Japan Pharmaceutical Market to Reach USD 93 Billion by 2030; Oncology, Biosimilars, and Digital Health to Drive Moderate Growth

Mordor Intelligence has published a new report on the Japan Pharmaceutical Market, offering a comprehensive analysis of trends, growth drivers, and future projections.

The Japan Pharmaceutical Market, currently valued at approximately USD 86.3 billion, is expected to grow steadily to reach USD 93 billion by 2030, reflecting a compound annual growth rate (CAGR) of 1.51 % between 2025 and 2030 This growth is underpinned by a shifting demographic landscape, evolving treatment needs, and strategic government initiatives aimed at improving access and encouraging innovation. Core growth drivers include increased demand in high-impact therapeutic areas such as oncology, expanded biosimilar usage, and accelerated adoption of digital-health tools.However, growth remains constrained by regular drug-pricing revisions and the complexities of Japan's National Health Insurance (NHI) system. Despite these factors, pockets of opportunity continue to emerge-especially within specialty therapies, generics, biosimilars, and new channels of delivery.

Report Overview: https://www.mordorintelligence.com/industry-reports/japan-pharmaceutical-market?utm_source=openpr

Key Trends

a. Aging Population and Chronic Disease Burden

Japan's well-known demographic challenge-an aging population with a rising prevalence of chronic conditions like cancer, cardiovascular diseases, and diabetes-continues to boost pharmaceutical demand. Chronic disease-causing drugs and supportive care therapies remain critical market segments, supporting broad-based sales even as prices are adjusted

b. Oncology Holding Strong Lead

Oncology accounts for the single-largest therapeutic segment, representing around 17.2 % of the market in 2024 . Continued regulatory approvals in immuno-oncology and targeted therapies are expected to sustain this position, maintaining oncology as the primary driver of market growth.

c. Generics and Biosimilars Gaining Ground

Prescription medicines make up more than half the market (54.2 %), with generic drugs growing at a notable 4.9 % CAGR into 2030 .Separately, biosimilars-small-molecule substitutes for originator biologics-are on pace for a 5.5 % CAGR, driven by favorable NHI premium adjustments and pricing incentives that set biosimilar prices 45-55 % below originators.

d. Small Molecule Drugs Still Dominant

Small-molecule drugs continue to dominate, with a 73.2 % market share in 2024. Though biologics and biosimilars are expanding at a faster rate, small molecules remain the backbone of the Japanese pharmaceutical landscape.

Market Segmentation

The Japan Pharmaceutical Market is structured into several key segments:

By Therapeutic Category

Oncology

Cardiovascular System

Anti-diabetics & Metabolic Disorders

Central Nervous System

Anti-infectives

Respiratory System

Dermatologicals

Blood & Blood-forming Organs

Genito-urinary System

Sensory Organs

By Prescription Type

Prescription Drugs

OTC

By Drug Type

Small-Molecule Drugs

Biologics and Biosimilars

By Formulation

Solid Oral

Parenteral

Topical & Transdermal

By Distribution Channel

Retail Pharmacies

Hospital Pharmacies

Online & Mail-Order

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Key Players

The Japanese pharmaceutical landscape is shaped by both local champions and global and international branded drugmakers:

Takeda Pharmaceutical Company Limited

Chugai Pharmaceutical Co., Ltd.

Daiichi Sankyo Company, Limited

Astellas Pharma Inc.

Otsuka Holdings (Otsuka Pharmaceutical Co., Ltd)

Explore more about major players in the market: https://www.mordorintelligence.com/industry-reports/japan-pharmaceutical-market/companies?utm_source=openpr

Conclusion

Japan's pharmaceutical market is in a period of steady, if moderate, transformation. An aging population and a high burden of chronic disease continue to drive demand. Oncology remains the dominant therapeutic category, while generics and biosimilars gain momentum due to cost-sensitive reimbursement policies. A shift toward injectable biologics parallels growth in specialty treatments and hospital services.

Meanwhile, the steady rise of online and mail-order pharmacies signals a change in access channels-especially beyond urban centres. Robust R&D investments build resilience and reinforce pipelines, while digital-health initiatives, though still early in adoption, may shape future delivery models.

Collectively, these dynamics point to a sector that is adapting: balancing traditional strengths in small-molecule drugs and parenteral treatments with emergent opportunities in biologics, generics, biosimilars, and digital-enabled care. The forecasted expansion to USD 93 billion by 2030, at a CAGR of 1.51 %, underscores this steady progression amid evolving market forces

Industry Related Reports

Italy Pharmaceutical Market: The Italy Pharmaceutical Market Report is segmented by ATC/Therapeutic Class (Blood and Hematopoietic Organs, Cardiovascular System, Dermatological, Gastrointestinal System and Metabolism, Nervous System, Respiratory System, and Others), Drug Type (Branded and Generic), and Prescription Type (Prescription Drugs (Rx) and OTC Drugs). The report offers the value (in USD million) for the above segments.

Get more insights: https://www.mordorintelligence.com/industry-reports/italy-pharmaceutical-market?utm_source=openpr

Netherlands Pharmaceutical Market : The Netherlands Pharmaceutical Market report segments the industry into ATC/Therapeutic Class (Alimentary Tract and Metabolisma, Blood and Blood-forming Organs, Cardiovascular System, Dermatological Drugs, Genitourinary System and Reproductive Hormones, Systemic Hormonal Preparations, Excluding Reproductive Hormones and Insulins, Anti infectives for Systemic Use, and more), Mode of Dispensing (Prescription, OTC).

Get more insights: https://www.mordorintelligence.com/industry-reports/netherlands-pharmaceutical-market?utm_source=openpr

Australia Pharmaceuticals Market : The Australia Pharmaceuticals Market report segments the industry into By ATC/Therapeutic Class (Alimentary Tract and Metabolism, Blood and Blood Forming Organs, Cardiovascular System, Dermatologicals, Genito Urinary System and Sex Hormones, and more), By Drug Type (Branded, Generic), By Prescription Type (Prescription Drugs (Rx), OTC Drugs).

Get more insights: https://www.mordorintelligence.com/industry-reports/australia-pharmaceutical-market?utm_source=openpr


About Mordor Intelligence:

Mordor Intelligence is a trusted partner for businesses seeking comprehensive and actionable market intelligence. Our global reach, expert team, and tailored solutions empower organizations and individuals to make informed decisions, navigate complex markets, and achieve their strategic goals.

With a team of over 550 domain experts and on-ground specialists spanning 150+ countries, Mordor Intelligence possesses a unique understanding of the global business landscape. This expertise translates into comprehensive syndicated and custom research reports covering a wide spectrum of industries, including aerospace & defense, agriculture, animal nutrition and wellness, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, investment opportunities, and logistics.

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Mordor Intelligence is a trusted partner for businesses seeking comprehensive and actionable market intelligence. Our global reach, expert team, and tailored solutions empower organizations and individuals to make informed decisions, navigate complex markets, and achieve their strategic goals.

With a team of over 550 domain experts and on-ground specialists spanning 150+ countries, Mordor Intelligence possesses a unique understanding of the global business landscape. This expertise translates into comprehensive syndicated and custom research reports covering a wide spectrum of industries, including aerospace & defense, agriculture, animal nutrition and wellness, automation, automotive, chemicals & materials, consumer goods & services, electronics, energy & power, financial services, food & beverages, healthcare, hospitality & tourism, information & communications technology, investment opportunities, and logistics.

For any inquiries or to access the full report, please contact:

media@mordorintelligence.com
https://www.mordorintelligence.com/

This release was published on openPR.