EU Countries to Stop Buying Antibiotics and Other Drugs from India, China, Japan, and South-East Asian Countries

Thailand Pharma News: EU Aims to Cut Reliance on Asian Drug Suppliers
The European Union (EU) has announced plans to reduce its dependence on Asian countries such as China, India, and Japan for antibiotics and other essential medications. This initiative is part of the newly proposed Critical Medicines Act, which aims to strengthen Europe’s pharmaceutical supply chain and ensure a stable supply of critical drugs.


EU Countries to Stop Buying Antibiotics and Other Drugs from India, China, Japan, and South-East Asian Countries

The European Commission has identified vulnerabilities in the pharmaceutical supply chain that need urgent addressing. More than 80% of the active pharmaceutical ingredients (APIs) used in antibiotics across the EU currently come from Asia, primarily China. The bill calls for EU governments to stop awarding contracts based solely on price, a practice that has led to an influx of cheaper medicines from Asian manufacturers at the expense of European pharmaceutical companies. However, national health ministries will still have the final say in procurement decisions, balancing budgetary constraints with the need for a stable drug supply.
 
This Thailand Pharma News highlights how EU officials are pushing for a shift toward a more self-sufficient pharmaceutical industry while acknowledging the challenges that come with such a transition. EU leaders hope to encourage more local production and reduce the risks associated with over-reliance on foreign suppliers.
 
The Critical Medicines Act: A Push for Change
The Critical Medicines Act, unveiled as a key legislative move, is designed to prevent medicine shortages and ensure that critical drugs remain available across the EU. The European Medicines Agency (EMA) has compiled a list of 270 medicines that are considered crucial for health security. The Act seeks to establish a more resilient supply chain within Europe, emphasizing stability and accessibility.
https://health.ec.europa.eu/medicinal-products/legal-framework-governing-medicinal-products-human-use-eu/critical-medicines-act_en
 
One of the major aspects of this proposal is a shift in public procurement policies. Instead of prioritizing the lowest bidder, EU nations are encouraged to consider security of supply and local production when awarding contracts. This is expected to benefit European pharmaceutical companies, helping them compete with Asian manufacturers who currently dominate the market.
 
Health Commissioner Olivér Várhelyi stressed that the initiative is essential, especially in light of recent medicine shortages that have exposed weaknesses in the EU’s supply chain. “The Critical Medicines Act ensures that EU patients have access to the medicines they need when they need them, at an affordable price. Given the current geopolitical landscape, this has become an even greater priority,&rd quo; he stated.
 
Why the EU is Moving Away from Asian Suppliers
The COVID-19 pandemic was a wake-up call for the EU, exposing the dangers of relying heavily on a few countries for essential medical supplies. When global supply chains were disrupted, European nations struggled to secure adequate stocks of medicines, vaccines, and medical equipment. This dependence on foreign suppliers created vulnerabilities that the EU now seeks to mitigate.
 
Another driving force behind the shift is the growing geopolitical tension between China and Western nations. The possibility of trade restrictions or economic conflicts has raised concerns about the stability of pharmaceutical imports from China and India. Furthermore, the return of Donald Trump to the White House and his proposed 25% tariffs on pharmaceutical imports have prompted European leaders to reconsider their reliance on non-EU suppliers.
 
The “Buy European” Initiative
One of the core strategies of the Critical Medicines Act is the introduction of a “Buy European” principle. This mechanism prioritizes suppliers that manufacture a significant portion of their products within the EU. This move is expected to encourage investment in local pharmaceutical manufacturing and reduce external dependencies.
 
The proposal also includes the establishment of strategic projects aimed at boosting the EU’s capacity to produce critical medicines. These projects will benefit from streamlined regulatory processes, financial incentives, and fast-tracked approvals, making it easier for European companies to expand their production capabilities.
 
Challenges and Concerns
Despite the ambitious goals of the Critical Medicines Act, concerns remain regarding its feasibility and impact. Critics argue that European pharmaceutical manufacturing is significantly more expensive than in Asia due to higher labor and environmental standards. A report by the Critical Medicines Alliance estimates that producing generic medicines in Europe is 20-40% more expensive than in Asia.
 
Additionally, some EU member states may struggle to implement the Act due to budgetary constraints. Countries with already stretched healthcare budgets might find it difficult to justify higher spending on locally produced medicines when cheaper alternatives are available from China and India.
 
Tilly Metz, a Green Party Member of the European Parliament (MEP), expressed concerns that the proposal does not go far enough. “Joint procurement and just accelerating the processes is not enough. We need a more comprehensive strategy to ensure long-term sustainability,” she said.
 
On the other hand, Romanian liberal MEP Vlad Voiculescu welcomed the proposal as a step in the right direction but emphasized that it needs to be backed by adequate funding and national legislation. The European Patients’ Forum (EPF), which represents around 78 patient organizations from 21 countries, also stressed the importance of making medicines accessible and affordable while ensuring supply security.
 
Conclusion: What Lies Ahead for EU Pharma Policies?
The EU’s move to cut reliance on Asia for medicines marks a significant shift in its pharmaceutical policies. While the Critical Medicines Act sets ambitious goals for securing a more resilient supply chain, several hurdles must be overcome. High production costs, limited funding, and national budget constraints could slow down the transition toward a more self-sufficient pharmaceutical industry.
 
Nevertheless, the Act is a crucial step in ensuring that Europe is better prepared for future healthcare crises. By diversifying supply chains and encouraging local production, the EU aims to reduce its exposure to geopolitical risks and safeguard access to essential medicines. Whether this initiative will succeed in fully reshoring pharmaceutical production remains to be seen, but it signals a clear intent to strengthen Europe’s healthcare security.
 
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