Korea's 1st homegrown obesity drug likely to intensify price competition
Hanmi Pharmaceutical’s Eppe, Korea’s first domestically developed GLP-1 obesity drug / Courtesy of Hanmi Pharmaceutical
Hanmi Pharma's Eppe launched as price gaps drive more Koreans to buy drugs illegally in Japan
Korea’s first homegrown obesity drug could shake up a market dominated by Mounjaro and Wegovy, an industry official said, as more Koreans travel to Japan to obtain cheaper Mounjaro and bring it home illegally, driven by the high cost of obesity treatments in Korea.
Chung Sang-won, director of pharmacy innovation at the Korea Pharmaceutical Association, said the launch of Eppe, Korea’s first domestically developed glucagon-like peptide-1 (GLP-1)-based obesity treatment, could intensify price competition, as seen in China.
“The price of Eli Lilly’s Mounjaro fell by as much as 66 percent in China earlier this year, from 1,758 yuan ($262) to 599 yuan. Novo Nordisk’s Wegovy also saw a substantial price drop,” Chung said.
The price cuts came amid intensifying competition in China, where domestically developed GLP-1-based obesity treatments have entered the market. In 2025, Innovent Biologics’ mazdutide, a dual glucagon and GLP-1 receptor agonist, received approval from Chinese authorities, adding to competition in the country’s obesity drug market.
Sciwind Biosciences’ ecnoglutide received approval in February this year, adding to the growing competition. More than 10 Chinese pharmaceutical companies are preparing to launch generic versions of semaglutide following the expiration of its patent, according to the China Specialist Forum, run by the Korea Institute for International Economic Policy.
“Global pharmaceutical companies lowered their prices as Chinese treatments entered the market. If Eppe is priced below Mounjaro and Wegovy in Korea, a similar effect on competition could follow,” Chung said.
Korean pharmaceutical company Hanmi Pharma announced on Oct. 7 that Eppe had received approval from the Ministry of Food and Drug Safety. The drug is expected to be priced below its competitors, with its first-month supply expected to cost around 129,800 won ($96), roughly half the cost of a month’s supply of Mounjaro in Korea.
The drug is also projected to cost 17 percent less than Wegovy and 19 percent less than Mounjaro during maintenance treatment. While the company has not officially disclosed its pricing, it has signaled plans to compete on price as a latecomer to the fast-growing obesity drug market.
Price is an important factor, according to Chung.
“Obesity drugs often require long-term use, so cost can play a significant role in whether patients start and continue treatment,” he said.
Chung cautioned, however, that patients should consider other factors, including weight-loss efficacy, side effects and coexisting medical conditions. He added that Eppe and Mounjaro differ in their mechanisms of action and supporting clinical evidence, making direct comparisons of their efficacy and safety difficult.
Even so, the arrival of a more affordable Korean alternative could prompt existing manufacturers to reconsider their pricing.
Eppe’s approval comes as more Koreans travel to Japan to buy cheaper Mounjaro and bring it back to Korea illegally amid concerns over the high cost of Wegovy and Mounjaro. According to the Korea Customs Service, 5,030 cases of obesity drug smuggling were detected through August this year, 4.2 times the figure recorded during the same period a year earlier.
A one-month supply of Mounjaro at the 2.5-milligram dose costs at least around 270,000 won in Korea. In Japan, the same supply costs around 10,000 yen ($63), offering a financial incentive for the illegal trade.
Posts openly displaying photos of Mounjaro packages purchased in Japan have flooded Korean social media and online forums.
“I bought a one-month supply of each of the 2.5-, 5- and 7.5-milligram doses of Mounjaro in Japan and saved 430,000 won, even after accounting for travel, meals and accommodation,” one post read. The trend has even earned the nickname “sushijaro,” a combination of sushi and Mounjaro.
“What stands out to me is that a new domestically developed drug could stimulate competition and ultimately improve patients’ access to treatment and expand their options,” Chung said.
“It is important to ensure that drug choices are supported by adequate clinical evidence, that patients receive ongoing guidance on taking their medication and that safeguards are in place for safe use.”