According to reliable pharmaceutical industry sources, impending pricing reform will lead to even more expanded outsourcing of API and other pharmaceutical components as well as cost pressure. Continued emphasis on reducing medication prices may compromise traditional pricing models. The U.S. Congress is likely to drive reform of pricing models in light of the upcoming 2020 election, which will impact drug development and possibly accelerate the release of biosimilar and generic pharmaceutical versions, of which Ikigai Corporation is a reputable and established supplier.
In an effort to keep profits high, industry experts expect pharmaceutical companies to continue expanding the use of outsourced companies to reduce expenses. Most of the important operations in the channel of pharmaceutical distribution will continue to be outsourced by leading American and European manufacturers to Asian countries. Ikigai Corporation is uniquely positioned as a go-to partner and ally that not only operates as an API supplier but also takes responsibility for logistics and packaging. We apply our best-in-class capabilities to support increasingly profit-conscious international pharmaceutical corporations.
The global API market is segmented based on the type of business, synthesis, geographic location, and therapeutic applications. In terms of synthesis, the market is categorized into biotech API, synthetic API, and highly potent API. In 2018, synthetic API held the biggest share and is projected to experience consistent growth every year until 2025.
The primary business income of Chinese API manufacturing currently stands at what’s equivalent to USD 72.1 billion in local currency with an annual growth rate of approx. 15%. Our Chinese manufacturing partners reflect the country’s trend of advancing from merely a big industry player to global power. API export has reached USD 29.1 billion, growing by approx. 14% per annum.