The British manufacturer AstraZeneca has warned about the potential consequences resulting from spending cuts within Germany’s healthcare system. According to Pascal Soriot, the head of the fifth-largest pharmaceutical company globally, it may become impossible to introduce new, research-based drugs onto the German market starting next year. Speaking to the “Handelsblatt” (Wednesday edition), Soriot stated, “This is not really a threat. We will be attacked, but we have no other choice”. He explained that the decision to avoid the German market and those of other European countries was based on simple mathematics, citing that the financial impact on the business is simply too large. The underlying reasons for this concern are the planned austerity measures within Germany’s healthcare system, coupled with pricing pressures coming from the USA.
Soriot heavily criticized the austerity package for statutory health insurance funds proposed by the federal government. The manager warned that if this proposal is implemented in Germany, it will restrict access to innovations, jeopardize jobs, and increase dependence on both China and the US. Specifically, he noted, “If German politics implements the austerity proposal, the USA will not be pleased with the decision-and there will be consequences for a potential EU-US agreement on drug prices”.
He added his concern that Europe risks losing its importance in the long term and becoming more dependent on imports. “If nothing happens, Europe will lose this industry-much like it has already lost the technology and automotive sectors” Soriot remarked.
In his view, the federal government’s current plans for the statutory health insurance savings package have damaged the industry’s confidence in the local location. “Numerous pharmaceutical companies that have made significant investments in Germany over recent years are disappointed because they believed Germany was moving in the right direction” he stated.
In the coming days, Soriot plans to hold further talks at the Chancellery with Thomas Schinecker, the head of Swiss competitor Roche, and several other pharmaceutical managers.