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Page Count: 41
Format: Electronic PDF copy
Publication date: July 2011
Publisher: Access China Management Consulting Ltd

Chinese Pharmaceutical Industry

Summary Table of contents

Executive summary

The Chinese pharmaceutical industry has increased with an annual average growth rate of 16.72% over the last few decades. However, the industry is still small-scale, with a scattered geographical layout, duplicated production processes, and outdated manufacturing technology and management structure. The Chinese pharmaceutical industry also has a lower market concentration and weak international trading competitiveness, coupled with a lack of patented pharmaceuticals developed in-house. Gaining access to the WTO will further integrate the Chinese economy into the global economic environment, and Chinese pharmaceutical enterprises will face a huge challenge.

China's entry into the WTO, in December of 2001, opened the door to a lucrative market for foreign companies, and especially for pharmaceutical manufacturers and distributors. Accession to the WTO will bind China by fundamental WTO principles, such as improved transparency and the strengthening of commercial legal procedures. China's WTO commitments also include the tightening of rules on intellectual property, tariff concessions, and permission of foreign distributors' entry into domestic market. These commitments will help reduce the risk of doing business in China and encourage increased flow of trade and investment, enhancing the business opportunities for international pharmaceutical companies and investors.

This study provides a comprehensive analysis of the multifaceted pharmaceutical industry and market, based on full and accurate statistics, help guide non-Chinese companies and investors through the many changes transforming the Chinese pharmaceutical sector.

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