Pharmaceuticals Industry Trends January 2024

Market Monitor

  • Australia,
  • Belgium,
  • Brazil,
  • Canada,
  • China,
  • Czech Republic,
  • Denmark,
  • Finland,
  • France,
  • Germany,
  • Hong Kong SAR,
  • Hungary,
  • India,
  • Indonesia,
  • Ireland,
  • Italy,
  • Japan,
  • Malaysia,
  • Mexico,
  • Netherlands,
  • New Zealand,
  • Philippines,
  • Poland,
  • Portugal,
  • Singapore,
  • Slovakia,
  • South Korea,
  • Spain,
  • Sweden,
  • Switzerland,
  • Taiwan,
  • Thailand,
  • Turkey,
  • United Arab Emirates,
  • USA,
  • United Kingdom,
  • Vietnam
  • Chemicals/Pharma

16th January 2024

Global output and sales growth pick up in 2024

Global pharmaceuticals output growth slowed to just 0.5% in 2023 - after a whopping 17.3% increase in 2021 and 6.8% in 2022. This spike was driven by the massive production of Covid vaccinations. In 2024, we expect global output and sales to increase by 4.6% and 5.1% respectively, mainly driven by the Asia Pacific region. Vaccine production will continue to support growth, although at a lower level than in previous years.

Producers of speciality products, medicines for chronic conditions and generic drugs will find opportunities for growth among ageing populations. Producers of medication for weight-loss are facing growth predictions of more than USD 75 billion by 2030. Improving access to healthcare within emerging markets will also support pharmaceuticals’ output and sales.

Potential constraints ahead

High inflation and interest rates have been impacting household spending power, leading to lower demand for products such as over-the counter medicines. The need to reduce fiscal deficits and government debt levels is also likely to affect public healthcare spending. Some markets including the EU, US and UK are imposing new or revised drug pricing regulations in a bid to lower state healthcare costs. This is meeting some resistance from the industry, which argues regulated pricing could impact their ability to invest in R&D.

That said, in general the industry has robust equity, solvency and liquidity. Most pharmaceuticals and biotech businesses are able to enjoy good access to external financing to help sustain high R&D expenditures.

Please download the report below to read more about the sector´s outlook in the Americas, Asia-Pacific and Europe.





Related documents

Disclaimer, no warranties and exclusion of liability

Atradius disclaims any representations or warranties of any kind, whether expressed or implied, including but not limited to implied warranties of merchantability and fitness for a particular purpose of (INCLUDING BUT NOT LIMITED TO) any information contained on or provided via this Web Site and/or any service described or promoted on this Web Site, including warranties with respect to infringement of any patent, copyright, or other rights of third parties. Atradius shall not be liable for any injury, loss, damage or expense arising out of any access to or use of this Web Site or any site linked to or from this Web Site, including, without limitation, any loss of profit, indirect, incidental or consequential loss. Atradius furthermore shall not be liable for persons, property damage or especially direct, indirect, incidental, consequential, immediate or subsequent (pecuniary) loss. While Atradius has used reasonable efforts in maintaining a virus-free Web Site, it declines any liability for persons, property damage or especially direct, indirect, incidental, consequential, immediate or subsequent (pecuniary) loss which may result from transmission or downloading of computer viruses. Atradius cannot be held liable for hardware damage, loss of data, alteration of data, or downtime.