Full Breakdown
European Drugmakers Warn of Declining Global Share and Call for Faster Trials and Greater Funding
By Drooid · · How we work
Industry Alarm and Core Request
On September 22, the chairs of nine major European pharmaceutical companies—including AstraZeneca, GSK, Novo Nordisk, Roche, Novartis and Sanofi—issued an open letter urging EU and national governments to increase spending on medicines, accelerate clinical-trial timelines and strengthen intellectual-property protections. The signatories argue that without such measures Europe risks losing its position in the global drug-development arena to the United States and China.
Background and Recent Trends
European pharmaceutical research and development (R&D) has slipped from 43 % of global output in 1990 to 31 % today, according to the European Federation of Pharmaceutical Industries and Associations (EFPIA). The continent’s share of commercial clinical trials has fallen from 18 % to 9 % over the past decade, while China’s share has risen to nearly 30 %. Over the last two years, the United States and China have announced more than $600 billion in pharmaceutical investment, a scale the letter says Europe cannot match under current conditions.
Key Data Points
- R&D share: 31 % (Europe) vs. 43 % (1990) – EFPIA.
- Clinical-trial share: 9 % (Europe) vs. 18 % (ten years earlier) – EFPIA.
- Investment announced: > $600 billion in the US and China combined (letter).
- Drug-availability gap: Approximately 40 % of new therapies never reach European patients – letter.
- Potential economic gain: Closing the clinical-trial gap could generate €53 billion and create 82,000 jobs in Europe – industry body cited in the letter.
- Spending comparison: Europe spends about 1 % of GDP on pharmaceuticals, versus 2 % in the United States and 1.8 % in China – Reuters analysis.
Official Industry Position
The letter frames medicines as “strategic infrastructure” and calls for treatment of modern drugs on par with defence or energy sectors. The signatories also note that the slowdown in European regulatory processes contributes to longer time-to-market, with median approval times ranging from 56 days in Germany to 1,201 days in Romania (EFPIA data).
Projected Impact of Proposed Measures
If European governments were to adopt the suggested policies—greater fiscal flexibility for healthcare spending, expedited trial approvals and reinforced IP rights—the industry estimates could see a €53 billion boost to the economy and the creation of tens of thousands of high-skill jobs. Faster access to new therapies would also reduce the current gap where nearly half of newly approved treatments fail to reach European patients, potentially improving patient outcomes across the EU.