United States Generic Drugs Market will be US$ 147.57 Billion by 2028
United States Generic Drugs Market is projected to reach around US$ 147.57 Billion by 2028, and is expected to grow at a CAGR of 6.39% from 2022 to 2028. The pharmaceutical industry is vital for global healthcare, but it is important to distinguish between factors driving cost increases and those generating savings. Specialty drugs, including biologics, are expensive drugs used for treating complex diseases. However, generic drugs in the US have offered relief from rising drug costs for decades, as competition drives down prices. Generics are cheaper off-patented drugs that are bioequivalent to branded medications.
In the US, they have risen in production due to cost-effectiveness and increased patient access, generating savings for taxpayers, employers, and insurance providers. The number of generic drug approvals has risen, supported by the FDA's Drug Competition Action Plan and the reauthorization of the Generic Drug User Fee Amendments in 2017 to enhance the generic drug development and approval process. In 2022, 91% of US prescriptions were generic drugs, with over 32,000 FDA-approved generic drugs available, partially offsetting large brand drug price increases.
Increasing Prevalence of Life-threatening Diseases in the United States is creating Future Opportunities for the Generic Drug Market
The generic drug market in the United States is witnessing substantial expansion, driven by the growing incidence of chronic illnesses like cardiovascular disease, diabetes, Alzheimer's disease, and Parkinson's disease in the region. The FDA's Generic Drug Program carries out thorough assessments before approval to guarantee that generic medications comply with these guidelines. Moreover, the FDA inspects manufacturing facilities to verify their adherence to agency regulations on good manufacturing practices.
Demand for Branded Generics has been rising in USA, due to the Increasing need for Affordable, High-quality Generic Drugs and the Soaring Healthcare Costs
By Type, United States Generic Drugs Market is segmented into Branded Generics and Unbranded Generics. The growth of the branded generics pharmaceutical industry in the USA is being driven by factors such as moderately high penetration of these drugs and an increasing disease burden among the geriatric population.
Branded generics drugs provide a cost-efficient substitute to costly branded drugs, which is particularly significant in United States with expensive healthcare. Furthermore, the expiration of patents on numerous popular drugs has opened doors for generic drug makers to join the market and provide more affordable options. The industry is also backed by government policies that encourage the use of generics to decrease healthcare expenses.
Inclination towards Generic Drugs to treat heart disease is expected to continue in the United States Pharmaceutical Market
United States Generic Drugs Industry is classified into various therapeutic areas, including Heart Disease, Mental Health, Diabetes, Epilepsy, Cancers, Allergies & Asthma, Chronic Obstructive Pulmonary disease, Alzheimer's disease, HIV/AIDS, and Crohn's Colitis. The demand for generic drugs to treat heart disease is growing due to factors such as the higher occurrence of heart disease, patent expiration of brand-name drugs, and the need for accessible healthcare.
The use of generic drugs for heart disease treatment is being promoted by government policies like the Affordable Care Act. Despite being more affordable, generic drugs are equally safe and effective as brand-name drugs and healthcare providers and patients are turning to them, with statins, beta-blockers, and ACE inhibitors being some of the most frequently prescribed.
Oral and Injectable Generic Drugs markets will continue to grow Simultaneously in the Upcoming Years
By Drug Delivery, USA Generic Drugs Market is divided into Oral, Injectable, Dermal/Topical and Inhalers. Oral and Injectable market share will grow simultaneously in upcoming years, as the demand for affordable and accessible healthcare continues to increase. Factors such as patent expirations of brand-name drugs, increasing healthcare costs, and rising demand for biosimilars may contribute to the growth of both oral and injectable generic drug markets.
Oral generics are widely used and expected to grow due to increasing launches and partnerships like OakrumPharma and ANI Pharmaceuticals' collaboration to create a generic version of Cystadane1, approved by the USFDA in February 2022, which is expected to boost sales and production of oral generics.
Growing emphasis on Self-care and over-the-counter Medications has also contributed to the growth of the U.S. Retail Pharmacy Generic Drugs Market
The US Generic Drugs Industry is fragmented into Specialty Pharmacy, Retail Pharmacy, Hospital Pharmacy, and Online Pharmacy. Retail pharmacy has traditionally dominated the distribution channel segment, with patients preferring to purchase medications from physical stores. The retail pharmacy market has been steadily growing due to patent expirations of branded drugs, increasing healthcare costs, and rising demand for affordable medications. The availability of cheaper generic medicines has led to widespread adoption, especially for chronic diseases like diabetes, cardiovascular diseases, and cancer, which have driven demand for generic drugs.
The shift towards online pharmacy channels and the increasing use of e-prescriptions are also expected to drive the growth of the retail pharmacy generic drugs market in the coming years. There has been a surge in online shopping, including the online distribution of pharmaceutical products.
Growth of the Generic Drugs Market for Adults is the increasing adoption of Biosimilars
By Age Group, USA Generic Drugs Market subdivided into Children (0-19 years), Young Adults (20-39 years), Adults (40-64 years) and seniors (65+ years). The generic drugs market for adults in the United States has been growing steadily over the past few years. In 2022, generic drugs accounted for over 91% of all prescriptions dispensed in the United States.
This indicates a strong demand for affordable medications, which is a key driver of the growth of the generic drugs market. One of the major factors contributing to the growth of the generic drugs market for adults in the US is the increasing number of patent expiries of branded drugs used to treat adult diseases such as cardiovascular disease, diabetes, and cancer.
