The Global Pharmaceutical Industry and China’s Position

  • Mei-ling Wang


Discussions of China’s pharmaceutical industry in the WTO framework cannot be separated from an analysis of the global pharmaceutical industry. The global pharmaceutical industry has never played a more important role than it does today in addressing the mortality and morbidity of global populations, given the threatening increase of global pandemics and emergent health issues, such as HIV/AIDS, avian flu, SARS, TB, hepatitis and debilitating chronic diseases (cancer, diabetes, Alzheimer’s disease and so on). Global developments will inevitably have an impact on the position of the Chinese pharmaceutical industry as China is integrated into the global market by the WTO. The purpose of this chapter is to examine prospects for the global pharmaceutical industry, China’s pharmaceutical industry and its position in the global market, and the major benefits and challenges facing China’s pharmaceutical sector.


Chinese Government Good Manufacture Practice Intellectual Property Right Pharmaceutical Market Pharmaceutical Consumption 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


  1. ‘A breakthrough discovery to understand stem cells’ (Li dze tung tao dzao tau, kang his bao yen diju tu puo), World Journal (4 December 2005), p. A-14.Google Scholar
  2. ‘About 50 per cent of Pekingese prefer to see Chinese medicine practitioners’ (Wu tsen Beijing ren ai kan chung yi), Central Daily News (28 October 2003) ( Scholar
  3. Agres, T. (2006). ‘Foundations for Chinese pharma’, Drug discovery and development report (Rockaway, NJ: Advantage Business Media).Google Scholar
  4. ‘An analysis of the biomedicine market in China after WTO’ (Ru shih hou hwa shiue dzih yao yeh chien jing fen shih: II), Chinapharm (3 December 2001) (
  5. ‘An analysis of chemical raw materials before WTO’ (Ru shih hou hwa shiue dzih yao yeh chien jing fen shih: 1), Chinapharm (2 December 2001) (
  6. ‘An analysis of China’s generics market in 2005’, (2005 nien wo kuo fan dzih yao yen jiou yu shih tsan fen shih), Chinapharm (26 December 2005) (
  7. ‘Analysis of China’s pharmaceutical IPR’ (Wo kuo yih yao han yeh dzih shih tsan chuan bao hu hsien dzwan fen shih), Chinapharm (5 November 2004) (
  8. ‘An analysis of IPR’ (Ban chiuen fen shih: Yih yao can yeh ban chiuen yung yuen deh tsao yan tsan yeh), Chinapharm (10 January 2005) (
  9. ‘An analysis of IPR in China’ (’Jin nien chan ban nien wo kuo dwan li shen ching jih shou chuan dwan kwan jieh shih’), Economy Daily News (2005) (
  10. ‘Analysis of OTC market and products’ (2000 nien kuo nei OTC shih tsan leh Hsiao shou ping dzong fen shih), Sina Net, Chinapharm (3 May 2001) (
  11. ‘An analysis of the status of China’s domestic OTC market’ (Kuo nei fu fen OTC yao ping yih yuen shi yung hsien dzwan tiao yen), Chinapharm (8 December 2005) (
  12. ‘Analysis of strategies and markets for multinationals’ (Wai Shang jing ru chung kuo shih tsan deh tse lieu jih hwan jing fen shih), Chinapharm (21 June 2002) (
  13. Anscomb, A. (2004) ‘Pharmaceutical outsourcing opportunities, post-contract manufacturing, and sales and marketing’, in S. Heffner (ed.), Kalorama Information Market Intelligence (Kalorama Information) (Rockville, MD: Kalorama Information LLC).Google Scholar
  14. ‘A review of the planning of the pharmaceutical sector in the Tenth Five-Year Plan,’ (Hwei gu: yih yao han yeh shih wu kwei hwa, 1), Chinapharm (2 July 2004) (
