A committee established last July by Japan’s Ministry of Health, Labour and Welfare has been reviewing pharmaceutical regulations in Japan, looking at revisions to the requirements for orphan drugs, promoting the development of pediatric medicines and the necessity of data from Japanese participants, and also the issue of drug shortages.
Since holding its first meeting on July 10, 2023, discussions by the review committee have taken place about once a month, and a draft report was presented at the ninth and final meeting on March 21.
The committee was established in part to review what’s known as the “drug lag/drug loss” issue, where new drugs approved in Europe and the US are not introduced in Japan, as well as the problem of shortages in the supply of generic drugs. It has been issuing notifications calling for revised regulations as soon as discussions on certain topics are completed.
For example, in December 2023, the MHLW issued a notification titled “Basic principles for conducting phase 1 studies in Japanese prior to initiating multi-regional clinical trials including Japan for drugs in which early clinical development is preceding outside Japan.” In January 2024, four notifications were issued regarding the designation of orphan drugs and the promotion of pediatric drug development.
“I’m impressed by such speedy responses,” says Yuji Kashiwaya, chairperson of the Pharmaceutical Affairs Committee of the Japan Pharmaceutical Manufacturers Association (JPMA) and a member of the committee. “I’m grateful for the opportunity to present the opinions of the pharmaceutical industry in the committee. Not all of the industry’s opinions have been adopted, but I think our proposals have been accepted to a considerable extent.”
Among the discussions at the committee, representatives from pharmaceutical companies were particularly interested in the matter concerning the necessity of Phase 1 clinical trials in Japanese participants.
Phase 3 clinical trials, which are the final stage of drug development, are typically conducted as large-scale international joint trials. If Japan participates in these international joint trials, approval and marketing can take place almost simultaneously in Japan, the US and Europe. However, if Japan does not participate, it leads to drug lag or drug loss.
A notification issued in 2007 titled “Basic principles on Global Clinical Trials” stated that, in principle, Phase 1 trials involving Japanese participants were necessary. However, there has been an increase in cases where startup companies conduct Phase 1 and Phase 2 clinical trials involving only non-Japanese subjects overseas, obtain proof of concept (PoC), and then have the development taken over by major pharmaceutical companies through licensing. In such cases, if a Phase 1 trial involving Japanese subjects is required before the international joint trial, it would delay the start of the international joint trial, and there could even be a decision to exclude Japan from the trial.
The review of this regulation was discussed in the committee, and the notification issued in December 2023 stated that “in principle, there is no need to conduct additional Phase 1 trials involving Japanese subjects.”
However, some have pointed out that “the requirement for Phase 1 trials involving Japanese subjects was not necessarily demanded previously, so essentially nothing has changed.” Nevertheless, Kashiwaya of JPMA said, “If safety can be ensured based on overseas data, there is no need to deliberately collect data from Japanese subjects. This is a significant step forward in terms of being able to provide drugs to patients more quickly.”
Furthermore, Kashiwaya added, “Previously, even if we thought a Phase 1 trial involving Japanese subjects was unnecessary, we needed to obtain approval through face-to-face consultations with the Pharmaceuticals and Medical Devices Agency (PMDA). Going forward, we can eliminate such unnecessary time. However, when submitting a clinical trial application, if we are unable to provide a cogent rationale as to why we believe the safety of Japanese participants can be ensured, we are likely to be asked to conduct a Phase 1 trial.”
Additionally, the committee discussed biosimilars, and it was determined that Japanese data are not required if ethnic factors of the subjects are not expected to affect the trial results.
The committee also discussed the necessity of Japanese data in pivotal trials. This is because there have been cases where Japanese patients’ access to drugs was delayed or development in Japan was abandoned due to the need to conduct clinical trials in Japan when development was already happening overseas. The draft report provided several examples of situations where new drug applications could be made without Japanese data, as shown in the draft report. It was also stated that, in principle, the conditional approval system should be utilized in cases where the submission of results from clinical trials involving Japanese subjects is required after approval.
In response to compliance issues at some generic drug companies, when companies conducted self-inspections to verify the consistency between their manufacturing and marketing approvals and their actual manufacturing practices, many have identified cases in which they must comply with pharmaceutical regulations.
The committee discussed the procedures for managing changes to manufacturing methods. Japan will introduce a category of “moderate changes,” adding to what previously were two categories: “partial change approval application,” which required prior application before making changes, and “minor change notification,” where notification had to be submitted within 30 days after the change.
Second, since there is a system in other countries to submit minor change items in an annual report once a year, a similar system will be considered in Japan. And the manner of describing items in approval documents, which have been criticized as being “too detailed,” will also be reviewed to ensure international consistency. The specific details will continue to be discussed between the pharmaceutical industry and the MHLW.
Additionally, a policy to review the pharmaceutical affairs monitoring system, including GMP compliance inspections, was also called for. In particular, since there have been significant variations in the experience and abilities of inspectors among prefectures, efforts will be made to raise the level through collaboration with the PMDA going forward.
Compared to the US and Europe, Japan has significantly fewer orphan drug designations, which has been pointed out as a contributing factor to drug lag and drug loss. After discussions in the committee, revisions were made to allow more candidate products to be designated as orphan drugs. However, with an increase in products subject to priority review, concerns were raised about the PMDA’s lack of review resources. Consequently, it was stated in (4) that “while strengthening the PMDA’s structure will be considered in parallel, until this is realized, the scope of products subject to priority review will be limited to those meeting the conventional requirements.”
Regarding this, Kashiwaya of the JPMA said, “It was unexpected that the number of products subject to priority review would not be increased due to the PMDA’s lack of resources. On the other hand, many people also move from the PMDA to pharmaceutical companies, so staff shortages are somewhat unavoidable. As the pharmaceutical industry, we would like to propose areas where we can cooperate with the PMDA. Otherwise, there are concerns that Japan’s review process may become stagnant.”
The issues of ensuring stable supply and resolving drug loss, which motivated the establishment of the committee, are unlikely to be solved solely by reviewing the pharmaceutical regulations. Behind the shortage of generic drug supply lie issues with industrial structures and distribution practices, while drug loss is caused by a complex interplay of factors such as Japan’s clinical trial environment and the declining attractiveness of the Japanese pharmaceutical market. Efforts to address each of these issues one by one are essential.
Additionally, as science and technology progress with the emergence of new modalities, the state of pharmaceutical regulations will require constant review. While some topics are expected to continue being discussed after the compilation of the committee’s report, it is hoped that discussions will also continue on broader systemic revisions.
First published with our partner Nikkei Biotechnology & Business here.