Price of Jardiance, Xeljanz cut 30% with entry of generics

Price of Xeljanz XR and Jardiance Duo also reduced in linked price cuts

After 1 year, the original drug premium will expire, and prices will match generics

Price adjustments also applied to Angelic Tab and Ambisome Inj

The diabetes treatment Jardiance (empagliflozin, Boehringer Ingelheim) and the rheumatoid arthritis treatment Xeljanz (tofacitinib citrate, Pfizer) will have their maximum insurance prices officially reduced due to the listing of generic versions.

 

When a therapeutically equivalent product is newly listed, the price ceiling is adjusted to 53.55%, and a one-year 70% add-on premium is applied.

 

As a result, starting in December, the previous prices will drop by 30 percentage points.

 

According to industry sources on the 21st, starting December, the price of Xeljanz 5mg Tab will decrease from KRW 10,996 to KRW 7,697, and Xeljanz 10mg Tab will decrease from KRW 18,250 to KRW 12,775.

 

Additionally, the price of Jardiance 10mg Tab will be adjusted from KRW 582 to KRW 408, and Jardiance 25mg Tab from KRW 762 to KRW 533.

 

This price adjustment is due to the inclusion of generic drugs in the reimbursement list.

 

With the substance patent for Xeljanz expiring on the 22nd of this month, 17 products from 12 companies, including those from Daewoong Pharmaceutical and Chong Kun Dang, will be reimbursed starting on the 23rd.

 

Generic versions of Jardiance also entered the market en masse in October.

 

Following the expiration of the substance patent, 235 products from 37 companies were listed for reimbursement on October 24.

 

Both products are achieving high sales in the market.

 

Jardiance recorded KRW 66.3 billion last year based on UBIST data, while the combination product Jardiance Duo recorded KRW 41.8 billion, boasting a combined market size exceeding KRW 100 billion.

 

Xeljanz also secured market presence with KRW 14.3 billion in outpatient prescriptions.

 

The ex officio price reductions made for the extended-release and combination formulations are expected to cause significant concern for Pfizer and Boehringer.

 

Starting December, the price ceiling of Xeljanz XR 11mg will drop from KRW 22,169 to KRW 17,071, and Xeljanz Syrup 1mg/mL will decrease from KRW 527,808 to KRW 369,443.

 

Additionally, the price ceiling of Jardiance Duo Tab 5/1000mg will decrease from KRW 301 won to KRW 284, Jardiance Duo Tab 5/500mg from KRW 301 to KRW 278, and Jardiance Duo Tab 5/850mg from KRW 301 to KRW 278.

 

Among the items subject to this ex officio adjustment, Xeljanz 5mg Tab, Xeljanz 10mg Tab, Xeljanz XR 11mg Tab, and Xeljanz syrup will see an additional price reduction on November 23 next year, once the one-year add-on premium ends, dropping to 53.55%, equal to the generic price.

 

Jardiance 10 mg and 25 mg will undergo the same adjustment on October 24 next year, one year after generic entry.

 

For both original manufacturers, generic competition and reimbursement price cuts will inevitably impact sales, prompting intense efforts to defend market share.

 

Pharmacies are advised to take note of returns and settlement procedures following price changes for these frequently prescribed original products.

 

Meanwhile, drug prices will also be adjusted for the menopausal hormone therapy drug Angelic Tab (drospirenone/estradiol, Bayer) and the antifungal agent Ambisome Inj (liposomal amphotericin B, Gilead) with the entry of their respective generics.

 

The price of Angelic Tab will be adjusted from KRW 10,393 to KRW 5,565 starting in December.

 

The price of Ambisome Inj will be reduced by 30% from KRW 129,392 to KRW 113,218, and after the add-on premium ends on October 1 next year, the price will drop to KRW 86,612.