Biosimilars uptake likely more rapid in USA than in Europe

The US drug channel is likely to exhibit a higher acceptance of biosimilars, copy versions of biological drugs, over time than Europe, according to Fitch Ratings, which expects that acceptance of biosimilars will be stronger in the USA, although uptake may be fairly slow at first.

This expectation is supported by a relatively efficient traditional drug market characterized by rapid branded-to-generic conversions leading to estimated generic penetration rates in excess of 80%. Third-party payers and the pharmacy benefit managers (PBMs) that serve them are generally well incentivized to reduce costs and therefore instrumental in driving generic conversions. Biosimilar substitution will likely offer an even more compelling opportunity for these players on a drug-by-drug basis to reduce drug spending than that of traditional small molecule drug market. Payers will be aggressive in achieving these potential cost savings.

Physician involvement will be key for acceptance