CDMO Samsung Biologics Recognized with Terra Carta Seal for Commitment to Sustainability

Contract development and manufacturing organization Samsung Biologics has prioritized sustainability in recent years. The CDMO, which partners with pharmaceutical companies to develop and manufacture biologic medicines such as monoclonal antibodies and mRNA vaccines, has committed to ambitious emissions reduction goals across the biopharmaceutical supply chain, and has joined several sustainability initiatives. In January 2023, one of these initiatives, the Sustainable Markets Initiative, awarded Samsung Biologics the 2022 Terra Carta Seal for the company’s commitment to sustainability.

“The SMI brings CEOs together to work on the shared goals of accelerating our transition to a sustainable future,” said Brian Moynihan, co-chair of the SMI. “I congratulate those organizations recognized with the 2022 Terra Carta Seal and thank them for their commitment to sustainable markets.”

SMI awarded the seal, designed by the renowned Sir Jony Ive, to 19 companies in recognition of efforts to work toward net-zero emissions by creating markets that are truly sustainable. The Terra Carta Seal is given to companies with a mission that aligns with Terra Carta, a set of principles created to implement a recovery plan for “nature, people, and planet,” by placing these values at the heart of private sector activity.

“We are honored to be recognized with the Terra Carta Seal by the Sustainable Markets Initiative for Samsung Biologics’ contribution in working alongside our industry peers for this global effort,” said John Rim, president and CEO of Samsung Biologics. “Healthcare is at a pivotal moment, and through our collaborative efforts, we can contribute to shaping climate-resilient practices to influence and help shape policy across the pharmaceutical and healthcare sectors.”

Building a Sustainable CDMO Supply Chain

Samsung Biologics is the lone CDMO representative in the SMI, playing an important role in its Health Systems Task Force, which was established at the COP26 United Nations climate conference in 2021. This task force partners public and private sector leaders in healthcare positions ranging from the pharmaceutical industry to nonprofits and academic researchers. Other members of the task force include AstraZeneca, GSK, Novo Nordisk, Sanofi, the U.K.’s National Health Service, UNICEF, the University of Pavia, and the World Health Organization.

The goal is to develop a more sustainable supply chain by identifying opportunities to reduce emissions across the chain, from development to manufacturing.

“The healthcare sector contributes over 4% of global greenhouse gas emissions, highlighting the need for change in order to achieve sustainable growth,” said Jimin Han, director of climate change in the business strategy team at Samsung Biologics, in a recent interview. “Throughout the entire drug development and manufacturing process, the industry must make the effort to utilize low-carbon products. However, as CDMOs are often required to follow the ‘recipes’ prescribed by their clients, reducing greenhouse gas emissions will increasingly become a shared responsibility. Drug developers must take the initiative to embrace transitions across the process design to implement low-carbon elements from raw materials to logistics.”

Samsung Biologics’ work as a member of the Supply Chains Working Group within the Health Systems Task Force is aimed at creating solutions based on this shared responsibility.

At COP27, in December 2022, the task force announced joint action to achieve near-term emissions reduction targets and published commitments to decarbonize through a series of whitepapers outlining practical and scalable actions for health systems stakeholders. This research identified major drivers of emissions across the chain, including patient care settings, raw materials extraction; materials processing; active pharmaceutical ingredients, drug substance, and excipient synthesis; final drug manufacturing and packaging; and transport.

It also identified levers to reduce supply chain emissions. These include product and packaging redesign, process efficiency, on-site renewable power sources, renewable heat and steam equipment for low and high temperature applications, regenerative agriculture, carbon capture and storage, clean transport, and the use of hydrocarbon-free feedstock. The task force has detailed specific actions that organizations across the chain can take regarding each of these levers.

Samsung Biologics’ Sustainability Goals

In addition to its work within SMI, Samsung Biologics is involved with initiatives such as the Carbon Disclosure Project, the Climate Group’s RE100 initiative, and the Korean government’s Frontier 1.5D project. The CDMO has committed to transparent emissions disclosures, utilizing 100% renewable power, and keeping global temperature rises below 1.5 degrees Celsius from preindustrial levels.

Samsung Biologics has also established an active environmental, social, and governance committee, and has released two ESG reports detailing its progress toward sustainability goals since 2021. According to the most recent report, Samsung Biologics reduced its Scope 1 and 2 emissions by 32.3% from 2020 to 2021. The CDMO’s short-term goal in reducing these manufacturing emissions is a 32% emissions reduction and 30% renewable energy usage by 2030. Samsung Biologics also plans to reduce its Scope 3 emissions, those tied to nonmanufacturing supply chain activity such as materials transport, by 35.2% within this time frame.

“Samsung Biologics will remain fully committed to incorporating ESG values in all future business decisions and making a sustainable future together with our stakeholders,” said Rim in the report.