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Dermatology Drugs Market to Reach US$ 40,830.9 million by 2031 at 10.5% CAGR; North America Leads with 38% Share, Key Players: AbbVie, Pfizer, Amgen, LEO Pharma

01-27-2026 02:04 PM CET | Health & Medicine

Press release from: DataM intelligence 4 Market Research LLP

Dermatology Drugs

Dermatology Drugs

Market Overview

The Global Dermatology Drugs Market was valued at US$ 18,684.8 million in 2022 and is projected to reach US$ 40,830.9 million by 2031, growing at a CAGR of 10.5% during the forecast period (2024-2031). Dermatology focuses on diagnosing and treating disorders affecting the skin, hair, nails, and mucous membranes, with common conditions including psoriasis, eczema, acne vulgaris, and rosacea. Dermatology drugs are formulated to manage, control, and treat these diseases through topical, oral, and injectable formulations.

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The market growth is primarily driven by the increasing prevalence of skin disorders, growing geriatric population, and rising awareness of skin health. Moreover, improved spending capacity, greater access to dermatological care, and expanding drug pipelines are fueling the adoption of advanced therapies. Pharmaceutical companies are investing heavily in R&D to introduce novel drugs and biologics with better efficacy and safety profiles.

FDA Approved Products:

Product Name Active Ingredient / Drug Approval Date Indication / Therapeutic Use Company
Roflumilast Cream (Zoryve®) Roflumilast December 2024 Topical phosphodiesterase-4 (PDE-4) inhibitor for plaque psoriasis in adults and adolescents Arcutis Biotherapeutics
Lebrikizumab Lebrikizumab (IL-13 inhibitor) November 2024 Moderate-to-severe atopic dermatitis, demonstrating improved skin clearance and itch reduction Eli Lilly & Company
Tapinarof Cream (Vtama®) Tapinarof September 2024 Non-steroidal topical cream for the treatment of plaque psoriasis Dermavant Sciences (Roivant)
Ruxolitinib Cream (Opzelura®) Ruxolitinib August 2024 Topical JAK inhibitor for mild-to-moderate atopic dermatitis and vitiligo Incyte Corporation
Adbry® (Tralokinumab-ldrm) Tralokinumab June 2024 Biologic IL-13 inhibitor for adults with moderate-to-severe atopic dermatitis LEO Pharma
Spesolimab (Spevigo®) Spesolimab March 2024 IL-36 receptor antagonist for generalized pustular psoriasis (GPP) flares Boehringer Ingelheim
Tirbanibulin (Klisyri®) Tirbanibulin February 2024 Topical microtubule inhibitor for actinic keratosis (precancerous skin lesions) Almirall S.A.
Bimekizumab (Bimzelx®) Bimekizumab January 2024 Dual IL-17A and IL-17F inhibitor for plaque psoriasis, showing superior efficacy in skin clearance UCB Pharma

Recent Developments:

✅ January 2026 - United States: Pfizer Inc. announced the launch of a next-generation JAK inhibitor for the treatment of atopic dermatitis and psoriasis, focusing on improved efficacy with reduced systemic side effects.

✅ December 2025 - Europe: Sanofi and Regeneron expanded their collaboration for Dupixent® (dupilumab) with new clinical data supporting its use for chronic spontaneous urticaria and prurigo nodularis, strengthening their dermatology portfolio.

✅ October 2025 - Asia-Pacific: Takeda Pharmaceuticals introduced a biologic therapy for chronic eczema and inflammatory skin disorders across Japan and South Korea, enhancing access to advanced dermatology treatments in the region.

✅ July 2025 - Global: Johnson & Johnson's Janssen Pharmaceuticals launched Tremfya® (guselkumab) in new subcutaneous formulations for plaque psoriasis and psoriatic arthritis, targeting improved patient adherence.

✅ May 2025 - Europe: LEO Pharma unveiled its new biologic therapy for atopic dermatitis, expanding its immunology-based dermatology pipeline.

✅ March 2025 - Global: Eli Lilly and Company released positive Phase III trial results for lebrikizumab, an IL-13 inhibitor showing high efficacy in moderate-to-severe atopic dermatitis, paving the way for FDA and EMA submission.

