Sandoz penicillin plant in Austria faces threat from Chinese imports

The Sandoz factory in Kundl, Austria, which serves as the last fully integrated facility in Europe capable of producing penicillin from start to finish, is facing an existential threat due to low-cost competition from China.

While cheaper Chinese antibiotics benefit public healthcare budgets, they jeopardize European pharmaceutical self-sufficiency. Eurostat data indicates that China’s share of EU imports for penicillins and their derivatives has risen from 44% in 2019 to 86% last year.

Following a €200-million expansion that included €50 million in public funds, Sandoz has requested the European Commission to initiate an anti-dumping investigation. Site manager Stephanie Jedner warned that if the plant closes, Europe would become fully dependent on China for this essential antibiotic class.