India's small and medium-sized generic drugmakers say the threat of tougher rules and higher barriers for outsiders in the US healthcare market will force many to find a niche or focus their expansion efforts on other countries.
India supplies nearly a third of medicines sold in the United States, the world's largest healthcare market. Cut-price generics sold by India's small- and medium-sized drugmakers have been critical in bringing down prices there. A more protectionist stance by President Donald Trump, with the prospect of import tariffs and the US boosting local drug manufacturing, mean the operating environment for smaller generic players will get worse, executives at Indian companies said. "If the challenges keep increasing, competition will reduce, and this could actually increase prices there," said DG Shah, secretary general of the Indian Pharmaceutical Association, which represents 20 large Indian drugmakers.
(Reference: http://health.economictimes.indiatimes.com/news/pharma/indian-drugmakers-face-squeeze-in-u-s-healthcare-market/57699348)