✅In September 2022, SotyktuTM (deucravacitinib), an oral treatment for adults with moderate-to-severe plaque psoriasis, was approved by the US Food and Drug Administration. Bristol-Myers Squibb announced today that the FDA has approved SotyktuTM (deucravacitinib), a first-in-class, oral, selective, allosteric tyrosine kinase 2 (TYK2) inhibitor, for the treatment of adults with moderate-to-severe plaque psoriasis who are candidates for systemic therapy or phototherapy. Sotyktu should not be used in conjunction with other strong immunosuppressants.

Mergers & Acquisitions:

✅ January 2026 - United States: Pfizer Inc. acquired a clinical-stage dermatology biotech company specializing in novel topical biologics for chronic inflammatory skin diseases, expanding its immuno-dermatology pipeline.

✅ November 2025 - Europe: Sanofi completed the acquisition of a biotech firm developing next-generation monoclonal antibodies for autoimmune dermatologic conditions, reinforcing its leadership in biologic treatments.

✅ August 2025 - Asia-Pacific: Takeda Pharmaceuticals entered a strategic partnership with a Japanese dermatology research startup to co-develop gene-targeted topical therapies.

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Key Players:
LEO Pharma | Allergan | Amgen | GI Dermatics | Sanofi | Merck & Co. | Pfizer | AbbVie | Bausch Health | Novartis

Key Highlights:

• LEO Pharma - Holds an estimated 14% share, specializing in topical and biologic dermatology drugs for psoriasis, eczema, and atopic dermatitis. The company's strong R&D pipeline and partnerships in immunodermatology reinforce its leadership position in skin disease therapeutics.

• Allergan - Holds about 10%, focusing on aesthetic dermatology, acne treatment, and scar management products, with a robust global presence in both medical and cosmetic dermatology.

• Amgen - Holds around 11%, driven by its biologic treatments for psoriasis and inflammatory skin disorders, leveraging its immunology expertise through products such as Enbrel® and Otezla®.

• GI Dermatics - Holds 5%, focusing on innovative skincare formulations and clinical-grade dermatologic solutions, emphasizing therapeutic efficacy and safety.

• Sanofi - Holds an estimated 12%, leading in immunology-based dermatology therapies through Dupixent® (dupilumab), addressing atopic dermatitis, prurigo nodularis, and chronic urticaria.

• Merck & Co. - Holds 8%, offering a mix of anti-infective and immunomodulatory dermatology drugs, and expanding research in oncologic dermatology and rare skin diseases.

• Pfizer - Holds 10%, with a strong dermatology pipeline featuring JAK inhibitors and targeted biologics for eczema, psoriasis, and other inflammatory skin conditions.

• AbbVie - Holds 13%, dominating the psoriasis and immuno-dermatology segment through its blockbuster drug Humira®, along with Skyrizi® and Rinvoq® for chronic inflammatory skin disorders.

• Bausch Health - Holds 7%, focusing on topical dermatologic treatments for acne, rosacea, and fungal infections through its dermatology division, Ortho Dermatologics.

• Novartis - Holds 10%, offering biologic therapies such as Cosentyx® (secukinumab) for psoriasis and psoriatic arthritis, and expanding its footprint in immuno-dermatology research.

Market Segmentation:

By Application:

Atopic Dermatitis leads the market with an estimated 25% share, driven by the rising prevalence of chronic eczema and increasing demand for biologics such as Dupixent® and Rinvoq®. Growing R&D investments and patient awareness programs are accelerating adoption of advanced therapies.

Psoriasis holds around 22%, supported by the widespread availability of biologic drugs, including Cosentyx®, Skyrizi®, and Tremfya®, which offer targeted immunomodulation and long-term symptom control.

Acne accounts for 18%, driven by a high incidence among adolescents and adults, and the introduction of topical retinoids, antibiotics, and combination therapies addressing antibiotic resistance and skin inflammation.

Alopecia represents 10%, with emerging treatments such as JAK inhibitors and regenerative solutions gaining popularity for androgenetic and autoimmune-related hair loss.

Herpes holds 8%, supported by antiviral therapies and growing demand for long-term management options for herpes simplex and zoster infections.

Rosacea makes up 7%, driven by the rising awareness of chronic inflammatory facial conditions and new topical therapies aimed at redness reduction and symptom relief.

By Drug Class:

Anti-Infectives dominate with 22%, addressing bacterial, viral, and fungal skin infections through both topical and systemic treatments.

