Teva Plans to Cut Back Generic Drug Production Even As Shortages Intensify
- Drugmaker will focus on new, branded products to fuel growth
- Manufacturing reductions will not harm market supply: CEO
Teva Pharmaceutical Industries Ltd. plans to cut back manufacturing of generic drugs, citing low profitability, at a time when shortages are intensifying and makers of these medicines are struggling to stay in business.
The Israel-based company is one of the world’s largest makers of generic drugs, but has been contending with high debt as prices shrink across the board. Some nine out of 10 prescriptions filled in the US are for generic drugs. The industry has been under increasing pressure, leading to a scarcity of crucial medicines like antibiotics and cancer treatments.