Generic Drugs Market Size, Share, Growth, Trends, and Global Industry Analysis: By Therapeutic Area (Cardiovascular, CNS, Antibiotics, Oncology, Gastrointestinal, Hormones, Pain Management, Others), By Distribution Channel (Hospital Pharmacies, Retail Pharmacies, Online Pharmacies, Others) and Region Forecast 2020-2031

Generic Drugs Market size was valued at US$ 441.5 billion in 2024 and is expected to reach US$ 646.5 billion by 2031, growing at a significant CAGR of 5.6% from 2025-2031. A generic drug is pharmaceutical drug, which is bio equivalent to branded drug. Generic drugs are usually approved after patent expiration of patent drugs. global Market is driven by the prevalence of various diseases, need for cost effective drugs for treatment, and government initiatives to increase the use of generic drugs. In addition, favourable regulatory policies, expiry of the branded drugs, and growth in biosimilars segment are expected to boost the generics drugs market. Furthermore, participants in the supply chain such as wholesalers, retailers and pharmacies also benefit from the sale of the generic drugs with high margins compared to branded generics.This emerged as key driver for the growth of the market.

However, lack of awareness about the availability of generic drugs, competition from branded generics and lack of price control are hampering the market. Because researchers were not allowed to attend laboratories and conduct ongoing experiments owing to the pandemic, several clinical trials were postponed. Those molecules would enter the market as a patented molecule if there were no interruptions, resulting in an increase in the market during the predicted period. Because the global market is so large, it is expected to keep rising over the projection period. The rising prevalence of chronic diseases, the growing senior population, and rising healthcare costs are all factors contributing to this trend.

Key Developments

• In March 2025, Mallinckrodt and Endo, both pharmaceutical companies with histories of bankruptcy and involvement in U.S. opioid litigation, agreed to merge in a deal valued at nearly $7 billion. This merger aims to enhance their scale for selling branded drugs and is expected to generate $3.6 billion in revenue by 2025.
• In February 2025, Bain Capital agreed to acquire Mitsubishi Chemical Group's pharmaceutical division, Mitsubishi Tanabe Pharma, for approximately $3.37 billion. This acquisition is part of Mitsubishi Chemical's strategy to focus on its core chemical businesses.
• In December 2024, the U.S. Food and Drug Administration approved Hikma Pharmaceuticals' generic version of Novo Nordisk's diabetes drug Victoza (liraglutide). This approval allows Hikma to launch its branded generic in the United States, providing a more affordable option for patients.
• In August 2017, Nexus Pharmaceuticals got U.S. FDA approval for the first generic version of Hospira’s Isuprel, for the treatment of bradycardia, heart block.
• In January 2015, Ivax Pharmaceuticals, a subsidiary of Teva Pharmaceuticals got FDA approval for first generic version of AstraZeneca’s Nexium to treat gastroesophageal reflux disease (GERD).