United States Generic Drug Market Size was valued at US$ 101.77 Billion in 2022
By States, United States Generic Drugs Industry was categorized into California, Texas, New York, Florida, Pennylavania, Ohio, Illionios, North Carolina, Georgia, Michigan and Others. There are several contributing factors to the growth of the generic drugs market in California. One of these factors is the state's efforts to promote generics as a way to save costs. To this end, California has introduced policies such as laws that mandate doctors to prescribe generics when available and programs that encourage pharmacies to promote generic drugs to patients.
Additionally, the market has benefited from the increasing number of patent expiries for branded drugs. This has allowed generic drug manufacturers to enter the market and provide cheaper alternatives, which are in high demand from healthcare providers and patients alike.
Increasing Number of Generic Drugs available in the market has also contributed to the growth of Commercial Payments for Generic drugs
By Payment Type, United States Generic Drugs Market is segmented into Cash, Commercial, Medicare D and Medicaid. The US has seen an increase in commercial payments for generic drugs due to the rising demand for affordable healthcare and prescription drugs. Generic medicines, being less expensive than their brand-name counterparts, are increasingly popular among cost-conscious consumers. This trend is expected to continue due to the increasing availability of generic drugs and incentives provided by insurance companies and healthcare providers.
Key Players Analysis
To stay competitive in the growing market, industry participants are utilizing various tactics including increased investment in research and development, mergers and acquisitions, and product innovations. Major players in the market include Teva Pharmaceuticals, Aurobindo Pharma, Sun Pharmaceuticals, Abbott Laboratories Inc., Lupin Pharmaceuticals Inc., Viatris, Sandoz, and Dr. Reddy's.
The report “United States Generic Drugs Market & Forecast By Type (Branded Generics, Unbranded Generics), Therapeutic Area (Heart Disease, Mental Health, Diabetes, Epilepsy, Cancers, Allergies & Asthma, Chronic Obstructive Pulmonary Disease, Alzheimer's Disease, HIV/AIDS, Crohn's colitis), Drug Delivery (Oral, Injectable, Dermal/Topical, Inhalers), Distribution Channel (Specialty Pharmacy, Retail Pharmacy, Hospital Pharmacy, Online Pharmacy) Age Group (Children(0-19 years), Young Adults(20-39 years), Adults (40-64 years), Seniors (65+ years)) States (California, Texas, New York, Florida, Pennylavania, Ohio, Illionios, North Carolina, Georgia, Michigan, Others) Payment Type (Cash, Commercial, Medicare D, Medicaid), Frequency in consumption of generic drugs in United States(Atleast one prescription generic drug consumption monthly-male, female, Three or more prescription generic drug consumption monthly-male, female, Five or more prescription generic drug consumption monthly-male, female), Company (Teva Pharmaceuticals, Aurobindo Pharma, Sun Pharmaceuticals, Abbott Laboratories Inc., Lupin Pharmaceuticals Inc., Viatris, Sandoz, and Dr. Reddy's)” provides an all-encompassing analysis on the United States Generic Drug Industry.
Type: Market breakup in 2 viewpoints
1. Branded Generics
2. Unbranded Generics
Therapeutic Area: Market breakup from 10 viewpoints
1. Heart Disease
2. Mental Health
3. Diabetes
4. Epilepsy
5. Cancers
6. Allergies & Asthma
7. Chronic Obstructive Pulmonary Disease
8. Alzheimer Disease
9. HIV/AIDS
10. Crohn's colitis
Drug Delivery: Market breakup from 4 viewpoints
1. Oral
2. Injectable
3. Dermal/Topical
4. Inhalers
Distribution Channel: Market breakup from 4 viewpoints
1. Specialty Pharmacy
2. Retail Pharmacy
3. Hospital Pharmacy
4. Online Pharmacy
Age Group: Market breakup from 4 viewpoints
1. Children (0-19 years)
2. Young Adults (20-39 years)
3. Adults (40-64 years)
4. Seniors (65+ years)
States: Market breakup from 11 States
1. California
2. Texas
3. New York
4. Florida
5. Pennylavania
6. Ohio
7. Illionios
8. North Carolina
9. Georgia
10. Michigan
11. Others
Payment Type: Market breakup from 4 viewpoints
1. Cash
2. Commercial
3. Medicare D
4. Medicaid
Frequency in consumption of Generic Drugs in United States
1. At least 1 prescription generic drugs consumption monthly
a. Male
b. Female
2. Three or more prescription generic drugs consumption monthly
a. Male
b. Female
3. Five or more Prescription generic drugs consumption monthly
a. Male
b. Female
All the Company Analysis have covered 3 Viewpoints
- Overview
- Recent Developments
- Revenue Analysis
Company Analysis
1. Teva Pharmaceuticals
2. Aurobindo Pharma
3. Sun Pharmaceuticals
4. Abbott Laboratories Inc
5. Lupin Pharmaceuticals Inc
6. Viatris
7. Sandoz
8. Dr. Reddy's.
Table of Contents
1. Introduction2. Why is the US Generic Drug Market So Lucrative3. Research & Methodology4. Executive Summary
Companies Mentioned
- Teva Pharmaceuticals
- Aurobindo Pharma
- Sun Pharmaceuticals
- Abbott Laboratories Inc
- Lupin Pharmaceuticals Inc
- Viatris
- Sandoz
- Dr. Reddy's.
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
LOADING...
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 250 |
| Published | April 2023 |
| Forecast Period | 2022 - 2028 |
| Estimated Market Value ( USD | $ 101.77 Billion |
| Forecasted Market Value ( USD | $ 147.57 Billion |
| Compound Annual Growth Rate | 6.3% |
| Regions Covered | United States |
| No. of Companies Mentioned | 8 |
