Canada’s Pharmaceutical Products Industry: Industrial Profile Winter 2016

Research and Development—R&D spending as a share of total sales continues to decline, which may keep Canadian firms from capitalizing on rising demand from aging populations in the higher-margin patented drug market.

International Trade—Canadian exports of pharmaceutical products are booming. New free trade agreements with the EU and Pacific Rim countries will increase access to more foreign markets for Canadian firms.

U.S. Legislation—The U.S. Affordable Health Care Act has increased the number of Americans covered by drug plans, boosting demand in a high-price environment for Canadian drugs.