UPS is investing $48 million to build 27 temperature-controlled facilities across the Americas, Europe and Asia to expand its cold-chain network for refrigeration-dependent pharmaceuticals. Weight-loss drugs Wegovy and Ozempic are key drivers of this expansion, enhancing distribution reliability for manufacturers like Novo Nordisk.
UPS is building out 27 new temperature-controlled cross-dock facilities in the Americas, Europe and Asia at a cost of $48 million to bolster its end-to-end cold-chain logistics network for pharmaceuticals that require continuous refrigeration.
Surging demand for weight-loss drugs Wegovy and Ozempic, both manufactured by Novo Nordisk, is a primary catalyst for this investment, as these biologics must remain refrigerated throughout the supply chain to maintain efficacy and safety.
The temperature-sensitive biologics segment is forecast to grow at an 8.3% CAGR to reach $39.1 billion by 2033, while industry data shows nearly half of global vaccines are lost annually due to cold-chain failures, underscoring the need for robust logistics.
Enhanced cold-chain capacity and geographic coverage should reduce spoilage risks and support more reliable delivery of Novo Nordisk’s refrigerated products, potentially improving patient access and protecting revenue from temperature-sensitive therapies.
