Red alert: Germany is threatened with a drug crisis from China!

Red alert: Germany is threatened with a drug crisis from China!

Germany's dependence on medicines from China is alarming and has become increasingly important in recent years. As Euronews reports, a whopping 76% of imported active ingredients for antibiotics come from the most populous country in the world. But the connections go even further: even medicines from India or the USA often use Chinese ingredients. One example is metformin – a key ingredient that is produced almost exclusively in China. Five of the six largest manufacturers are also based here.

With regard to the EU, it is particularly worrying that 90% of the medicines classified as critical are generics. These are essential for medical care, but supply shortages pose a serious threat. Where does this uncertainty come from? The low prices for medicines are due to production in countries such as China or India, where labor costs are low and environmental regulations are less strict. In Germany, many pharmaceutical factories had to close as a result of this cheap production.

The dark side of global dependence

Michael Müller, professor of pharmaceutical chemistry, describes bringing the production facilities back to Germany as political wishful thinking that would be associated with enormous costs. A look at the trade balance shows that Germany exported pharmaceutical products worth 4.1 billion euros to China in 2024, while only importing goods worth 722 million euros. In practice, this means that Germany sold 15 million tons of pharmaceutical products to China, while China supplied Germany with 33 million tons.

There is currently a shortage of around 500 medications in Germany, including not only antibiotics for children, but also medications for ADHD and asthma. The President of the Federal Association of German Pharmacists Associations, Thomas Preis, expresses concern about the development. While Germany was once considered the “pharmacy of the world”, countries such as China and India are now increasingly taking on this role. A particular focus is on the potential possibility that China could restrict the export of medicines to Germany, which would further complicate the situation.

Critical bottlenecks and suggested solutions

Another major problem is the shortage of medicines: in December 2024, over 3 million people in Germany were affected. These shortages depend not only on geopolitical tensions, natural disasters or transport problems, but also on high demand and dependence on foreign production facilities. Shockingly, only one in three production sites for generic active ingredients is located in Europe, with the majority located in Asia, particularly in the Chinese market.

Based on a current analysis, two out of three production sites for antibiotic active ingredients are located in China or India. Around 65% of the chemicals required for drug production have to be imported. In order to overcome these challenges, the Medicines Supply Bottleneck Combating and Supply Act (ALBVVG) was passed in 2023. It is intended to strengthen pharmaceutical production in Europe and reduce dependence on individual production locations. Health economists are also calling for more innovation to ensure long-term independence.

In critical situations, the German pharmacy landscape can sometimes produce medicines itself in order to bridge bottlenecks. The BfArM has also established an early warning system to provide early warning of impending delivery bottlenecks. A list of critical medications is maintained at European level to ensure their supply is prioritized.

With such a tension between global dependence and national production, all actors, from politics to the pharmaceutical industry, must pull together to ensure health care in Germany in the future.