Last year's pharma export sales recorded KRW 11T

Exports to the U.S. and Hungary surged

Declined for two consecutive years since 2021→rebounded last year with a 29% hike

Exports to the 'U.S.' rank at the top, up 50% over the year…exports to 'Hungary' surged fourfold

Last year's export sales of Korea-made pharmaceuticals amounted to US$ 7.5 billion (approximately KRW 11 trillion), up 29% from the previous year.

 

Analysis indicates that a significant increase in biopharmaceutical exports of Samsung Biologics and Celltrion has contributed to the growth.

 

The largest exported country was the United States, with exports totaling US$ 1.3 billion (approximately KRW 1.98 trillion), up 50% from the previous year.

 

Export sales to Hungary increased more than fourfold over the year, reaching US$ 1.2 billion (approximately KRW 1.85 trillion), making it the second largest after the United States.

 

Pharmaceutical export sales reached US$ 7.54 billion last year…second largest in the history According to the Korea Customs Service on January 16, last year's Korean pharmaceutical export sales amounted to US$ 7.53 billion.

 

After the announcement of the endemic, export sales expanded to the largest size.

 

The export sales of domestically produced pharmaceuticals significantly increased during the COVID-19 pandemic.

 

In 2019, the export value was US$ 3.69 billion, which soared by 81% over the year to reach US$ 6.68 billion in 2020 as the pandemic intensified.

 

By 2021, this figure had further increased by 22%, reaching US$ 8.12 billion, setting an all-time high, primarily driven by the export sales of domestically developed COVID-19 vaccines.

 

After that, the sales decreased for two consecutive years until 2023.

 

In 2022, it decreased to US$ 6.27 billion, down 23% compared to the previous year.

 

In 2023, it further shrank to US$ 5.85 billion.

 

Last year, export sales rebounded successfully.

 

Compared to 2023, export sales rose by 29%.

 

It is the second largest after 2022.

 

Yearly pharmaceutical export sales (unit: US$ 1 million, source: Korea Customs Service)

The pharmaceutical industry considers that the export growth resulted from a significant increase in biopharmaceutical exports to the United States and Europe, primarily driven by Samsung Biologics and Celltrion.

 

As of Q3 last year, Samsung Biologics' cumulative export sales reached KRW 3.29 trillion, up 26% compared to KRW 2.62 trillion in the Year-over-Year (YoY).

 

This represents an annual export growth of over KRW 600 billion.

 

Considering its order backlog, Samsung Biologics is projected to achieve record-breaking yearly export performance.

 

Since 2015, Samsung Biologics has secured US$ 14.23 billion in orders as of Q3 last year.

 

Among this, US$ 7.49 billion of products have been delivered, leaving an order backlog of US$ 6.73 billion.

 

If the clients successfully develop their products, the estimated value of the order backlog could rise to US$ 12.31 billion.

 

Celltrion's cumulative export sales for Q3 also increased by 30%, from KRW 623.5 billion in 2023 to KRW 810 billion in 2024.

 

Additionally, SK Biopharm, GC Biopharma, Yuhan, Hugel, Dongwha, Daewon, and Boryung also had significant increases in export sales, contributing to the overall growth of pharmaceutical exports.

 

Pharmaceutical import sales reached US$ 8.98 billion, marking a 5% decrease compared to the previous year.

 

The pharmaceutical trade deficit narrowed with a significant increase in exports and a decline in imports.

 

The trade deficit improved from US$ 3.58 billion in 2023 to US$ 1.45 billion last year.

 

Exports to the US represent largest amount over three consecutive years…Hungary, a four-fold increase over the year Korea has exported the most to the United States the most.

 

Last year's pharmaceutical exports to the United States reached US$ 1.35 billion.

 

The United States accounts for 18% of the total pharmaceutical export sales.

 

Export sales to the United States quickly rose over the past two years.

 

It increased 7% from KRW 843.94 million in 2022 to KRW 933.0 million in 2023.

 

Last year, it increased over 50%.

 

In 2022, the United States became the largest export destination, replacing Germany.

 

Since then, it has maintained the top rank for three consecutive years.

 

Hungary ranked second in export sales after the United States.

 

Last year's export sales to Hungary reached US$ 1.26 billion, surging more than four-fold compared to US$ 316.27 million in 2023.

 

The top countries by pharmaceutical export sales 2023-2024 (unit: US$ 1 million, source: Korea Customs Service)

One of the reasons for the significant increase in exports to Hungary is Celltrion's expanded biosimilar export to Europe.

 

Hungary is Celltrion's export hub for the European market.

 

The company announced its plans to establish a direct sales system using its Hungarian subsidiary as the gateway for European exports.

 

As part of this strategy, shipments of Celltrion's biosimilars for the European market have been concentrated through its Hungarian subsidiary.

 

Celltrion's biosimilars, primarily Remsima SC, performed strongly in Europe last year.

 

The company's cumulative European export sales for Q3 of last year reached KRW 444.9 billion, up 57% compared to KRW 283.5 billion during the same period the previous year.

 

This growth is attributed to the expanded export coverage of Remsima SC to additional countries.

 

Followed in ranking were Germany, Switzerland, Türkiye, Belgium, Japan, Italy, Brazil, and the Netherlands.

 

Export sales increased YoY for all countries except Japan and the Netherlands.

 

Exports to Germany amounted to US$ 542.14 million, up 9% from US$ 495.40 million in 2023.

 

Exports to Switzerland recorded US$ 438.78 million, up by 61%.

 

Exports to Türkiye rose 14% to US$ 422.80 million, while Belgium saw a 29% increase, recording US$ 406.59 million.

 

Exports to Japan declined by 37% from US$ 528.47 million in 2023 to US$ 331.77 million.

 

In 2023, exports to Japan ranked second after the United States.

 

However, it went down to No.7 for last year.