Japanese pharma Nippon Chemiphar opens 1st overseas plant in Vietnam
HO CHI MINH CITY, NNA – Japanese pharmaceutical firm Nippon Chemiphar Co. has opened its first overseas factory in Vietnam to reduce production costs and build a foothold to expand business in Southeast Asia.
The company says Nippon Chemiphar Vietnam Co., a wholly owned manufacturing and sales unit in Binh Duong Province near Ho Chi Minh City, recently started shipment of alkalization therapeutic drug Uralyt and analgesic and anti-inflammatory drug Soleton to Japan.
In Vietnam, the company can expect to reduce production costs by 20 percent to 30 percent compared to those in Japan, aiming to take advantage of it amid intensifying price competition at home.
It plans to gradually raise annual output capacity of the Vietnamese unit to 600 million tablets, boosting the group’s total production capability by 43 percent to 2 billion tablets.
The Tokyo-based firm, which produces both patented and generic drugs, intends to focus on new drug manufacture at home while shifting production of some other drugs overseas to benefit from lower costs, it said.
The Vietnamese subsidiary was established in 2015. Nippon Chemiphar invested $38 million to build the factory, which began commercial production last month. It plans to increase the number of workers from the current 100 to 180 in the future.