# Sandoz penicillin production in Austria

> Live situation record from CLSTR: https://clstr.news/situations/sandoz-penicillin-production-in-austria
> Updated: 2026-10-26T20:56:54.000Z. Sources: 18. Developments: 3.

The Sandoz penicillin manufacturing facility in Kundl, Austria, which is the last fully integrated plant in Europe capable of producing penicillin from raw materials to the final product, is facing an existential threat from low-cost Chinese imports and high energy costs.

While cheaper antibiotics from China benefit public healthcare budgets, they jeopardize European pharmaceutical self-sufficiency. Data from Eurostat shows that China’s share of EU imports for penicillins and their derivatives increased from 44% in 2019 to 86% in 2025. This dependency is further exacerbated by high industrial electricity prices in the EU, which were approximately 50% higher than in China in 2025.

Following a €200-million expansion that utilized €50 million in public funds, Sandoz has requested that the European Commission initiate an anti-dumping investigation. The company alleges that Chinese manufacturers sell amoxicillin ingredients at prices below cost, supported by state subsidies. Site manager Stephanie Jedner warned that if the plant closes, Europe would become “completely dependent” on China for this essential class of antibiotics.

Sandoz CEO Richard Saynor has further escalated these warnings, describing Europe’s heavy reliance on Chinese antibiotic supplies as an ‘Achilles heel’ for public health and defense. Speaking to UK lawmakers, Saynor cautioned that such dependence could enable supply restrictions to be utilized as a tool for ‘economic coercion or hybrid warfare’ during periods of diplomatic tension.

## Claims

- Sandoz has requested an anti-dumping investigation from the European Commission regarding Chinese amoxicillin imports. (corroborated by 6 sources)
- The Kundl plant is the only facility in Europe with a full production cycle for penicillin. (corroborated by 6 sources)
- China's share of EU penicillin and derivative imports rose from 44% in 2019 to 86% in 2025. (corroborated by 3 sources)
- EU industrial electricity prices in 2025 were nearly 50% higher than in China. (corroborated by 3 sources)
- The European Commission approved 50 million euros in public funds for the expansion of the Kundl plant. (corroborated by 2 sources)

## Timeline

### 2026-10-26: Sandoz CEO warns of European dependence on Chinese antibiotics

Sandoz CEO Richard Saynor warns that Europe's reliance on Chinese antibiotic imports poses a security risk, noting that China now provides 86% of EU penicillin imports.

2 sources. https://clstr.news/cluster/sandoz-ceo-warns-of-european-dependence-on-chinese-antibiotics

### 2026-10-24: Sandoz warns of European penicillin supply risks

Sandoz's Kundl plant, Europe's last fully integrated penicillin factory, faces closure due to high energy costs and subsidized Chinese competition, threatening EU medicine security.

12 sources. https://clstr.news/cluster/sandoz-penicillin-plant-in-austria-faces-closure-threat

### 2026-10-21: Sandoz penicillin plant in Austria faces threat from Chinese imports

Austria’s Sandoz plant, Europe’s last fully integrated penicillin manufacturer, faces closure due to rising competition from low-cost Chinese imports, threatening EU medical self-sufficiency.

3 sources. https://clstr.news/cluster/sandoz-penicillin-plant-in-austria-faces-threat-from-chinese-imports

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Cite as: Sandoz penicillin production in Austria. CLSTR, https://clstr.news/situations/sandoz-penicillin-production-in-austria
