United States Diabetes Drug Market Overview, 2030

The United States diabetes drug market is driven by factors such as rising prevalence of diabetes, rapid advancements in drug development, increasing awareness and early diagnosis, introduction of various government support programs, heightened focus on personalized medicine, and escalating lifestyle changes leading to obesity. As of the latest estimates, over 38.5 million Americans roughly 12% of the U.S. population live with diabetes. According to the American Diabetes Association, total annual diabetes-related expenditures in the U.S. reached $404.5 billion in a year. On a per capita basis, diabetes care is one of the most expensive chronic conditions to manage, with average annual costs per diabetic patient significantly exceeding those of people without diabetes. For instance, Ozempic can cost approximately $936 per month in the U.S., significantly higher than in other countries, prompting public concern and political action. In response, U.S. lawmakers like Senator Bernie Sanders have begun advocating for drug price regulation to make these life-saving medications more accessible. The major innovation involves oral GLP-1 therapies, like Eli Lilly’s orforglipron, which promise similar benefits to injectable GLP-1s but in pill form, potentially expanding access and patient adherence. At the same time, biosimilar insulins, such as Semglee, Rezvoglar, and Admelog, are being approved to drive down prices in the insulin market by offering low-cost alternatives to legacy brands like Lantus and Humalog. In December 2023, Tandem Diabetes Care announced the full U.S. launch of Tandem Source, a new diabetes management platform for customers and healthcare providers. The U.S. market is also seeing a parallel rise in costs. This has triggered regulatory scrutiny and reform efforts. The Inflation Reduction Act (enacted in 2022) has capped out-of-pocket insulin costs at $35/month for Medicare recipients, a historic step that benefits over a million people. However, private insurance patients still face variable and often high expenses.

According to the research report ""United States Diabetes Drug Market Overview, 2030,"" published by Bonafide Research, the United States Diabetes Drug market is anticipated to grow at more than 5.15% CAGR from 2025 to 2030. Urbanization and fast-paced living have also created a surge in demand for easy-to-administer and time-saving therapies, such as once-weekly injectables or oral alternatives. Patients now prioritize convenience, which is prompting pharmaceutical companies to invest in drug delivery innovation. In response, drugs like tirzepatide, with dual action on GIP and GLP-1 receptors, have shown high demand because of their dual benefit in glucose control and weight reduction. These have gained rapid adoption due to their user-friendly format and superior efficacy. Furthermore, increased awareness of diabetes-related complications such as cardiovascular disease, kidney failure, and neuropathy has led to a greater urgency for effective drug regimens that do more than just lower blood sugar, thus widening the market scope for combination therapies and long-term protective treatments. In February 2025, the U.S. FDA approved Merilog (insulin-aspart-szjj), the first rapid-acting insulin biosimilar to Novolog, for adults and children with diabetes. Approved in 3ml prefilled pen and 10ml vial forms, Merilog aims to improve mealtime glycemic control. Manufactured by Sanofi-Aventis U.S. LLC, it is the third insulin biosimilar approved in the U.S. This milestone supports the FDA’s goal to expand access to cost-effective insulin therapies and foster a competitive biosimilar market for diabetes treatment. The average medical expenditure for a person with diabetes is $10000, with a growing patient pool and wider insurance coverage under the Affordable Care Act (ACA), more individuals are accessing prescription therapies than ever before. In January 2023, Eli Lilly and Company announced plans to invest an additional USD 450 million in the expansion of its manufacturing facility in North Carolina. The expansion includes additional parenteral filling and expanded device assembly & packaging capacity to support an increased demand for Lilly's incretin products that treat diabetes.

The U.S. sees high demand for rapid-acting and long-acting insulins such as insulin glargine and insulin lispro. While traditional insulins have faced pricing controversies, biosimilar insulins are gaining traction, offering cost-effective alternatives. Companies like Eli Lilly and Novo Nordisk dominate this space, and the Biden administration’s price cap on insulin at $35 for Medicare beneficiaries has intensified focus on affordability and access. Meanwhile, GLP-1 receptor agonists such as semaglutide (Ozempic, Wegovy) and dulaglutide (Trulicity) are surging in popularity not only for glycemic control but also for their weight-loss benefits, fueling dual demand from both diabetic and obese populations. These injectables have revolutionized diabetes management in the U.S., especially with mounting clinical data linking them to cardiovascular benefits, prompting broader adoption among prescribers and patients. DPP-4 inhibitors like sitagliptin (Januvia) and linagliptin (Tradjenta) offer oral alternatives that are widely used for their safety profile and ease of administration, though their market share is plateauing due to the superior efficacy of GLP-1s and SGLT2s. SGLT2 inhibitors, including empagliflozin (Jardiance) and dapagliflozin (Farxiga), have rapidly risen to prominence due to their multifaceted benefits lowering blood sugar, promoting weight loss, and crucially, improving heart and kidney outcomes. The “Others” category, including metformin, sulfonylureas, and combination therapies, represents foundational and cost-effective treatments. Metformin, in particular, remains the first-line therapy due to its long-standing efficacy, affordability, and safety. Sulfonylureas are still prescribed in certain demographics, though their usage is declining due to risks like hypoglycemia.

