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AstraZeneca, Pfizer, Novartis and more lose out in China's latest round of drug price cuts
  • Publisher:Phexcom
  • Publication:2022/8/16

In another abysmal day for large pharma companies’ off-patent drugs, generics makers have once again offered hefty discounts to win large tender offers in China, elbowing out original developers.

In China’s latest volume-based procurement, more than 200 companies making 60 off-patent drugs slashed their prices by an average 48% to win supply contracts with public hospitals, state-run People’s Daily reports.

Eisai’s liver cancer drug Lenvima, AstraZeneca’s beta blocker Seloken/Toprol XL, Pfizer’s kidney cancer drug Sutent, Boehringer Ingelheim’s second-generation EGFR lung cancer med Giotrif, Roche’s first-generation EGFR inhibitor Tarceva and flu drug Tamiflu, Gilead Sciences’ antiviral Vemlidy (TAF), Novartis’ antiemetic Zofran and hormone therapy Sandostatin are among a long list of originators that are walking away empty handed.

Lenvima generics won tenders by lowering the drug’s average per-pill price from 108 Chinese yuan ($16.1) to 18 Chinese yuan ($2.7), according to People’s Daily. That means about 8,100 yuan in savings per treatment cycle.

Based on 2021 sales numbers, drugs included in the latest volume-based procurement (VBP) scheme cover a market of over 30 billion yuan ($4.5 billion) via public hospital channels, state-run CCTV reports.