Price Reductions for Obesity Medications Have Begun in China

Price Reductions by Eli Lilly and Novo Nordisk

Eli Lilly (LLY) and Novo Nordisk (NVO) are making significant price reductions in response to increasing competition in the obesity drug market in China. This strategic move has notably led to a decrease in prices, especially for GLP-1 based products.

Wegovy's Price Drop

According to China-based Yicai, Novo Nordisk has halved the list price of the two highest doses of its popular GLP-1 treatment Wegovy in some provinces. This discount was initiated due to the upcoming expiration of the patent for its active ingredient semaglutide in March.

Ease of Market Entry

The expiration of semaglutide’s patent presents significant opportunities for local drug manufacturers. Companies like CSPC Pharmaceutical Group and Hangzhou Jiuyuan Genetic Biopharmaceutical are preparing to launch their own versions of Wegovy. This will increase competition and provide consumers with more options.

Price Reductions and Market Trends

Eli Lilly announced that it will reduce the price of its GLP-1 drug Mounjaro used for weight loss starting January 1. On China’s popular food delivery platform Meituan, the 10 mg Mounjaro injector pen is listed at 445 yuan ($63), significantly lower than its previous price of 2,180 yuan.

Additionally, the obesity treatment Xinermei, launched by Innovent Biologics in July, has accelerated price reductions from Eli Lilly and Novo Nordisk as it enters the market. Xinermei has become the third GLP-1 injection available in China, following Wegovy and Mounjaro.