Europe’s last end-to-end antibiotics maker says it’s at ‘breaking point’
Sandoz, the world’s largest producer of generic antibiotics, has filed a draft anti-dumping complaint with the European Commission over alleged unfair pricing practices in the antibiotics market
Sandoz, which operates Europe’s last major end-to-end antibiotics manufacturing chain at its Kundl plant in Austria, has warned that below-cost imports from China of the active pharmaceutical ingredients (APIs) used to produce amoxicillin are threatening the EU’s capacity to manufacture essential medicines.
In a statement to Vital Signs, Sandoz said it had filed a draft anti-dumping complaint with the European Commission because the situation had reached "breaking point", due to sustained below-cost pricing and clear market distortions putting Europe’s last major antibiotic manufacturer at risk.
The company says the complaint contains evidence of practices that appear to be incompatible with “fair, rules-based international trade”.
“Sandoz is not seeking protection from fair competition, but a level playing field for the industry that allows sustainable, high-quality production in Europe to continue,” the company said.
The move comes amid increasing concern in Brussels about Europe’s dependence on overseas pharmaceutical supply chains, particularly for critical medicines. Industry groups and policymakers have repeatedly warned that reliance on imported APIs from India and China could expose Europe to shortages during future crises - as it did during COVID.
Sandoz argued that maintaining domestic antibiotics production is a matter of strategic importance. “Safeguarding antibiotic manufacturing is not only an industrial issue, but a matter of health security and strategic resilience,” the company said. “What is needed now is timely action to restore fair competition and ensure Europe can continue to rely on a secure supply of essential medicines.”
A European Commission spokesperson declined to confirm whether a formal complaint had been received, citing confidentiality obligations. The spokesperson noted that if a complaint is accepted, an investigation must normally be initiated within 45 days of its lodging.
Catherine Feore