Pharmaceuticals - Southeast Asia

Southeast Asia

In 2024, the projected revenue in the Pharmaceuticals market in Southeast Asia is expected to reach US$14.29bn.
The largest market within this market is Oncology Drugs, which is projected to have a market volume of US$2.17bn in 2024.
It is anticipated that the revenue will experience an annual growth rate (CAGR 2024-2029) of 4.04%, resulting in a market volume of US$17.42bn by 2029.
When compared globally, United States is expected to generate the highest revenue, amounting to US$630.30bn in 2024.
In Singapore, the pharmaceutical market is experiencing a surge in demand for innovative biotech drugs.

Key regions: United States, China, Germany, Japan, Europe

Definition:
The Pharmaceuticals market covers remedies used to cure, treat, prevent, and diagnose diseases. These small molecule drugs or biologic medical products may be called drugs, medications, or medicines. Prescription drugs and over-the-counter (OTC) drugs are both included. Next generation therapies are also part of the Pharmaceuticals market and include gene therapy, cell therapy, and nucleic acid therapy. Cell therapies involve the use of living cells to replace or repair damaged tissues within the patient's body, or to modify cells to perform specific functions. Gene therapies focus on altering a patient’s genetic material to regulate the production of certain proteins. Nucleic acid therapies use short strands of DNA or RNA to inhibit the production of harmful proteins associated with diseases and promote the generation of therapeutic proteins. Depending on the regulations in each country, these products are provided by pharmacies, hospitals, physicians, and/or drug stores, and/or they can be bought elsewhere. They may be administered in the form of pills, capsules, gels, ointments, injections, infusions, lozenges, or aerosols/sprays.

Structure:
The market is subdivided into Oncology Drugs, Anti-Diabetes Drugs, Anti-Rheumatic Drugs, Vaccines, Dermatological Drugs, Antiviral Drugs, Immunosuppressants, Bronchodilator Drugs, Sensory Organ Drugs, Anti-Hypertensive Drugs, Anti-Coagulants, Anti-Fibrinolytic Drugs, Multiple Sclerosis Drugs, Lipid-Lowering Agents and Other Pharmaceuticals. The Pharmaceuticals market is organized in markets that cover drugs used in specific medical fields, i.e., medicines for a specific disesase or a certain type of medicine. They include original brands, biosimilars, generics, and orphan drugs.The Oncology Drugs market covers pharmaceutical products specifically developed for the treatment and management of various cancers. The Anti-Diabetes Drugs market covers medications designed to manage blood glucose levels and improve insulin sensitivity in individuals with diabetes. The market Anti-Rheumatic Drugs includes pharmaceuticals specifically developed to alleviate symptoms, reduce inflammation, and modify the progression of rheumatic diseases. The Dermatological Drugs market covers pharmaceuticals formulated to treat and manage a wide range of skin conditions such as eczema, acne, and rosacea. The Antiviral Drugs market includes medications designed to treat viral infections and reducing the severity and duration of symptoms. The Immunosuppressants market covers pharmaceuticals that suppress the immune system's activity. The Bronchodilator Drugs market covers pharmaceuticals designed to relax and widen the airways in the lungs. The Sensory Organ Drugs market covers pharmaceuticals targeting the treatment of disorders and conditions affecting sensory organs such as the eyes, ears and nose. The Anti-hypertensive Drugs market covers pharmaceuticals designed to lower blood pressure levels. The Anti-Coagulants Drugs market covers pharmaceuticals developed to prevent the formation of blood clots or to dissolve existing clots. The Anti-Fibrinolytics Drugs market covers pharmaceuticals designed to inhibit the breakdown of blood clots. The Multiple Sclerosis Drugs market covers pharmaceuticals aimed at managing and modifying the course of multiple sclerosis. The Lipid-Lowering Agents market covers pharmaceuticals developed to reduce levels of cholesterol and other lipids in the blood. The Other Pharmaceuticals market provides information on additional specialties that are not covered by the main markets.

Additional information:
Market values represent the revenues generated by manufacture prices paid to primary vendors, either directly or through distribution channels (excluding VAT). Reported market revenues include spending by consumers (B2C), companies (B2B), and governments (B2G).

Company examples: Novartis, Roche, Pfizer, Merck & Co, Johnson & Johnson, AbbVie, Sanofi.

Market

Region

Region comparison

Currency

Analyst Opinion

The Pharmaceuticals market in Southeast Asia has been experiencing significant growth in recent years.

Customer preferences: Customers in Southeast Asia are increasingly seeking out high-quality and affordable pharmaceutical products. This has led to a rise in demand for both generic and branded medicines, as well as an increase in the use of over-the-counter drugs. In addition, there is a growing trend towards natural and alternative medicines, as consumers become more health-conscious and seek out products that are perceived as being more natural and less harmful.

Trends in the market: In Indonesia, the largest pharmaceutical market in Southeast Asia, the government has been taking steps to increase access to healthcare for its citizens. This has led to an expansion of the pharmaceutical industry, with both domestic and international companies investing in the market. In addition, there has been a trend towards the development of biosimilars, which are cheaper alternatives to expensive biologic drugs.In Thailand, the government has been promoting the development of the pharmaceutical industry as part of its efforts to become a hub for medical tourism. This has led to an increase in the production of generic drugs, as well as a rise in the number of clinical trials being conducted in the country.In the Philippines, the government has been implementing reforms to improve access to healthcare and reduce the cost of medicines. This has led to an increase in the use of generic drugs, as well as a rise in the production of locally manufactured pharmaceutical products.

Local special circumstances: One of the main challenges facing the pharmaceutical industry in Southeast Asia is the lack of regulatory harmonization across the region. Each country has its own set of regulations and requirements, which can make it difficult for companies to operate in multiple markets. In addition, there are issues with intellectual property rights and counterfeiting, which can pose a significant risk to both consumers and companies.

Underlying macroeconomic factors: The growth of the pharmaceutical industry in Southeast Asia is being driven by a number of underlying macroeconomic factors. These include rising incomes, a growing middle class, and an aging population. In addition, there is a trend towards urbanization, which is leading to an increase in demand for healthcare services. Finally, there is a growing awareness of the importance of healthcare and wellness, which is driving demand for pharmaceutical products across the region.

Methodology

Data coverage:

Data encompasses B2B, B2G, and B2C spend. Figures are based on drug revenues allocated to the country where the money is spent. Monetary values are given at manufacturer price level excluding VAT.

Modeling approach / Market size:

Market sizes are determined by a top-down approach, based on a specific rationale for each market. As a basis for evaluating markets, we use financial information of the key players by market. Next, we use relevant key market indicators and data from country-specific associations, such as industry associations. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, forecasts are based on historical developments, current trends, and key market indicators, using advanced statistical methods. The main driver is healthcare expenditure. Expiring patents and new drugs in the pipeline are also considered.

Additional notes:

Data is modeled in US$ using current exchange rates. The market is updated twice per year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. This market comprises prescription drugs and all OTC drugs covered in the Statista OTC Pharmaceuticals market. However, in the OTC Pharmaceuticals market, revenues are based on end-consumer prices.