Pfizer CEO warns German investment at risk over drug pricing policies - Finance news and analysis from Global Banking & Finance Review
Finance

Pfizer CEO warns German investment at risk over drug pricing policies

Published by Global Banking & Finance Review

Posted on June 10, 2026

2 min read

· Last updated: June 10, 2026

Add as preferred source on Google

Pfizer CEO Warns German Investments at Risk Over Drug Price Policies

Impact of German Drug Price Policies on Pharmaceutical Investments

By Maggie Fick, Bhanvi Satija and Patricia Weiss

Pfizer's Review of Investment Plans

LONDON/FRANKFURT, June 10 (Reuters) - Pfizer is reviewing the timing and scope of planned investments in Germany, CEO Albert Bourla said in a letter to Chancellor Friedrich Merz, citing the government's policy proposals that would lower drug prices.

The letter, dated June 9 and seen by Reuters on Wednesday, was first reported by German business newspaper Handelsblatt.

Concerns Over Investment Predictability

Bourla wrote that the proposals call into question the predictability required for the pharmaceutical industry's long-term investment decisions.

Potential Changes in Pfizer's Engagements

"As a result, we are reviewing our external engagements as well as the timing, scope, and future prioritization of certain planned investments in Germany," the letter read.

Broader Industry Response

It comes the week after ⁠U.S.-based Eli Lilly said it would halve its $2.3 billion ​investment in Germany and German drugmaker Boehringer Ingelheim scrapped ​its €900 million plans, both citing the government's planned healthcare cost-cutting measures.

(Reporting by Maggie Fick and Bhanvi Satija in London, and Patricia Weiss in Frankfurt. Editing by Andrew Heavens and Mark Potter)

Key Takeaways

  • Pfizer is reconsidering timing, scope and prioritization of investments in Germany due to planned government measures reducing drug prices, which undermine investment predictability (zeit.de).
  • This move adds to a growing trend: Eli Lilly will halve its €2.3 billion investment in Germany and Boehringer Ingelheim has scrapped €900 million in planned investment—both citing the same pricing reforms (whtc.com).
  • The investment pullback underscores broader concerns within the pharma sector about Germany’s attractiveness as an innovation hub amid tightening health‑care cost‑cutting legislation (whtc.com).

References

Frequently Asked Questions

Why is Pfizer reviewing its investments in Germany?
Pfizer is reviewing investments due to German government proposals to lower drug prices, which threaten the predictability required for long-term investment.
Which other companies have changed investment plans in Germany?
Eli Lilly and Boehringer Ingelheim have both reduced or cancelled investment in Germany over government cost-cutting policies.
Who did the Pfizer CEO address regarding the drug pricing policies?
The Pfizer CEO addressed his concerns in a letter to Chancellor Friedrich Merz.
What concerns does the pharmaceutical industry have about the new German policies?
The primary concern is that lower drug prices undermine the predictability needed for long-term pharmaceutical investments.

Tags

Related Articles

More from Finance

Explore more articles in the Finance category