IFEZ Journal

Attraction of LOTTE Biologics’ Mega Plant: 

Completion of a Super-Gap Bio City

LOTTE Biologics will move to Songdo International City, where it plans to build a “mega plant” in the form of a huge production plant for biopharmaceuticals in Songdo Zone 11 and to create a “bio campus” that cooperates with ventures and small and medium-sized enterprises in related fields.

USD 3 Billion Investment – Targeting Completion by 2025

Earlier this year, LOTTE Biologics announced that it would establish a new biopharmaceutical mega plant in Korea, identifying the site as Songdo Zone 11 and submitting a letter of intent to IFEZ. The company plans to invest USD 3 billion (approximately KRW 3.7 trillion) by 2030 to build three antibody drug-production plants with an annual capacity of 120,000 liters and a total production capacity of 360,000 liters. Accordingly, on June 20, IFEZ and LOTTE Biologics signed a memorandum of understanding (MOU) to attract investment in mega plants. Incheon Mayor Yoo Jeong-bok, IFEZ Commissioner Kim Jin-yong, LOTTE Holdings President Lee Hun-ki, and LOTTE Biologics CEO Richard W. Lee attended the signing ceremony. The MOU specifies the parties’ roles for the smooth attraction of biopharmaceutical research and development and manufacturing facilities in the industrial facility site in Songdo Zone 11 and confirms active cooperation to secure the site and start construction of the facility within the year. LOTTE Biologics’ mega plant will begin construction in earnest in the second half of this year. If all goes as planned, it will be completed in 2025, and commercial production will be possible from 2027, following Good Manufacturing Practice (GMP) approval related to pharmaceuticals in 2026. In 2034, the company aims to achieve sales of USD 3 billion, an operating margin of 35%, and the entire operation of three mega plants.

Establishment of Bio-Venture Initiative 

LOTTE Biologics aims to create a bio campus that allows cooperation with ventures and small and medium-sized enterprises in biopharmaceuticals, not limiting its mega plant’s role to production. The company plans to operate the Bio-Venture Initiative, a fostering program, and to ultimately create a domestic bio ecosystem and contribute to discovering new treatments.

These corporate goals coincide with the direction of Songdo International City, which has the world’s largest biopharmaceutical production capacity by single-city standards. Songdo, where Korea’s best bio and global raw materials companies are located, maintains its status as a worldwide bio cluster. For continuous development in this field, Songdo is promoting projects for innovative R&D and excellent workforce supply, such as the K-Bio Lab Hub creation project and the construction of a pharmaceutical bio commercialization center. Joining LOTTE Biologics in this direction will further advance Songdo’s bioindustry infrastructure and ecosystem.

Location

Songdo Zone 11 Industrial Facilities Land

Budget

KRW 3.7 trillion

Completion

Scheduled for 2025

Goal(Production)

360,000L

“With this investment attraction, Incheon has further solidified its status as a super-gap bio city. We will strive to attract investment and foster industries in high-tech fields, such as bio, so that Incheon may rise as the center of the Korean economy.”

Yoo Jeong-bok, Mayor of Incheon Metropolitan City

“The signing of this MOU is a representative example of Songdo Bio Cluster’s global competitiveness and unlimited potential.

We will support the success of LOTTE Biologics’ facility investment.”

Kim Jin-yong, Commissioner of IFEZ

“To start construction on the Songdo mega plant within the year, we will draw active support from the parent company. In addition, we will actively cooperate with Incheon and IFEZ so that the land purchase contract can be concluded as soon as possible.”

Richard W. Lee, CEO of LOTTE Biologics