Azithromycin Prices Set to Surge in Q2 2025 Amid Rising Demand and Trade Tensions
- 30-Apr-2025 6:15 PM
- Journalist: Stella Fernandes
The global market for Azithromycin, widely used antibiotic to cure respiratory infections, skin infections and ear infections, is expected to encounter price hike in the second quarter in 2025. There are many significant factors driving this trend including higher demand from the medical and pharma sectors and ongoing disruption in the global supply chain. The dynamics of the market are pushing the market players to set higher Azithromycin prices, which accordingly, results in a positive outlook in the market even against the backdrop of existing challenges
Recent changes in trade policy by the U.S. government have led to current price fluctuations in the Azithromycin market. On April 2, 2025, U.S. President Donald Trump enacted reciprocal trade barriers affecting more than 60 countries, notably including major API suppliers India and China. These tariffs are an essential component of a wider strategy designed to decrease the U.S. trade deficit and enhance domestic manufacturing. India, in particular, faced an additional 26% tariff that has been temporarily suspended for 90 days until July 9.
Although U.S. government has said this suspension is not permanent, President Trump has hinted significant tariffs on drugs such as APIs Azithromycin may be put in place soon. India's pharmaceutical industry is a leading global provider of generic drugs to the entire world. Over 30% of all drug imports to the United States come from Indian pharmaceutical exports, creating a robust trade business that benefits Indian pharma companies.
The pharmaceutical industry's heavy reliance on the U.S. market makes it vulnerable to risks from shifts in market regulations. New tariffs on Indian drug exports would greatly affect Azithromycin prices for U.S. buyers while impacting global supply chains.
As a result, American buyers are anticipated to increase their acquisitions of Azithromycin from Indian vendors amid the tariff suspension, resulting in temporary surges in demand. Consequently, it is expected that the price of Azithromycin in the U.S. will increase.
The Pahalgam Kashmir assault caused India to stop the Indus Water Treaty and result in frozen trade between Pakistan which threatens pharmaceutical raw material supply in Pakistan thus requiring emergency preparedness measures. As Pakistan depends on India for 30-40% of its pharmaceutical raw materials such as Active Pharmaceutical Ingredients (APIs) including Azithromycin any interruption may lead to an impending shortage in the local market.
Thus, Pakistan might look towards other sources to fulfill its pharmaceutical needs, and this could possibly move up its imports from the global market, most possibly from the competitors of India. This would, however, impact on the global availability of Azithromycin potentially escalating prices.
According to 果酱视频's assessment, the global Azithromycin market is projected to see ongoing price rises stemming from various factors. Changing trade policies, geopolitical conflicts, and increasing demand from major markets are expected to result in a sustained rise in Azithromycin prices.