Novo Nordisk has reduced the list price of its obesity drug Wegovy in the southwestern provinces of Yunnan and Sichuan by nearly 48%, bringing the two highest monthly dosages to 987.48 yuan ($141) and 1,284.36 yuan ($183) respectively. The price cut is a direct response to the growing presence of local semaglutide generics and compounded products that have begun to erode the company’s market share in China.
The reduction follows the company’s observation that the patent protecting semaglutide in China will expire in March 2026, after which domestic manufacturers such as CSPC Pharmaceutical Group, Hangzhou Jiuyuan Genetic Biopharmaceutical Co., and Innovent Biologics are expected to launch their own versions. By lowering the price, Novo Nordisk aims to ease the financial burden on patients and improve treatment adherence, a goal echoed in a company statement that the move will “further reduce the burden for patients and improve treatment adherence.”
The price cut is a defensive strategy designed to preserve Novo Nordisk’s share of the Chinese GLP‑1 market amid intensifying competition from both global rivals—most notably Eli Lilly’s tirzepatide‑based products Mounjaro and Zepbound—and a wave of domestic biosimilars. While the move compresses margins in the short term, it signals the company’s willingness to prioritize volume and market access over immediate profitability in a region where generics are rapidly gaining traction.
Novo Nordisk has previously implemented similar price reductions in other markets, including a 37% cut in India and a price adjustment in the United States in November 2025. The China price cut aligns with that broader strategy of adjusting pricing to maintain competitiveness as patent protection wanes and the GLP‑1 landscape becomes more crowded.
The decision underscores the broader trend of pricing pressure in the global obesity‑treatment market, where companies are forced to balance revenue growth against the risk of losing market share to lower‑priced alternatives. By proactively reducing prices in China, Novo Nordisk seeks to mitigate the impact of upcoming patent expirations and sustain its presence in a key growth market.
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