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[China Pharmaceutical network industry news] recently, the State Administration of Market Supervision issued a news that the monopoly of chlorpheniramine API enterprises was punished by 12.43 million yuan according to law The content shows that the two monopolized pharmaceutical companies have a dominant position in the market of chlorpheniramine API
Since February 2018, the two enterprises involved in the case have been closely linked and cooperated with each other, and they have abused their dominant market position, including: selling chlorphenamine APIs to downstream operators at an unfair high price; tying related pharmaceutical accessories when selling chlorphenamine APIs to downstream operators; refusing to supply chlorphenamine APIs to downstream operators or proposing to pay for them on the basis of "no goods" Under the unacceptable conditions of downstream operators, such as high margin, unified sale of drug repurchase, increase of drug price and sharing, the supply of chlorpheniramine API was refused in disguise The above behaviors violate the relevant provisions of the anti-monopoly law, which not only causes the price rise of APIs, damages the fair competition environment in the market, but also affects the interests of patients In response, the State Administration of market supervision imposed administrative penalties on the two enterprises, ordered them to stop their illegal acts and confiscated 12.4314 million yuan in total The data shows that chlorpheniramine is widely used as a raw material drug to produce more than 2000 kinds of cold and allergy drugs, including Biyan tablets, Weic Yinqiao Tablets and other commonly used drugs with large sales Industry rough estimates, behind the tens of billions, hundreds of billions of yuan of drug market capacity
According to the public report, the author found that since June 2018, the price of chlorpheniramine API has risen in a short time In August, the price of chlorpheniramine API has soared from 2300 yuan per kilogram to 12000 yuan, up about 58 times Some Guangdong pharmaceutical companies simply stopped producing drugs containing this ingredient because of high production cost and lack of access to the API Media had previously exposed that the API was due to "dealer control" leading to price increases According to the information released this time by the State Administration of market supervision, in July 2018, the State Administration of market supervision filed a case investigation on relevant chlorphenamine API enterprises on the basis of peripheral investigation It can be seen that the state attaches great importance to the supply of APIs, and "punches" against monopolistic behaviors to maintain fair market competition and normal supply of pharmaceuticals As far as I know, this is not the first time to impose a large fine on the monopoly of APIs On June 6, 2018, the State Administration of market supervision also released a news that "three manufacturers of glacial acetic acid API have been punished 12.83 million yuan for monopolistic behavior" After receiving the anti-monopoly investigation, the three enterprises have restored the sales price of glacial acetic acid API to a competitive state and guaranteed the normal supply of the market According to the industry, of the 1500 chemical APIs in China, only one of 50 APIs can be produced with the approval qualification, only two of 44 APIs can be produced, and only three of 40 APIs can be produced At the same time, due to the impact of environmental protection and strict approval, there are not many pharmaceutical factories with API production qualification This makes some API enterprises with dominant market position have the intention of monopoly According to the State Administration of market supervision, at present, there are many monopolistic behaviors in the field of APIs in China, leading to the price rise or shortage of downstream drugs The General Administration of market supervision will continue to strengthen anti-monopoly law enforcement in the field of APIs, severely crack down on monopoly price hikes and other monopoly behaviors, adhere to fast and heavy handling, maintain fair competition order in the API market, and protect the legitimate rights and interests of relevant operators and patients It can be seen that in the future, China will continue to crack down on the monopoly of APIs, and the production enterprises need to regulate their operations.