China pushes generics over brands with another round of new pharma policies

In a potential threat to foreign drugmakers profiting on innovative drugs, the Chinese government on Tuesday issued a new policy package—including tax breaks—to promote generics.

The package (Chinese) would allow certain qualified generics makers to be designated as high-tech enterprises, a label that comes with a 15% corporate tax rate, compared to 25% for other companies. The policy also makes clear that China considers compulsory patent licensing a bona fide option during public health emergencies or shortages of key drugs.

The government’s health department and recently rebranded drug regulator will compile and actively update a drug list that encourages companies to produce generic versions. That list will include medications for rare diseases, major infectious diseases and pediatric treatments, as well as important drugs that are running scarce.

(cr: FiercePharma)

 

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Generics squeeze forces Pharmaceuticals plant close

Teva will lay off 7,000 employees, exit dozens of markets by the end of this year and close 15 plants in the next two years as it tries to offset a deteriorating generics market that has gut-kicked sales of the generics leader.

(cr:http://www.fiercepharma.com/manufacturing/generics-squeeze-forces-novartis-colorado-plant-close-imperiling-450-jobs)

——–by Carly Helfand

 

The Swiss company’s Sandoz unit plans to scale back or nix production of some generic drugs, and as a result, it’ll close a 450-employee plant in Broomfield, Colorado, a Novartis spokesman said. The plant will shutter over the next two years, and Novartis will consolidate the production of drug ingredients at a plant in Wilson, North Carolina.

(cr:http://www.fiercepharma.com/pharma/teva-manufacturing-to-be-savaged-as-it-lays-off-7-000-closes-15-plants-to-cut-costs)

——-by Eric Palmer