Roche has put future German investment decisions on hold, Roche Germany chief Daniel Steiners told Welt, as Berlin courts investors ahead of a higher mandatory rebate on drugmakers.
In the Oct. 19 interview, Steiners reiterated the company's earlier pause on investment decisions. He argued that added costs and a focus on near-term savings weaken the case for investing in Germany.
The German government said its Oct. 20 summit in Berlin would bring together about 200 executives and investors. The meeting is part of its effort to attract private capital, while Roche's decision shows the pressure its health insurance policy is placing on one potential investor.
Roche has not named any prospective project covered by the hold. Projects already approved are unaffected, a company spokesperson told Reuters. They include a diagnostics production center in Penzberg costing more than €600 million. Roche says the center is scheduled for completion by 2028.
Under the new law, manufacturers will provide an additional 8.5% rebate on generally covered patent-protected medicines starting Jan. 1, 2027. That will bring the combined rebate to 15.5%, up from 7%. The law provides exceptions for certain medicines.
Germany's Federal Ministry of Health (BMG) estimates that statutory health insurance faces a €19 billion funding gap in 2027. It says health spending has grown faster than income from insurance contributions and expects the higher rebate to save insurers about €12 billion through 2030. The savings would benefit insurers and contributors, while drugmakers would bear the added discount.
Roche invested about €719 million at its German sites in 2025 and employed 18,594 people there at year-end, according to the company. Those figures show the scale of its existing operations, but Roche has given no value for the future decisions it has paused.
A government-appointed panel has proposed linking relief from the additional rebate to drugmakers' research, production, investment and employment in Germany. The proposal awaits government and legislative action. The rebate increase is set to take effect Jan. 1, 2027.
