Blaz Visnar of the European Commission has told a conference that the Commission has started an investigation into whether pharmaceutical companies are blocking drug arbitrage between Member states. The practice, known as parallel trade, describes the market in which wholesalers buy medicine in countries where the state sets the price, and then resells the medicine in countries where they are sold for higher prices. Pharmaceutical companies, notably GlaxoSmithKline in 2008, argued that parallel trade calls for drug manufacturers to practice price discrimination or a system of dual pricing.
Full content: Bloomberg via the San Francisco Chronicle
Related content: Price Discrimination and Welfare (Barry Nalebuff, Yale)
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Meta Begins Defense After FTC Concludes Case in Landmark Antitrust Trial
May 15, 2025 by
CPI
UK Data Bill Still No Closer to Passage As Parliamentary ‘Ping-Pong’ Drags On
May 15, 2025 by
CPI
Regeneron Pharmaceuticals Awarded $271.2M in Damages Against Amgen
May 15, 2025 by
CPI
FTC Chair Proposes 15% Staff Reduction Amid Budget Constraints
May 15, 2025 by
CPI
UK Urges Antitrust Watchdog to Prioritize Growth and Clarity in Business Regulation
May 15, 2025 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Healthcare Antitrust
May 14, 2025 by
CPI
Healthcare & Antitrust: What to Expect in the New Trump Administration
May 14, 2025 by
Nana Wilberforce, John W O'Toole & Sarah Pugh
Patent Gaming and Disparagement: Commission Fines Teva For Improperly Protecting Its Blockbuster Medicine
May 14, 2025 by
Blaž Višnar, Boris Andrejaš, Apostolos Baltzopoulos, Rieke Kaup, Laura Nistor & Gianluca Vassallo
Strategic Alliances in the Pharma Sector: An EU Competition Law Perspective
May 14, 2025 by
Christian Ritz & Benedikt Weiss
Monopsony Power in the Hospital Labor Market
May 14, 2025 by
Kevin E. Pflum & Christian Salas