Pharmaceutical sector in Europe needs expansion to preserve jobs and investments, cautionally emphasizes GSK executive
In a warning to the UK and Europe, GSK's CEO Emma Walmsley joins other industry leaders in stating that stronger support is needed for the pharmaceutical industry or risk losing out to the US in terms of jobs and investment. Walmsley asserted that investing in new drugs and vaccines is one of the best investments a country can make. She emphasized the importance of maintaining a competitive business environment for Europe and the UK.
These comments echo those of AstraZeneca's boss Pascal Soriot, who voiced concerns about the continent falling behind America as an attractive destination for businesses. On the matter, Walmsley added that America remains GSK's primary market, despite the growing threat of US tariffs.
Despite these challenges, GSK reported better-than-expected first-quarter results, with sales rising 2% to £7.5 billion and profits increasing 4% to £2.5 billion. The comments from industry leaders come at a crucial time for Europe, as the continent grapples with balancing support for its pharmaceutical sector while staying competitive on a global scale.
Keeping the industry thriving in Europe requires a multi-faceted approach. This may include streamlining regulatory processes, investing in sustainable manufacturing, and implementing strategies to ensure financial and strategic support. By addressing these issues, Europe can safeguard its pharmaceutical industry and counter the competitive edge of the US.
One potential solution is to modernize regulatory processes and clinical research, implementing digital tools to expedite approvals and reduce delays. Another solution is to invest in manufacturing and supply chain resilience, ensuring critical substances like PFAS and TiO2 are not subject to overly restrictive environmental policies.
Europe could also establish a Biotech and Life Sciences Index to improve access to capital for EU biotech firms and launch a Biotech for Europe Initiative for direct financing for R&D scale-up and biomanufacturing projects. Finally, aligning US trade policy responses with EU industrial goals and harmonizing pricing and reimbursement frameworks across member states can help Europe compete effectively with other global powers.
In summary, while the pharmaceutical industry faces challenges, particularly from the US, Europe can strengthen its position through strategic investments in research, manufacturing, and supportive regulations. By adopting these measures, the continent can retain its competitive edge and continue to contribute significantly to the global pharmaceutical landscape.
- GSK's CEO Emma Walmsley expressed concern that stronger support is needed for the pharmaceutical industry in Europe to avoid falling behind the US in terms of jobs and investment.
- In a similar vein, AstraZeneca's boss Pascal Soriot warned about Europe becoming less attractive for businesses in comparison to America.
- Walmsley stated that investing in new drugs and vaccines offers one of the best returns for a country's investment in its business environment.
- To maintain competitiveness, Europe may need to streamline regulatory processes, invest in sustainable manufacturing, and implement strategies to ensure financial and strategic support for its pharmaceutical sector.
- By modernizing regulatory processes, investing in manufacturing and supply chain resilience, and establishing a Biotech and Life Sciences Index, Europe can counter the competitive edge of the US and continue to contribute significantly to the global pharmaceutical landscape.