Type 1 diabetes, is an autoimmune condition typically diagnosed in children and young adults, where the body fails to produce insulin. As such, insulin therapy is non-negotiable and lifelong. The demand for advanced insulin formulations including long-acting, rapid-acting, and ultra-rapid analogs is particularly high in this segment. Innovations like continuous glucose monitors (CGMs) and insulin pumps, often integrated into closed-loop systems, are crucial in this market, with increasing adoption due to improved glycemic control and quality of life. Pediatric and adolescent patients require specialized dosing and management strategies, which has driven growth in user-friendly delivery devices and biosimilar insulins, helping address cost concerns. Companies like Medtronic and Tandem Diabetes Care are key players in insulin delivery technologies, which often go hand-in-hand with drug therapy. Type 2 diabetes represents the vast majority of U.S. cases over 90-95%, it is primarily associated with lifestyle factors such as obesity, inactivity, and aging. Unlike Type 1, treatment for Type 2 diabetes is highly individualized, often starting with oral medications like metformin and progressing to newer classes like SGLT2 inhibitors and GLP-1 receptor agonists as the disease advances. These newer drugs are in exceptionally high demand in the U.S. market due to their dual benefits blood sugar control and cardiovascular or weight loss outcomes. The surge in GLP-1 demand, in particular, is reshaping the market, with drugs like Ozempic and Wegovy being prescribed for both glycemic and obesity-related indications, leading to occasional shortages due to overwhelming public interest.

Oral drugs dominate the treatment landscape for Type 2 diabetes; these medications include metformin, SGLT2 inhibitors, and DPP-4 inhibitors, known for their convenience, affordability, and suitability for long-term management. The preference for oral administration stems from its ease of use and patient compliance, especially among the aging population and those managing multiple chronic conditions. Moreover, the rise of once-daily oral GLP-1 receptor agonists like Rybelsus (semaglutide) has contributed to a surge in demand, as patients seek effective therapies without the need for injections. Subcutaneous administration, primarily involving injectable insulin and GLP-1 receptor agonists (such as Ozempic and Trulicity), is vital for patients with Type 1 diabetes and those with advanced Type 2 diabetes who cannot achieve glycemic control with oral medications alone. This route ensures rapid and controlled absorption, which is crucial for managing blood sugar spikes. The demand for injectable GLP-1s has also skyrocketed due to their dual benefits in glycemic control and weight loss, aligning with the increasing focus on obesity-related diabetes treatment. The recent popularity of GLP-1 agonists has driven significant growth, with U.S. prescriptions for drugs like Ozempic increasing by over 50% year-on-year. Pen injectors and pre-filled syringes have also enhanced user convenience, pushing wider adoption. The intravenous (IV) route is less commonly used and typically reserved for acute care settings, such as managing hyperglycemic crises (e.g., diabetic ketoacidosis) or during surgical procedures when tight glucose control is essential. IV insulin offers immediate action and is favored in hospitals and intensive care units. While not widely used in outpatient settings, this route remains essential in emergency protocols and adds value to comprehensive diabetes care systems. The robust U.S. healthcare infrastructure supports such interventions effectively.

Hospital pharmacies serve as a pivotal distribution point, especially for inpatients and individuals requiring intensive diabetes management, including insulin infusions and newly prescribed injectable therapies like GLP-1 receptor agonists. These pharmacies are integral in managing acute glycemic emergencies and in initiating treatment plans under professional supervision. Their demand remains consistent due to the rising number of diabetes-related hospital admissions particularly from complications such as diabetic ketoacidosis or cardiovascular conditions exacerbated by diabetes. Retail pharmacies, including major chains like CVS Health, Walgreens, and Walmart, dominate the outpatient segment of diabetes drug distribution. They provide an accessible and familiar point-of-care for millions of Americans living with chronic conditions like Type 1 and Type 2 diabetes. Retail pharmacies cater significantly to repeat prescription refills, including oral antidiabetic drugs and insulin. They also offer patient counseling, medication adherence support, and in some cases, blood glucose monitoring services. With more than 90% of Americans living within five miles of a pharmacy, this channel remains the most utilized, especially among older adults and those covered under Medicare and Medicaid. The affordability initiatives from retailers like Walmart's ReliOn insulin brand have addressed cost-sensitive patients, further boosting retail pharmacy demand. Online pharmacies are the fastest-growing distribution channel in the U.S. diabetes drug market, driven by the increasing adoption of digital health platforms and e-prescription systems. Patients appreciate the convenience, broader drug availability, subscription-based medication delivery models, and potential cost savings through telehealth-linked services.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Diabetic Drug Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Drug Class
• Insulin
• GLP-1 Receptor Agonists
• DPP-4 Inhibitors
• SGLT2 Inhibitors
• Others (metformin, sulfonylureas, and combination therapies)

By Diabetes
• Type-1
• Type-2

By Route of Administration
• Oral
• Subcutaneous
• Intravenous

By Distribution Channel
• Hospital Pharmacies
• Retail pharmacies
• Online Pharmacies Show more