-dose plants continue to require advanced control hardware and electronic instrumentation. Packaging-line electronics are also benefiting from investment in serialization, coding, inspection and verification systems.
Capital and Compliance Requirements Remain Key Challenges
High investment requirements for cleanrooms, automated assembly lines, environmental controls, testing systems and validation capabilities remain a barrier to market entry and expansion. These costs favor larger EMS companies that can distribute facility and compliance spending across multiple programs and higher production volumes.
Additional factors shaping the pharmaceutical electronic manufacturing services market include:
- Increasing compliance requirements across ISO standards, U.S. Food and Drug Administration regulations and the European Union Medical Device Regulation
- Demand for validation-ready digital traceability and stronger data integrity controls
- Component allocation and supply risks affecting miniaturized medical electronics
- Long supplier qualification cycles for regulated pharmaceutical manufacturing programs
Regional Pharmaceutical EMS Market Outlook
North America held 46.36% of the global pharmaceutical electronic manufacturing services market in 2025, making it the largest regional market. The region benefits from an established pharmaceutical industry, a substantial base of regulated electronics manufacturers and continued capital investment by AstraZeneca, Eli Lilly, Merck, Johnson & Johnson and Pfizer. Canada contributes stable mid-market demand, while Mexico is attracting nearshore assembly programs serving U.S. customers.
Asia-Pacific is forecast to record the fastest regional growth, with an 11.24% CAGR through 2031. Expansion is being supported by pharmaceutical manufacturing policies in India, supply chain diversification and precision electronics capabilities in Japan and South Korea. China remains an important high-volume manufacturing center, while India, South Korea and parts of Southeast Asia are expected to participate in additional supplier qualification and capacity expansion programs.
Europe represents the second-largest regional revenue cluster, led by Germany, France, the United Kingdom, Italy and Spain. Modernization of pharmaceutical production systems and Germany's strength in process engineering and industrial controls continue to support demand. Pharmaceutical capacity development in Gulf countries is expected to create longer-term opportunities in the Middle East and Africa. Brazil and Argentina lead South America, although regional growth remains affected by qualification costs and the limited availability of pharma-grade EMS capacity.
