Policy boosts for the domestic pharmaceutical sector

Significant catalysts and competitive advantages

According to IQVIA, global pharmaceutical demand continues to surge with projected compound annual growth (CAGR) of 7.8% through 2026. Meanwhile, Vietnam's pharmaceutical market is expected to grow even faster, at 10–13%. In this context, the revised Pharmaceutical Law, effective from July 2025, is anticipated to drive major positive changes in the industry, including prioritizing domestically manufactured EU-GMP standard drugs, encouraging R&D investment, simplifying drug registration procedures and supporting the pharmaceutical industry’s elevation to a strategic sector.

Leading the market with three EU-GMP-certified manufacturing clusters and 12 EU-GMP production lines, Imexpharm has maintained strong growth. In 2024, it achieved gross revenue of 2,513 billion VND, up to 18.9% year-on-year, outperforming the local pharmaceutical industry’s average growth rate of 9% (excluding vaccines), according to IQVIA data, making it one of the pharmaceutical companies with the fastest growth rate.

Imexpharm's results of 2025 first quarter are equally impressive with net revenue reaching 594 billion VND, up 21% compared to the same period last year, driven by robust performance across both OTC and ETC channels. People's Doctor, Pharmacist Tran Thi Dao, General Director of Imexpharm, emphasized: “Three key factors underpin Imexpharm’s outstanding growth momentum: EU-GMP production capabilities, a new-generation antibiotic portfolio with broad hospital coverage and a streamlined, transparent, efficient operating model.”

With this strong foundation, from high-quality product lines and a nationwide distribution network to modern governance, Imexpharm is confidently targeting 2025 gross revenue of 2,981 billion VND and pre-tax profit of 493.5 billion VND, representing year-on-year growth of 18.6% and 22.1%, respectively.

Three strategic drivers to achieve nearly 3 trillion VND in revenue

According to Imexpharm’s 2024 Annual Report, company leadership identifies 2025 as a pivotal foundation year for its long-term development phase. Targeting an average gross revenue growth rate of 15% annually from 2024 to 2030, Imexpharm is focusing on three major strategic directions: operational efficiency enhancement, expansion into new therapeutic areas and accelerating growth through the expansion of product ecosystems and market.

First and foremost, Imexpharm’s primary growth driver is its decisive shift toward high-tech and high-value-added products, particularly in injectable and dispersible tablet segments along with the development of new-generation antibiotics. The company is also expanding into high-potential therapeutic areas such as gastrointestinal, cardiovascular and diabetes treatments. At the 2025 General Meeting of Shareholders, Imexpharm’s leadership noted that these segments each represent a market size exceeding 50 trillion VND (approximately 2 billion USD) and have maintained a compound annual growth rate (CAGR) of over 8% over the past five years with diabetes treatment drugs growing at an average rate of 13% per year.

Aligned with this strategic direction, Imexpharm plans to deepen its investment in R&D in 2025, aiming to launch 16 new products. The focus will be on high-tech categories such as “first generic” drugs, bioequivalent drugs as well as complex dosage forms - segments that are leading global industry trends. According to IQVIA, specialty drugs are projected to account for 43% of the global pharmaceutical market while biological drugs are expected to comprise 35%.

To realize its growth strategy, Imexpharm will break ground on the Cat Khanh Pharmaceutical Factory Complex at the end of 2025. Built to EU-GMP standards, the facility is expected to have an initial design capacity of 1.4 billion product units per year, adjustable based on market demand. This complex will become a hub for producing high-value-added pharmaceuticals for both domestic and export markets.

Additionally, Imexpharm is actively advancing its market expansion both in scale and depth, with Northern Vietnam identified as a key strategic focus. The company is undertaking a comprehensive restructuring of its sales network, growing its team and sharpening its market approach. Today, Imexpharm achieves national coverage, reaching 70% of hospitals, and ranks among the Top 3 in the hospital (ETC) channel with a 2.5% market share, second only to two international pharmaceutical giants. It also holds a Top 3 position in the OTC channel. Notably, revenue from major pharmacy chains now accounts for 9% of total OTC sales, underscoring the company’s strategic agility in responding to evolving retail trends.

The company also highlights digital transformation and performance management as crucial levers for the next growth phase. In the first quarter of 2025, production activities across all EU-GMP-certified factories intensified with output at the IMP4 plant up by 126% year-on-year, a clear demonstration of the effectiveness of Imexpharm’s operational optimization strategy.

With favorable regulatory tailwinds from the revised Pharmaceutical Law, a clear strategic vision, and solid foundations in place, Imexpharm enters 2025 with high growth ambitions, aiming to solidify its status as a leading name on the regional and global pharmaceutical map.