Global pharmaceutical corporations are expanding aggressively in Vietnam, opting to acquire established local manufacturers rather than build new production facilities from scratch. Analysts predict that the country’s pharmaceutical market will soon reach $10 billion, positioning Vietnam as one of Asia’s leading pharmaceutical hubs.
The market’s rapid growth is being driven by several key factors:
- an aging population;
- a growing middle class;
- expanding health insurance coverage.
Against this backdrop, international pharmaceutical companies increasingly prefer acquiring domestic manufacturers instead of investing in entirely new production plants.
Japan’s Taisho Pharmaceutical has secured control of DHG Pharmaceutical, U.S.-based Abbott Laboratories has acquired a controlling stake in Domesco, while South Korea’s Daewoong Pharmaceutical has purchased more than 40% of Traphaco.
According to industry experts, this wave of foreign investment marks a major turning point for Vietnam’s pharmaceutical industry, accelerating its transformation into a modern manufacturing sector. In the coming years, the country is expected to become one of Southeast Asia’s leading production and export hubs for pharmaceutical products.
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