The Korea Fair Trade Commission (KFTC) concluded that Novo Nordisk violated competition laws when it unilaterally terminated supply contracts for its NovoFine Plus needles without sufficient justification. The regulator stopped short of imposing financial penalties, citing the company’s global supply strategy and the relatively narrow scope of affected consumers.
At the center of the dispute is NovoFine Plus, an ultra-thin 4-millimeter needle developed to reduce injection pain and the risk of improper delivery, especially in children requiring daily insulin. Introduced in 2020, the premium needle quickly became a critical tool for families managing Type 1 diabetes.
In July 2022, Novo Nordisk notified its South Korean distributor that it would halt standalone sales of NovoFine Plus, citing surging global demand for Ozempic — a drug originally developed to treat Type 2 diabetes but widely used off-label for weight loss.
The company said it needed to reserve limited needle inventory for bundling with Ozempic injector pens rather than distributing them separately.
Supply to the South Korean market ceased entirely in September 2022, despite a supply contract that was scheduled to remain in effect through the end of that year. In place of NovoFine Plus, the company offered older models with larger diameters — alternatives that many patients and families found more painful and difficult to use.
“Even if a product is being reallocated for global strategic reasons, firms must honor local agreements and consider the welfare of vulnerable populations,” a KFTC official said, speaking on background.
Ozempic, a glucagon-like peptide-1 receptor agonist, has seen a meteoric rise in demand globally, fueled by its effectiveness in weight loss.
The drug has frequently been the subject of controversy, with regulators and physicians raising concerns about supply imbalances, particularly when it comes at the expense of patients with critical medical needs.
While the KFTC opted for a non-monetary sanction in this case, legal experts said the warning sends a signal that South Korea is prepared to challenge global pharmaceutical practices when they clash with local consumer rights.
reporter
Kim Dong-young
davekim0807@ajupress.com
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