Zoetis to Expand Animal Vaccine Research and Manufacturing in Suzhou, China
April 26 2018 - 3:00AM
Business Wire
- Company begins construction of
state-of-the-art vaccine manufacturing and research and development
facilities in Suzhou to support growth
- Operations to focus on development and
manufacturing of vaccines for pigs, cattle and fish and companion
animals tailored to the animal health needs of China
Zoetis Inc. (NYSE: ZTS) today celebrated the start of
construction on a combined global manufacturing and supply and
research and development center in Suzhou, China, with a
traditional groundbreaking ceremony. The new facility will focus on
development and production of quality vaccines for swine, cattle,
fish and companion animals that help protect against the strains of
diseases prevalent in China. Zoetis also marked the opening of an
interim research and development facility nearby in Suzhou where
the company’s PHARMAQ business will begin to develop vaccines for
the farmed fish industry in China; the first such R&D center
established by a multinational company to concentrate on
aquaculture in mainland China. The events affirmed the company’s
continued investment in and commitment to innovation, manufacturing
excellence and growth in China.
“We at Zoetis have a deep understanding of the animal health
challenges that livestock farmers and veterinary professionals in
China face every day,” said Mike Wang, Senior Vice President,
Greater China Cluster for Zoetis. “With this new center for vaccine
innovation co-located with expanded manufacturing capabilities in
Suzhou, and a team of highly trained field representatives, we are
well-positioned to help China’s livestock farmers answer increasing
demand for a safe and abundant supply of pork, milk, beef and fish.
And we can support veterinarians as they strive to help pets live
longer, healthier lives.”
Zoetis is a leading multi-national animal health company in
China with revenue of $174 million (USD) in China in 2017. Zoetis
began operations in China in 1995 and has approximately 600
employees and commercial headquarters in Shanghai. The product
portfolio includes more than 80 product lines that span five
product categories, including vaccines, parasiticides,
anti-infectives, medicated feed additives and other pharmaceutical
products, which serve six core animal species - pigs, dairy cattle,
poultry, fish, dogs and cats. China is the fifth largest market for
Zoetis by annual revenue worldwide.
Expanding Innovation in China and for China
The planned vaccine research and development (R&D) center in
Suzhou will expand and strengthen the innovation underway at the
Zoetis R&D laboratory in Beijing, which opened in 2015.
“The future work of our scientists in Suzhou will help
accelerate the development of quality vaccines tailored to meet the
animal health needs of the China market, and it will enable
expansion from our initial focus on vaccines for swine to those for
cattle and fish as well as for companion animals,” said Dr.
Catherine Knupp, Executive Vice President and President of Research
and Development at Zoetis. “Zoetis scientists from our laboratory
in Beijing and our global R&D network will collaborate with the
Suzhou-based R&D team, helping speed the introduction of Zoetis
technologies and processes into the development of high-quality
vaccines and medicines for China.” The animal vaccines market in
China was valued at more than $1.8 billion1 in 2017.
At the start-up R&D laboratory in Suzhou, PHARMAQ scientists
will primarily concentrate on acquiring in-depth knowledge of the
disease threats within the Chinese aquaculture sector. This
know-how will serve as the foundation to develop safe and effective
vaccines for the aquaculture industry in China. Vaccines are
expected to become an important health management tool for China’s
aquaculture industry to help control the diseases that pose the
greatest threat to this industry. China is the world`s largest
aquaculture nation, producing approximately 50 million metric
tonnes2 of farmed fish in 2016, which represent 63 percent2 of
global production. Increased reliance on vaccines to control
disease could help reduce use of antibiotics to treat bacterial
disease in farmed fish. Once Zoetis completes construction on the
new combined R&D and manufacturing facility, R&D operations
will transition to the new facility.
Increasing Manufacturing Capacity and Capabilities in
China
“We at Zoetis view China as a global center for high-quality
manufacturing as well as innovation,” said Roman Trawicki,
Executive Vice President and President of Global Manufacturing and
Supply at Zoetis, who officiated at the groundbreaking ceremony.
“The completion of this new vaccine manufacturing facility in
Suzhou will establish a center of excellence for production of
quality vaccines tailored specifically to the needs of the Chinese
market. It will broaden our manufacturing capacity and capabilities
in China.”
The new innovation and manufacturing facility in Suzhou will
include 43,000 square meters of vaccine manufacturing operations
and laboratory space. Zoetis expects to complete construction and
Good Manufacturing Practices certification by the Chinese Ministry
of Agriculture by 2021.
The site will feature state-of-the-art technologies for the
manufacture of viral and bacterial vaccines, and will include pilot
scale manufacturing for the development of new vaccine products.
Zoetis expects to add approximately 100 new R&D and
manufacturing positions at the facility during the next two
years.
The new facility will become the company’s second vaccine
manufacturing site in China. In 2017, Zoetis became the sole owner
of its former joint venture vaccine manufacturing site in Jilin
where the company has produced vaccines for swine tailored to the
needs of the Chinese market since 2011. Innovative products
developed there include Rui Lan AnTM, a specialized vaccine
launched in 2013 to help control highly pathogenic porcine
reproductive and respiratory syndrome (PRRS) identified in China.
In 2016, Zoetis also launched Rui Lan Wen™, the first combination
vaccine approved in China to help protect pigs against classical
swine fever (CSF) and porcine reproductive and respiratory syndrome
(PRRS) prevalent there.
The new facility will also become the company’s second global
manufacturing and supply facility in Suzhou. Zoetis opened a
state-of-the-art facility there in 2015 where it produces medicated
feed additive products as well as water soluble and pre-mix
products used to help raise healthy pigs, cattle, and poultry.
Products include Linco-Spectin®, Lincomix®, Tilmicosin® and COT
(Check-O-Tox®).
About the Animal Health Market in China
China is the world’s second largest animal health market valued
at approximately $4.3 billion1 USD in 2017 with an expected
compound annual growth rate between seven and ten percent3.
Vaccines continue to be the most significant growth driver. China
leads the world in pork production and is home to the world’s
largest swine herd with farmers raising 700 million pigs annually1.
Pet ownership and spending on healthcare is increasing in China.
Spending on medicines and vaccines for pets was approximately $300
million1 in 2017. The animal health industry is devoted to
supporting farmers in their work to deliver a safe, wholesome food
supply from healthy farm animals and to help pets live longer,
healthier lives.
About Zoetis
Zoetis is the leading animal health company, dedicated to
supporting its customers and their businesses. Building on more
than 60 years of experience in animal health, Zoetis discovers,
develops, manufactures and markets veterinary vaccines and
medicines, complemented by diagnostic products, genetic tests,
biodevices and a range of services. Zoetis serves veterinarians,
livestock producers and people who raise and care for farm and
companion animals with sales of its products in more than 100
countries. In 2017, the company generated annual revenue of $5.3
billion with approximately 9,000 employees. For more information,
visit www.zoetis.com
1 Vetnosis 2017 STORM Report2 OECD-FAO Agricultural Outlook
2017-2026 database;
https://read.oecd-ilibrary.org/agriculture-and-food/oecd-fao-agricultural-outlook-2017-2026/fish-and-seafood_agr_outlook-2017-12-en#;
accessed 04-03-183 Zoetis internal estimates
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MediaZoetis Inc.Yu Fang, +86 21
22610265 (O)fang.yu@zoetis.comorElinore White, 973-443-2835
(O)elinore.y.white@zoetis.com
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