Drug launches face fresh challenges
Keystone / Gaetan Bally
United States trade policy has exposed the Swiss pharmaceutical industry to a period of upheaval, according to Interpharma, which represents Switzerland’s research-based pharma firms.
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Switzerland is currently standing at a crossroads, said Interpharma president Jörg-Michael Rupp stated at the association’s annual media conference.
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The landscape for the pharmaceutical industry in Switzerland has fundamentally changed, and competition in the rest of the world is becoming increasingly fierce. “While we are not yet lagging behind the competition, we are gradually losing our leading position,” said Rupp.
Speakers, including Interpharma CEO René Buholzer, all emphasised geopolitical developments and new international rules of the game. They stressed that the country’s competitiveness, innovative strength, and attractiveness are all being put to the test.
Accordingly, policymakers are called upon to strengthen Switzerland’s position sustainably and to ensure that patients in Switzerland continue to have access to innovative medications.
The pharmaceutical industry is operating in a tense environment. Comapnies in large markets like the US and China are increasingly having to invest heavily in research and production to secure access to these key markets. This, in turn, puts pressure on Switzerland as a pharmaceutical hub.
Patient Care challenges
A central issue for the industry is also the ‘Most Favoured Nation’ regime, which treats foreign trading partners equally and does not permit discrimination. The inclusion of Switzerland as a reference country for setting drug prices in the US creates entirely new conditions for the global launch of innovative medications, the association warns.
“This poses major challenges for patient care, particularly in small markets like Switzerland, which has lower prices than its neighboring countries when adjusted for purchasing power.”
Anthony Schläpfer, from the consulting firm Executive Insight, explained that this presents greater risks for future market launches.
This is because prices outside the US directly influence US sales – the most profitable market. Some 46% of global pharmaceutical sales are generated there, compared to just 0.5% in Switzerland.
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The country’s competitiveness now depends on how quickly and decisively policymakers and industry respond to these challenges together. “We need modern, purchasing power-adjusted pricing models, an attractive framework for the rapid launch of new products, and constructive collaboration among all relevant stakeholders to secure and further develop Switzerland as a research and production hub,” said Interpharma.
Adapted from German by DeepL/mga
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