Invest
EU policy reforms and pharma investments highlight shifting industry priorities
Invest
EU policy reforms and pharma investments highlight shifting industry priorities
In a significant move to bolster the pharmaceutical landscape across Europe, the European Parliament's rapporteur has unveiled draft reforms to the proposed EU Critical Medicines Act. These reforms aim to enhance investment in domestic manufacturing and expand stockpiling measures, ensuring a steady supply of medicines across EU member states. The draft legislation broadens the definition of "medicines of common interest" and extends investment incentives beyond just critical medicines. It also introduces multi-winner procurement, minimum supply commitments, and an EU coordination mechanism to manage shortages. This initiative signals a shift in industry priorities, according to GlobalData, a leading data and analytics company.
EU policy reforms and pharma investments highlight shifting industry priorities
In a significant move to bolster the pharmaceutical landscape across Europe, the European Parliament's rapporteur has unveiled draft reforms to the proposed EU Critical Medicines Act. These reforms aim to enhance investment in domestic manufacturing and expand stockpiling measures, ensuring a steady supply of medicines across EU member states. The draft legislation broadens the definition of "medicines of common interest" and extends investment incentives beyond just critical medicines. It also introduces multi-winner procurement, minimum supply commitments, and an EU coordination mechanism to manage shortages. This initiative signals a shift in industry priorities, according to GlobalData, a leading data and analytics company.
Eóin Ryan, Manager of Health Economics and Market Access at GlobalData, commented on the implications of these proposals: “The proposals strengthen investment channels for both common and critical medicines and reinforce Europe’s manufacturing base. However, expanding stockpiling obligations could increase administrative and cost burdens for companies already facing tight margins.”
The discussions surrounding these reforms are set to continue into 2026, as the EU seeks to strike a balance between strategic autonomy and market efficiency. The emphasis on domestic manufacturing and stockpiling is seen as a response to recent global supply chain disruptions and the need for Europe to ensure its pharmaceutical independence.
In parallel with these policy developments, significant investments in the pharmaceutical sector are unfolding on the other side of the Atlantic. GlobalData’s Bio/Pharmaceutical Outsourcing Report highlights GSK's announcement of a massive $30 billion, five-year investment to expand its R&D and manufacturing capabilities in the United States. This investment includes $1.2 billion earmarked for advanced technologies and the construction of a new biologics flex factory in Upper Merion, Pennsylvania, slated to begin in 2026.
GSK CEO Emma Walmsley has emphasised the company's continued commitment to its UK roots, stating that GSK will keep investing over $2.3 billion annually in research and development. This dual investment strategy underscores GSK’s approach to balancing its global presence. Janet Beal, Managing Analyst for Health Economics and Market Access at GlobalData, noted: “GSK’s dual investment strategy demonstrates a clear commitment to strengthening its US footprint while maintaining confidence in its UK base. This approach reflects a broader industry trend to balance global competitiveness amid shifting policy and trade dynamics.”
The landscape of pharmaceutical investment is further enriched by FUJIFILM Biotechnologies USA's announcement of a $2 billion investment, funded by Johnson & Johnson. This investment will be used to construct a 160,000-square-foot facility at its Holly Springs site, creating approximately 120 new jobs and expanding US capacity for advanced medicines. Meanwhile, Capitol Biologics is set to offer comprehensive early-phase biologics development and GMP manufacturing services for private biotech firms and US government agencies. These services will adhere to a unified quality system aligned with FDA, EMA, and ICH standards.
The Bio/Pharmaceutical Outsourcing Report, a monthly analysis of trends affecting pharmaceutical contract manufacturing organisations (CMOs), provides insights into the latest contract manufacturing agreements, opportunities, and threats for CMOs, as well as mergers and acquisitions and emerging regulatory news.
These developments highlight a broader trend within the pharmaceutical industry, where companies are navigating a complex web of policy changes and investment opportunities to secure their positions in an increasingly competitive global market. As the EU works towards greater strategic autonomy, and companies like GSK and FUJIFILM Biotechnologies USA expand their investment portfolios, the industry is poised for transformative changes that could redefine the future of pharmaceutical manufacturing and supply.