Anti-Acne Drugs hold 18%, including topical antibiotics, retinoids, and hormonal therapies catering to a large patient base.

Calcineurin Inhibitors account for 12%, widely used in managing eczema and atopic dermatitis, offering effective non-steroidal alternatives.

Retinoids represent 15%, with applications in acne, psoriasis, and anti-aging treatments, supported by new-generation molecules with improved tolerability.

Corticosteroids make up 20%, remaining a mainstay in managing inflammatory skin conditions due to their quick efficacy and availability in multiple formulations.

Other Drug Classes constitute 13%, including biologics, immunomodulators, and targeted therapies under development for complex and chronic skin disorders.

By End User:

Hospitals lead with 40% share, driven by the high volume of dermatology patients, availability of specialized dermatologists, and increasing adoption of advanced biologic and systemic treatments.

Dermatology Clinics hold around 35%, offering specialized skin disease management and aesthetic dermatology services, with strong growth in emerging markets.

Cosmetic Centers account for 15%, focusing on aesthetic skin treatments such as acne scar correction, pigmentation management, and anti-aging procedures using dermatologic drugs and cosmeceuticals.

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Regional Insights:

North America dominates the global dermatology drugs market with an estimated 38% share, driven by a high prevalence of skin disorders, rapid adoption of biologics, and strong presence of leading pharmaceutical companies such as AbbVie, Pfizer, and Amgen. The United States leads the region due to increasing demand for psoriasis and eczema treatments, widespread use of advanced topical formulations, and supportive reimbursement policies for biologic drugs. The growing trend toward aesthetic dermatology and rising awareness of early skin disease management further bolster regional growth.

Europe holds around 28% of the market, supported by a strong healthcare infrastructure, increasing patient awareness, and the presence of established players such as Novartis, Sanofi, and LEO Pharma. Countries like Germany, the United Kingdom, and France are leading in the adoption of biologic and immunomodulatory dermatology drugs. Government initiatives promoting affordable skin disease treatments and increased investments in R&D for rare and chronic skin conditions are further driving market expansion.

Asia-Pacific accounts for approximately 20%, with rapid growth in countries such as China, Japan, India, and South Korea. Rising disposable incomes, growing urbanization, and higher prevalence of acne, psoriasis, and eczema are fueling demand for topical and biologic therapies. The region is also witnessing increasing penetration of global brands and growing local manufacturing capabilities, making treatments more accessible and affordable.

Market Dynamics:

Driver
The growing prevalence of dermatological disorders such as psoriasis, acne, eczema, rosacea, and atopic dermatitis is a major driver of the global dermatology drugs market. Increasing awareness about skin health, improved diagnostic capabilities, and rising demand for advanced treatment options are accelerating market expansion.

According to the American Academy of Dermatology (AAD), psoriasis and acne are among the most common skin conditions in the United States, affecting millions annually. Approximately 7.5 million people in the U.S. are living with psoriasis, making it one of the most prevalent chronic inflammatory skin diseases. Psoriasis affects individuals of all ages but is most common among adults aged 45 to 64 years. Nearly 25-30% of psoriasis patients experience joint inflammation leading to psoriatic arthritis, a severe condition that significantly impacts quality of life.

Around 80% of psoriasis patients suffer from mild to moderate forms, while 20% experience moderate to severe disease, affecting over 5% of their body surface area. Plaque psoriasis, the most common type, accounts for 80-90% of all psoriasis cases and is characterized by raised, red patches covered with silvery-white scales. The increasing incidence of such chronic skin conditions, coupled with rising awareness and demand for targeted therapies such as biologics, continues to propel market growth.

Restraint
The global dermatology drugs market faces challenges due to the adverse effects caused by improper product use and self-medication. Inadequate awareness regarding the correct usage of dermatological products often leads to skin irritation, allergic reactions, and drug resistance, which hamper patient trust and compliance.

In developing and underdeveloped regions, factors such as poor diet, pollution exposure, and unhealthy lifestyles (including smoking and alcohol consumption) contribute to a higher prevalence of skin diseases. Moreover, limited access to dermatological care, low literacy rates, and lack of education on proper medication use in low- and middle-income countries further exacerbate the problem. These factors collectively restrain market growth by leading to misuse of over-the-counter products and suboptimal treatment outcomes.

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