Korean pharmaceutical companies are stepping up their global push into the fast-growing obesity drug market, as surging demand reshapes the pharmaceutical industry and intensifies competition worldwide. Companies including HK inno.N, Ildong Pharmaceutical, Celltrion and Hanmi Pharmaceutical are accelerating development and overseas expansion strategies, aiming to challenge established global leaders while carving out space in emerging markets.
Hanmi Pharmaceutical has taken a notable step abroad with an exclusive distribution agreement in Mexico for its obesity drug efpeglenatide, which has yet to be launched. The company signed the deal on Jan. 27 with Sanfer, Mexico’s largest privately owned pharmaceutical firm, marking one of Korea’s most ambitious overseas moves in the obesity treatment sector.
Efpeglenatide belongs to the glucagon-like peptide-1 (GLP-1) class of drugs, the same category as Novo Nordisk’s blockbuster Wegovy. GLP-1 drugs work by regulating blood sugar and appetite, helping patients feel full for longer periods. Hanmi plans to launch efpeglenatide in Korea in the fourth quarter of this year after submitting an application for marketing approval to the Ministry of Food and Drug Safety late last year. Sanfer is also targeting a launch in Mexico later this year, pending approval from the Federal Committee for Protection from Sanitary Risks.
“Mexico is one of the countries with the highest obesity rates, at around 37 percent,” a Hanmi Pharmaceutical representative said. “This agreement reflects the Mexican market’s confidence in Korea’s first GLP-1 obesity treatment.”
Global obesity drug boom reshapes pharma industry
The rapid expansion of the global obesity drug market has been driven by demand that far exceeds supply. Flagship products such as Wegovy and Eli Lilly’s Mounjaro have struggled to keep pace with prescriptions worldwide, underscoring the scale of unmet medical need.
According to healthcare data company Iqvia, the global obesity drug market reached approximately $30 billion last year and is projected to grow at an average annual rate of around 30 percent, reaching $200 billion by 2030. Bloomberg data show that Mounjaro became the world’s top-selling prescription drug last year with sales of about $35.9 billion, narrowly surpassing Wegovy’s $35.6 billion. Merck’s cancer drug Keytruda, which had dominated global sales for two consecutive years, fell to third place.
“The treatment paradigm for obesity and metabolic diseases signals a structural shift away from a market long dominated by cancer drugs,” said Kwon Hae-soon, a researcher at Eugene Investment & Securities.
Competition between Mounjaro and Wegovy has further accelerated market growth. Eli Lilly gained an edge by expanding supply and positioning Mounjaro as a broader metabolic treatment, supported by roughly $23 billion in manufacturing investments since 2020. Novo Nordisk, meanwhile, has sought to regain momentum after underestimating Wegovy demand by introducing a once-daily oral version of the drug in the United States. Eli Lilly is also intensifying competition by seeking U.S. Food and Drug Administration approval for its oral Mounjaro alternative, orforglipron.
Korean drugmakers target overseas growth
Against this backdrop, Korean pharmaceutical and biotech companies are increasingly viewing obesity drugs as a long-term growth engine. Many are developing treatments based on domestic clinical trials that reflect Korea’s obesity standards, which define obesity as a body mass index above 25—lower than the U.S. benchmark of 30.
HK inno.N recently completed enrollment for a domestic Phase 3 clinical trial of a once-weekly injectable obesity drug, filling all 313 participant slots within four months of enrolling its first patient in September last year. The company plans to complete the 40-week dosing period this year and apply for regulatory approval early next year.
Competition is also heating up in pill-based obesity treatments. Ildong Pharmaceutical, through its subsidiary Yunovia, is developing an oral drug and preparing to enter Phase 2 trials, with the aim of securing global technology licensing deals. Celltrion is pursuing both injectable and oral obesity therapies, while Sam Chun Dang Pharm is developing a pill-based GLP-1 treatment and has already secured supply agreements with Japanese and European pharmaceutical companies. Alteogen is also working on a long-acting obesity treatment designed to maintain weight loss over extended periods.
China emerges as major price challenger
While GLP-1 drugs remain expensive and in limited supply, restricting access in many developing markets, Korean companies are positioning themselves as more affordable alternatives to expand overseas. However, China has emerged as a formidable competitor, leveraging its vast domestic market and extensive clinical trial infrastructure to accelerate development.
Industry sources estimate that more than 60 GLP-1 obesity treatments are currently in late-stage clinical trials in China. Chinese firms also hold a strong pricing advantage. Innovent Biologics, which launched China’s first domestically developed obesity drug Mazdutide last June, cut prices by about 40 percent earlier this year, reducing the monthly cost of a 2-milligram dose to around 900 yuan ($220).
Additional pressure is expected as more biosimilar or generic GLP-1 treatments enter the Chinese market following the expiration of Novo Nordisk’s semaglutide patent in China later this year.
Despite intensifying competition, industry observers say Korean drugmakers retain strategic advantages. “Markets in Latin America, such as Mexico, and in the Middle East, including the United Arab Emirates, are closely watching Korea’s obesity drug development,” a pharmaceutical industry official said. “Even as China competes aggressively on price, Korea maintains an edge in medicines where safety, quality and trust are critical.”
As the global obesity drug market continues to expand, Korean pharmaceutical companies are betting that innovation, credibility and targeted overseas partnerships will help them secure a lasting position in one of the world’s fastest-growing healthcare sectors.
