Industry Profiles

May 2006 -- Total revenue in 2005 for the pharmaceuticals industry in Japan was $65.5 billion, representing the second largest individual market in the world after that of the US.  The Japanese market is the largest in the Asia Pacific region, generating 67.3% of the region’s total regional market.

These figures make Japan a favorable destination for foreign companies looking to enter the Asia-Pacific market.  By beginning operations in Japan, foreign companies can gain traction within this large market and then use their Japan operations as a launch pad into emerging markets in the region, such as China and South Korea.

    Asia Pharmaceuticals Market Segmentation By Area - 2005 Values

 












                   Click graph to enlarge
                   Data Source: Datamonitor

The top two sources of revenue for the industry in 2005 were cardiovascular drugs at $14 billion in sales, representing 21.4% of the total market, and the alimentary/metabolism sector with $11.4 billion in sales, making up 17.4% of the total market.  By the end of 2010, the Japanese pharmaceuticals market is projected to reach $70.8 billion in value, an 8.1% increase over 2005.

  Japan Pharmaceuticals Market Segmentation By Sector - 2005 Values















                   Click graph to enlarge
                   Data Source: Datamonitor