At this moment of political change in Europe, EFPIA is asking EU leaders to work together with industry to create opportunities to, once again, make the region a world-leader in life sciences. A Competitiveness Strategy for European Life Sciences and greater policy coherence would help Europe regain its position as the premier location for scientific research, skills and private investment, says EFPIA, as it calls for a dedicated office for life sciences based within the European Commission. 

This would align the sector with the ambitions of European Heads of State and Government who have publicly called for efforts to restore Europe’s competitive edge and it would boost EU health resilience and strategic autonomy. 

The EU is facing intense pressure for global medicines research investment. EFPIA’s annual Pharmaceutical Industry in Figures report, also published today, shows the rapid growth of countries like China and Korea, as well as the continued strength of the US. For the first time, in 2023, China beat Europe as a region for launching new active substances globally. After losing its crown to the US as the top innovation region in the world in 2000, Europe is now in third place.  

EFPIA is proposing five recommendations that can help Europe take a new approach to its life sciences ecosystem; one that prioritises connecting the sector and securing EU competitiveness. 

1. The creation of an EU Office for Life Sciences and a dedicated Competitiveness strategy for European Life Sciences:  

A fragmented legislative environment is leading to contradictory and incoherent policies that negatively affect life science companies operating in Europe. Responsibility for life sciences sits with multiple European Commission Directorate-Generals (DGs) and policy makers at EU and Member State level, creating significant obstacles.  

Despite efforts to streamline processes and improve market competitiveness, the lack of strategic coordination and oversight stands in stark contrast to Europe’s global competitors, who view life sciences as a strategic asset. A dedicated office could steer and coordinate policymaking, with a vision to make Europe a world-leader in science, innovation and modern manufacturing, by: 

• Creating strategic oversight and leadership, aligning EU policies affecting the sector  across Member States and at EU level, including regular engagement with the industry.  
• Developing comprehensive competitiveness checks on all legislation that impacts the sector 
• Optimising regulation, promoting faster approval timelines for Life Science R&D and manufacturing projects, and overseeing the implementation of the green and digital agendas.  

EFPIA also proposes four further recommendations to boost European health and life sciences: 

2. A European eco-system that can transform ideas into innovation 

Europe needs an eco-system-based approach if it is to compete with the major US hubs including Boston and San Francisco and close an investment gap that has seen the US share of global R&D rise from €2 billion a year to €25 billion a year mor than Europe in 20 years.   

A European life science strategy should foster competitive European biotech and pharmaceutical clusters, support and retain European start-ups, and strengthen European venture capital.  It should ensure that EU framework programs can foster partnerships with both big and small companies as well as partnering for European health security and reinforce internationally competitive Intellectual Property (IP) rights. 

3. Develop a globally competitive location for developing and manufacturing new technologies

Europe needs to recruit and retain the best people and develop them. It needs policies and infrastructure that attract basic research and clinical trials. To compete it should:  

• Improve STEM education, address the current EU skills gaps and strengthen the EU talent pool. 
• Develop harmonised, agile, clinical trials ecosystems that supports multi-country clinical trials  
• Promote the use of health data to fuel R&D and manufacturing of health technologies
• Attract investment in modern manufacturing by supporting the implementation of the Green Deal through a transition plan developed in partnership with industry, with agile regulation.  

4. Invest in health

With an ageing population, increased burden of chronic disease, a shrinking workforce, and the impact of climate change, the EU must support Member States in enhancing their healthcare systems by recognising health expenditure as an investment in the future, protecting health budgets and supporting strategic funding of infrastructure upgrades, prevention, digitalisation, national framework conditions and green practices. Facilitating the sharing of best practices among Member States in improving and modernising their healthcare systems is an often overlooked and incredibly valuable action that the EU Commission could take now.

5. Secure Europe’s place as a resilient global biopharma player

The strategy should ensure robust funding and resources for the EMA, enabling Europe to match the ambitions for a future-proof regulatory framework proposed in the revision of General Pharmaceutical Legislation, making the region more attractive to launch medicines and the EMA a leader in setting regulatory standards internationally. It requires alignment with the US and other regulators to prevent delays to medicines access, ensuring EU companies can grow and compete. 

Europe has lost 25% of its global R&D investment in just 20 years; its share of clinical trials has also fallen by a quarter in the last ten years. Trials for advanced therapies (ATMPs) – cell and gene therapies which show massive promise in treating advanced cancers and genetic disorders – are double and three times the number in the US and China respectively. In the current geopolitical circumstances, Europe should take the opportunity to drive forward with a clear direction and unity in order to reverse these trends, in order secure a healthier and more resilient Europe. 

EFPIA Director General, Nathalie Moll, said, “Despite the health and economic benefits of this sector being highly relevant for 500 million Europeans, it is often seen as an ‘add on’ to multiple EU departments at times resulting in disjointed  policies. Regaining Europe’s position as a world-leader in medical science requires strategic and dedicated focus at EU level.” 

Lars Fruergaard Jorgensen, EFPIA President and President and CEO of Novo Nordisk, said:  "At this moment of political change, the EU has a fantastic opportunity to turn today’s challenges into a virtuous circle for our future health and prosperity. To make Europe, once again, the leader in life-sciences. To attract the best scientific research, develop the best talent, and provide a home for the manufacturing of the future.  

To do so, European policymakers must unite behind an ambitious strategic vision for the competitiveness of the life science sector in Europe. Despite challenging geopolitical circumstances, the recommendations published today can point them in the right direction – and I look forward to working together to achieve our common goal of a more competitive, healthier, and stronger Europe".