Moderna has decided to cancel its planned construction of an mRNA drug substance manufacturing facility in Japan, as the company continues to adopt a cost-conscious approach amid uncertain vaccine demand and market dynamics.

The US-based vaccine maker announced on Friday that it would not proceed with its project at the Shonan Health Innovation Park (iPark) in Fujisawa, Kanagawa Prefecture. The decision follows “careful consideration given the current business environment,” according to a statement from Moderna’s Japan unit.

Initially announced in 2023, the project was part of a strategic agreement aimed at supporting Japan’s efforts to establish a domestic vaccine manufacturing infrastructure. Moderna had committed to building two facilities in the region, in collaboration with Japanese stakeholders, as part of a broader initiative to bolster pandemic preparedness and strengthen local production capacity for mRNA-based vaccines.

However, changing market realities—including declining COVID-19 vaccine sales globally and uncertain future demand—have led Moderna to reassess its investments. The company has already implemented various cost-cutting measures and shifted its strategic focus towards advancing its broader mRNA pipeline, which includes investigational vaccines for influenza, RSV, and personalised cancer therapies.

While Moderna expressed gratitude for the support received from local authorities and stakeholders in Japan, it clarified that it would explore other ways to contribute to the country’s healthcare system and maintain its commercial presence.

The decision highlights the challenges vaccine developers face in a post-pandemic landscape, where long-term infrastructure investments are being reassessed in light of evolving global needs.