Europe's Drug Shortage Challenge: From Supply Disruptions to Patient Impact

One of the most enduring pharmaceutical issues in Europe today is drug shortages.

Drug Shortage Challenge

Supply delays can swiftly transition from a manufacturing issue to a patient-care problem for everything from antibiotics and cancer medications to vital hospital treatments. World BI is organizing a conference on Pharma Supply Chain and Logistics Innovation Programme on 14-15 April in Basel, Switzerland.

The more important question as Europe approaches 2027 is not whether or not policymakers acknowledge the issue; they obviously do. The true question is whether the proposed methods can actually increase the resilience of pharmaceutical supply chains.

What Has Europe Changed?

In response to the lack of medications, the European Union has been developing a more coordinated strategy. The establishment of the European Shortages Monitoring Platform (ESMP), which went live in January 2025, was one significant advancement.

It makes it possible for national authorities and pharmaceutical businesses to more systematically exchange data on the supply, demand, and availability of medications.

Additionally, Europe has created a Union list of essential medications. The list is intended to prioritize action about potential vulnerabilities and identify medications where supply continuity is especially crucial. Crucially, a medication is not necessarily in short supply just because it is on the list.

The Critical Medicines Act (CMA), which the European Commission proposed in 2025, is another significant development. Among its measures are:

  • Funding strategic initiatives for essential medications and their components
  • Promoting more robust public procurement
  • Encouraging cooperative procurement among EU nations
  • Increasing state assistance and financing availability for key initiatives
  • Investigating global collaborations to increase supply chain diversity

These actions signify a change from merely responding to shortages to attempting to avoid them.

Europe's New Approach to Medicine Supply Resilience

The European Commission's pharmaceutical reform, presented in 2023, aims to improve access to affordable medicines while strengthening supply security. The reform responds to concerns over shortages, including antibiotics and painkillers, and focuses on making Europe's pharmaceutical sector more flexible, competitive and patient-centred.

The Commission has also introduced a Union list of Critical Medicines containing more than 270 active substances, helping authorities identify and monitor medicines that are particularly important to healthcare systems.

To address longer-term supply risks, the EU established the Critical Medicines Alliance in 2024, bringing together more than 300 stakeholders. Its recommendations helped shape the Critical Medicines Act proposed in March 2025.

The Act focuses on:

  • Increasing EU manufacturing capacity
  • Strengthening public and collaborative procurement
  • Diversifying international supply partnerships
  • Reducing dependence on single suppliers and third countries

Together, these measures represent a broader shift from simply responding to shortages toward building more resilient medicine supply chains.

Antibiotic Shortages Highlight Supply-Chain Risks

Antibiotics are particularly vulnerable to supply-chain disruptions. In France, shortage alerts for human medicines increased 20-fold between 2008 and 2018, while anti-infectives, including antibiotics, accounted for 21% of reported shortages. WHO identifies economic viability, complex production and supply chains, and regulatory issues as key contributing factors. Shortages can also force healthcare professionals to use alternative treatments, potentially increasing costs and the risk of antibiotic resistance.

Are the Policies Already Working?

It is too soon to declare triumph, but there are some positive indications.

EMA stated in 2025 that a number of serious shortages were managed with the assistance of its coordination and monitoring systems. Additionally, the voluntary solidarity mechanism was employed six times, and in each instance, at least one Member State was able to offer assistance.

Positive advancements regarding the seasonal availability of antibiotics were also seen. According to EMA, as of late December 2025, there were no significant shortages of any of the antibiotics that are frequently used to treat respiratory infections.

These findings do not, however, imply that Europe's underlying supply-chain vulnerabilities have vanished.

The Challenges Europe Still Faces

Pharmaceutical manufacturing is deeply connected across the globe. Drug shortages can be caused by production limitations, quality issues, restricted manufacturing capacity, transportation disruptions, rising demand, and reliance on a limited number of suppliers.

Several areas remain particularly vulnerable:

  • Limited manufacturing capacity for certain medicines and ingredients
  • Highly concentrated supply chains that increase reliance on individual suppliers
  • Limited commercial incentives for some older generic medicines
  • Growing demand for specific treatments
  • Complex procurement systems across European markets

Building resilience, therefore, requires more than simply increasing medicine inventories.

What Could 2027 Look Like?

By 2027, the effectiveness of Europe's strategy will depend largely on how well these measures are implemented.

Better data can help regulators spot potential problems sooner. Supply-chain risk assessments can highlight areas requiring action. Strategic manufacturing initiatives and coordinated procurement could also reduce reliance on vulnerable supply networks.

However, building resilience ultimately requires investment from manufacturers, governments, and healthcare systems.

The key areas to monitor will be whether Europe can:

  • 01Identify shortages earlier
  • 02Diversify critical suppliers
  • 03Expand European manufacturing capacity
  • 04Strengthen coordination between Member States
  • 05Establish sustainable incentives for essential medicines

Conclusion

Europe is moving toward a more structured approach to drug shortages through better monitoring, critical-medicine identification, supply-chain assessments, and the Critical Medicines Act.

2027 will be a key test of implementation.

The real question is whether Europe can maintain medicine availability during manufacturing disruptions, geopolitical events, or sudden demand increases.

For pharma, supply-chain resilience is becoming an essential part of long-term development, manufacturing, and commercial strategy.

World BI Pharma Supply Chain & Logistics Innovation Programme

The Pharma Supply Chain and Logistics Innovation Programme organized by World BI is a leading industry conference that brings together pharmaceutical manufacturers, biotech companies, logistics providers, technology experts, and supply chain leaders to discuss the latest trends, challenges, and innovations in pharmaceutical supply chains. The programme focuses on topics such as supply chain resilience, digital transformation, cold chain logistics, regulatory compliance, risk management, sustainability, and emerging technologies, providing a platform for networking, knowledge sharing, and exploring strategies to build more efficient and future-ready supply chains.

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