(Yicai) May 30 — US drugmaker Merck is replacing the head of its China operations with Kyle Tattle, the current president of the company’s Japan division, following a steep decline in first-quarter revenue.
Tattle will assume leadership after Anna Van Acker, global senior vice president, returns to Europe at the end of her four-year tenure in China, Yicai learned from the New Jersey-based pharmaceutical firm, known internationally as Merck Sharp & Dohme.
During his four-year term in Japan, Tattle helped boost Merck’s market position from eighth to third place, according to MSD. A longtime MSD executive, he previously led the company’s oncology business across China, Japan, and the broader Asia-Pacific region.
Van Acker’s initial years in China saw growth, but business performance declined in the latter part of her tenure. In 2023, MSD overtook AstraZeneca to become the leading multinational pharmaceutical firm in China, posting revenue of USD6.7 billion. However, over the past two years, its flagship product — a human papillomavirus vaccine — has faced growing competition from domestic manufacturers, leading to a drop in earnings.
In the first quarter of this year, MSD’s revenue in China plunged 62 percent year-over-year to USD668 million, representing less than 5 percent of its global total, according to its latest earnings report. In 2024, regional revenue fell 20 percent year-over-year to USD5.4 billion, accounting for 9 percent of Merck’s global total — down from nearly 13 percent the previous year.
The challenges are expected to continue. MSD’s core patents for Keytruda, its blockbuster cancer treatment used for melanoma, lung cancer, and cervical cancer, will expire in 2028. This could further intensify competition from rival products in China, according to industry insiders.
Editors: Dou Shicong, Emmi Laine
AloJapan.com