RELATED ARTICLES
Investment insights
State Street warns of potential rate cuts as unemployment rises
In a development that has captured the attention of financial analysts and policymakers alike, the latest Labour Force data released today reveals a significant shift in Australia's employment ...Read more
Investment insights
Gold’s new playbook: from safe haven to strategic reserve as prices hit records
Gold’s rally to record territory in 2025 is not a speculative sideshow—it is a structural signal. With central banks accelerating diversification away from US Treasuries, real yields easing, and ...Read more
Investment insights
Investors maintain positive sentiment amid geopolitical uncertainties
In a surprising show of resilience, investors maintained a positive outlook in September, according to the latest State Street Institutional Investor Indicators released by State Street MarketsRead more
Investment insights
Women in Finance Awards 2025: A leading indicator for talent, performance and regulatory readiness
A record 617 submissions and 236 finalists in this year’s Women in Finance Awards signal more than celebration—they’re a proxy measure of talent pipeline strength across Australia’s financial servicesRead more
Investment insights
Brokers turn complaints into gold by transforming compliance into strategy
Complaint volumes aren’t just rising — they’re getting harder, touching product suitability, vulnerable customers and data use. With brokers now originating the majority of Australian home loans, the ...Read more
Investment insights
Australia’s growth beat is real — but it’s running on the wrong engine
Australia’s June-quarter expansion surprised to the upside, powered by households and government even as public investment sagged. The composition matters: consumption rose faster than essentials, and ...Read more
Investment insights
Australia’s 5% deposit reboot: who wins, who pays, and what changes from 1 October
By pulling forward and widening the 5% Home Guarantee Scheme, Canberra has reset the entry point to home ownership — and the chessboard for banks, brokers, developers and insurers. The higher price ...Read more
Investment insights
Australian investors undeterred amidst global uncertainty, prioritise financial security, tech stocks, and tangible goals
In a world marked by economic fluctuations and geopolitical uncertainties, Australian investors are showing resilience and confidence, according to a recent survey by wealth app SharesiesRead more
Investment insights
State Street warns of potential rate cuts as unemployment rises
In a development that has captured the attention of financial analysts and policymakers alike, the latest Labour Force data released today reveals a significant shift in Australia's employment ...Read more
Investment insights
Gold’s new playbook: from safe haven to strategic reserve as prices hit records
Gold’s rally to record territory in 2025 is not a speculative sideshow—it is a structural signal. With central banks accelerating diversification away from US Treasuries, real yields easing, and ...Read more
Investment insights
Investors maintain positive sentiment amid geopolitical uncertainties
In a surprising show of resilience, investors maintained a positive outlook in September, according to the latest State Street Institutional Investor Indicators released by State Street MarketsRead more
Investment insights
Women in Finance Awards 2025: A leading indicator for talent, performance and regulatory readiness
A record 617 submissions and 236 finalists in this year’s Women in Finance Awards signal more than celebration—they’re a proxy measure of talent pipeline strength across Australia’s financial servicesRead more
Investment insights
Brokers turn complaints into gold by transforming compliance into strategy
Complaint volumes aren’t just rising — they’re getting harder, touching product suitability, vulnerable customers and data use. With brokers now originating the majority of Australian home loans, the ...Read more
Investment insights
Australia’s growth beat is real — but it’s running on the wrong engine
Australia’s June-quarter expansion surprised to the upside, powered by households and government even as public investment sagged. The composition matters: consumption rose faster than essentials, and ...Read more
Investment insights
Australia’s 5% deposit reboot: who wins, who pays, and what changes from 1 October
By pulling forward and widening the 5% Home Guarantee Scheme, Canberra has reset the entry point to home ownership — and the chessboard for banks, brokers, developers and insurers. The higher price ...Read more
Investment insights
Australian investors undeterred amidst global uncertainty, prioritise financial security, tech stocks, and tangible goals
In a world marked by economic fluctuations and geopolitical uncertainties, Australian investors are showing resilience and confidence, according to a recent survey by wealth app SharesiesRead more
