Pharma Giants Eye US Market Growth with Complex Generics by 2025

Indian pharmaceutical firms, having gained from favorable sector trends like steady generic pricing and opportunities arising from shortages, alongside stable raw material costs over the last 18-24 months, are expected to advance further in differentiated and complex generics in the US market by 2025.

As stated in a note from HSBC Global Research, these positive factors are expected to persist into 2025 since “we don’t see major changes on the demand-supply dynamics.”

“In 2025, we assume Indian companies will make further progress in differentiated/complex generics (peptides, inhalers) in the US with the potential launches of gAbraxane, gAdvair inhaler and peptides, etc,” according to the note.

Advancements in complex generics and biosimilars are expected to stay in the spotlight since they will be essential for managing the decline of gRevlimid and maintaining growth. In the wake of consistent generic pricing, “we believe the execution of key launches (gAbraxane for Cipla) will determine the course of the US sales in 2025" 

According to HSBC, Indian companies will start their journey in GLP-1 drugs with the launch of generic liraglutide (though generics for new-gen GLP-1 drugs are distant in the US).

“We assume the Indian pharma market (IPM) continues to grow by high-single digits, led by price increase and new launches,” it added.

In additional markets as well (India and emerging economies), businesses persist in concentrating on unique opportunities like OTC items, biosimilars, and patented goods. For India's formulations sector, the global research firm projected that the overall Indian pharma market (IPM) expands at a high single-digit rate.