French pharmaceutical giant Sanofi will look at new opportunities to invest in Australia when they arise

The boss of French pharmaceuticals giant Sanofi is convinced the rest of the world will follow its lead to Australia to take advantage of our nation’s scientific expertise.

Scientists in one of Sanofi’s research and development laboratories.

One of the world’s largest pharmaceutical companies will consider any opportunity to expand its operations in Australia, where it has almost 60 clinical studies under way – the most in any country outside the US.

Paul Hudson, chief executive of French pharmaceutical giant Sanofi, said the company had a $200m-plus investment in the Translational Science Hub in Brisbane, and was attracted by Australia’s world-class science and academic research sectors.

“We’re very open minded about our investments in Australia; if we saw an opportunity to manufacture something here that was better than the rest of the world, we would take it – the same with research and development,” Mr Hudson said.

“There is an opportunity in Australia for the rest of the world because of its early research, faster than almost any other place on the planet.

“You take ideas and turn them into medicine and that’s very early in the process. That’s the attractiveness of Australia – its one of the easiest countries to work on these things … With the scientific leadership, many countries will want to follow and do things here on a significant scale.”

Sanofi Australia has more than 250 staff, and its global operations generated $US53.031bn ($85bn) in revenue over 12 months to September 30, 2024 – an 8.22 per cent increase year-on-year. The company has a long pipeline of new medicines covering rare blood disorders, cardiovascular disease, multiple sclerosis, diabetes, eczema and a range of vaccines.

Sanofi chief executive Paul Hudson.

Mr Hudson said there was “great science” in Australia, and at the Translational Science Hub – a partnership between Sanofi, Griffith University, The University of Queensland and the Queensland government – which brought world-class researchers together in Queensland, who also worked with Sanofi scientists in France and the US.

“We will launch all of our global pipeline in Australia,” he said.

In December last year, the High Court upheld a federal-court decision dismissing the commonwealth’s appeal for compensation over a 2020 legal battle with Sanofi regarding an attempt by the company to prevent a competing generic medication from entering the Australian market.

The legal battle started when Sanofi was granted an interlocutory injunction in 2007 to prevent pharmaceutical provider Apotex trying to launch a generic version of Plavix, an anti-clotting medication marketed by Sanofi.

The case tapped into a long-running problem faced by the government in which generic pharmaceutical companies are prevented from entering the Australian market because of injunctions hinging on patents held by the original creators of a drug.

The injunction was later found to be invalid, which allowed Apotex’s launch, but not before the commonwealth alleged it had accrued a $100m-plus bill by having to foot the cost of having only one version of Plavix on the Pharmaceutical Benefits Scheme.

In a statement to The Australian this week, Sanofi said it was “pleased to receive the High Court’s ruling in December”.

“We have always been and remain of the view that the ability for innovative companies to protect and defend their intellectual property is a critical part of the predictability required for ongoing innovation and investment – the decision was a positive step toward this.”

Mr Hudson said innovation was the major way pharmaceutical companies could compete against generic brands.

“Ninety-five per cent of our pipeline is first or best in class,” he said. “If you launch something that changes people’s lives, save them or prevents a disease you will always find a way through, and that innovation is rewarded in the marketplace.

“I have found that when you are doing things that are quite incredible, almost miraculous, the healthcare system will find a way to resource them, because they understand the contribution they make to society.”

Mr Hudson said the mooted anti-vaccination stance by US president-elect Donald Trump did not faze him and he respected differing opinions.

“Many countries are going through their own journeys in their own societies in what they believe and don’t believe; we just stick to evidence data – that’s all we can do,” he said.

Originally published as French pharmaceutical giant Sanofi will look at new opportunities to invest in Australia when they arise