Pharma exports exceed ₩9 trillion in 2021

a 2.2 time increase in 2 years

$3.7 billion in 2019 → $8.1 billion in 2021… strong performance of biopharmaceuticals

$9.8 billion dollars in pharmaceutical imports… rose 32% due to introduction of COVID-19 vaccines

Sale of ‘K-diagnostic kits’ slow down $2.2 billion→$2 billion due to intensified global competition

Pharmaceutical exports in Korea have exceeded ₩9 trillion last year.

 

With exports increasing around biopharmaceuticals, sales of the drugs increased over 2.2 times over the past 2 years.

 

Imports have also reached record-high, influenced by the increased import of Pfizer and Moderna’s COVID-19 vaccines.

 

On the other hand, the export of diagnostic kits that have surged after the COVID-19 outbreak has slowed down.

 

◆Export of pharmaceuticals exceed $8 billion… led by Samsung Biologics and SK Bioscience According to the Korea Customs Service on the 16th, pharmaceutical exports last year amounted to $8,121,440,000 (approximately ₩9.69 trillion) (based on the exchange rate on the 16th of $1 to ₩1,190).

 

This is a 18% increase from the $6,893,550,000 (approximately ₩8.20 trillion) in 2020.

 

With such a surge in exports for 2 consecutive years, exports increased 2.2 times last year compared to 2 years ago.

 

In 2020, exports increased 87% from the $3,695,910,000 (approximately ₩4.4 trillion) in 2019.

 

Annual Pharma exports 2010-2021

The export of biopharmaceuticals has led the increase in exports.

 

In 2021, export of biopharmaceuticals recorded $6,007,230,000 (approximately ₩7.15 trillion).

 

This is a 24% increase from the $4,906,870,000 (approximately ₩5.84 trillion).

 

In the same period, export of chemical drugs increased only 3% from $1,986,680,000 (approximately ₩2.36 trillion) to $2,049,150,000 (approximately ₩2.44 trillion).

 

This increased export of biopharmaceuticals was led by Samsung Biologics and SK Bioscience.

 

The accumulated exports of Samsung Biologics by Q3 last year was ₩930 billion, a 50% increase from the ₩620.4 billion in Q3 2020.

 

In the same period, exports of SK Bioscience increased by over 14 times from ₩11.3 billion to ₩161.3 billion.

 

CMOs of COVID-19 vaccines are expected to have directly influenced this increase in exports in the two companies.

 

Samsung Biologics signed a CMO agreement with Moderna for the COVID-19 vaccine in May last year.

 

Manufacture of Moderna’s vaccine began in earnest from Q3, sharply increasing the company’s exports this year.

 

SK Bioscience signed a CMO contract with AstraZeneca to manufacture its COVID-19 vaccine from July 2020.

 

Although the contract has expired at the end of last year, the company had recorded record amounts through exports of vaccine solutions and finished products.

 

This year, the company plans to manufacture the Novavax COVID-19 vaccine in full this year.

 

◆Import of pharmaceuticals exceeds ₩10 trillion … due to the import of COVID-19 vaccine Imports of pharmaceuticals in Korea had also exceeded ₩10 trillion for the first time.

 

Import of pharmaceuticals recorded $9,828,760,000 (₩11.7 trillion) last year, a 32% increase from the $7,432,960,000 (₩8.85 trillion).

 

Such a great increase in exports is analyzed to have been greatly influenced by the import of COVID-19 vaccines.

 

The import of COVID-19 vaccines in Korea had recorded $345,230,000 (₩410 billion) in 2020 and increased over 6 times last year to record $2,355,260,000 (₩2.8 trillion).

 

Monthly imports showed that the amount was around $300,000,000 (₩360 billion) until March before Pfizer’s COVID-19 vaccine started to be imported in earnest, then jumped to $500,000,000 (₩600 billion) since April.

 

Since June when Moderna’s vaccine was added to the imports, the amount surged to exceed $1,000,000,000 (₩1.19 trillion).

 

Vaccine imports in September last year recorded the highest amount with $6,800,000,000 (₩8.9 trillion).

 

◆Export of the once-leading export product ‘K-diagnostic kits’ fell 6% … due to intensified global competition Sales of diagnostic kits that had settled as a leading export item in Korea since the COVID-19 outbreak had somewhat faltered.

 

Its amount fell 6% from the $2,170,870,000 (₩2.58 trillion) in 2020.

 

Last year, export of diagnostic kits recorded $2,046,670,000 (₩2.44 trillion).

 

This was a 6% decrease from the $2,170,870,000 (₩2.58 trillion) in 2020.

 

The domestic diagnostic kits have enjoyed a surge in sales since April 2020, when the COVID-19 broke out in full.

 

Demand had risen across the globe to the extent that was unable to be met by the short supply.

 

The performance of domestic diagnostic kit companies that quickly entered the market had improved greatly.

 

However, since Q4 2020, the prolonged COVID-19 outbreak had increased the competition and reduced the unit price of products, consequently reducing the export amount.

 

In fact, the export weight of domestic diagnostic kits had increased 48% from 5832 tons in 2020 to 8659 tons last year.

 

In other words, the export weight increased by 1.5 times but the amount earned from exports had actually decreased.