Swiss generic drug giant Sandoz announced on Thursday (May 28) that it has submitted a draft anti-dumping complaint to the European Commission regarding the antibiotic ingredient amoxicillin from China, in order to defend fair competition and manufacturing capabilities in Europe.
According to Sandoz, Chinese suppliers benefit from substantial subsidies, allowing them to offer antibiotics at very low prices, thereby distorting market competition. The company warned that due to the unsustainable market conditions, existing production capacities in Europe are at risk, and European policymakers need to take urgent action before it is too late.
In a statement, Sandoz stated, “The reality is that up to 90% of the active pharmaceutical ingredients for antibiotics worldwide are produced outside Europe, mainly concentrated in China. This is a critical vulnerability that will directly impact public health, crisis response preparedness, and Europe’s ability to defend its position in a rapidly changing world.” Sandoz added, “Securing antibiotic production in Europe is not a choice but a strategic necessity.”
The pharmaceutical giant particularly criticized the role of Chinese suppliers, accusing them of using substantial subsidies to sell antibiotics at low prices to influence the market.
“I do not believe that politicians are unaware of this.” Sandoz CEO Richard Saynor said in an interview with AWP. He believes that European decision-makers have been “indecisive for too long.”
“Sandoz has submitted a draft anti-dumping complaint to the European Commission regarding the import of amoxicillin active pharmaceutical ingredients from China, citing significant market distortions, including persistently low prices, national subsidies, and global production concentration in one country. This milestone action is the first of its kind in the pharmaceutical industry in decades,” Sandoz stated in the announcement.
CEO Saynor stated that the current market environment does not reflect fair competition—it systematically weakens resilient European production capabilities, placing them under distinctly unequal competitive conditions, potentially leading to the loss of critical manufacturing capacities. He also mentioned that without urgent political action, Europe faces the risk of losing key manufacturing capabilities and overall security infrastructure.
Sandoz called on the EU in the complaint to impose anti-dumping duties to protect the EU’s antibiotic supply chain. India has taken action by setting minimum import prices to safeguard its own supply chain.
The company stated in the announcement, “In today’s turbulent geopolitical environment, access to essential medications, especially antibiotics, is more strategically significant than ever before.”
Saynor concluded, “Ensuring antibiotic supply is not only a healthcare policy issue but also an economic security and strategic trade policy issue. Europe must take immediate action to ensure independent supply in the years to come.”