  15. Asia Pacific Biotech News (2004) vol. 8, no. 12.Google Scholar
  16. Asia Pacific Biotech News (2005) vol. 9, nos 1 and 2.Google Scholar
  17. ‘A slowdown of mergers in China’ (Yih yao han yeh bing go fan hwan) Chinapharm (21 February 2005) (
  18. ‘Assessing China’s pharmaceutical access in light of WHO reports’ (Yih WHO pao kao kan chung kuo hsien dzwan), Chinapharm (26 December 2005) (
  19. ‘Because of inexpensive labour, China has become a global manufacturing centre of pharmaceuticals’ (Ren kun di lien, ta lu chen chuan chiu tze yao yeh kung tsan), World Journal (6 August 2003), ‘Local News Section, p. B-1.Google Scholar
  20. Cai, W. S. (2001) ‘Discussion of the Basic Principles of Drug Administration Law’, Chinese Pharmaceutical Affairs, vol. 15, no. 1, p. 30.Google Scholar
  21. Cheng, L. S. (2003) ‘The Current Situation and Trend of Development in Chinese Pharmaceutical Trade’, China Pharmaceuticals, 14 (3), pp. 132–3.Google Scholar
  22. ‘China accuses the US of exaggerating IPR issues’ (Mei kuo kuo fen kwa tah chung kuo chih shih tsai tsan bao hu wen ti), Sina News (12 April 2006) ( Scholar
  23. China Industry Development Report (2003) (
  24. ‘China pipeline’, General Biologic (2004) (
  25. China State Intellectual Property Rights Office (2005) (
  26. ‘China unveils WTO details on opening insurance market’, People’s Daily (23 November 2001), p. 4.Google Scholar
  27. ‘China’s increasing opportunities after WTO’ (Chung kuo jiah ru WTO shih wai kuo chih yen ken dwo jih hwei), Chinapharm (25 October 2001) (
  28. ‘China’s pharmaceutical industry gets major push’, China Internet Information Centre (30 April 2002) (
  29. ‘China’s pharmaceuticals industry in 2003’, China Industry Development Report (2003) (
  30. ‘Chinese herbal medicines for SARS can be used to cure bird flu’ (Kan SARS chung yao, keh dzh chin liu kan) World Journal (13 November 2005), p. A-11.Google Scholar
  31. ‘Chinese markets for cardiovascular drugs’, AMID Co. (January 2003), p. 235 (
  32. ‘Chinese pharmaceuticals industry’, Research and Markets (February 2005) (Access China Management Consulting Ltd. p. 39) (
  33. ‘Chinese pharmaceuticals industry: strategies, trends, and opportunities’, Research and Markets (August 2005), Digital Vector, p. 360 (
  34. ‘Competition for prescriptions in 2006 retail pharmaceuticals’ (Er ling ling liu nien yao ping ling sho, tsen dwo tsu fan), Chinapharm (2006) (
  35. ‘Development of three ventures in a globalization framework’ (Chiuen chiu hwa kwo tsen chung deh chung kuo yih yao Shan tse chih yeh fah tsan Shing shih fen shih), Chinapharm (2002) (
  36. ‘Digitalizing the pharmaceuticals sector in China’ (Yih yao han yeh de shu dze hw ashen tsuen), Chinapharm (14 September 2004) (
  37. ‘Experts point out that the Chinese pharmaceuticals sector is rapidly increasing its competitiveness’ (Dzwan jiah dzih tsu: wu kuo yih yao han yeah jing tsen lin shiuen shu ti gou), Chinapharm (2 December 2003) (
  38. ‘Features of China’s current pharmaceuticals market’, China Pharmaceuticals (2002), 11 (10), p. 32.Google Scholar
  39. ‘Foreign investment shows a hot fever in pharmaceuticals investment’ (Kuo hwai dzih ben tsen hsien chih yao reh), Chinapharm (10 September 2003) (
  40. ‘Foreign pharmaceutical enterprises expand investment’, China Health Sciences (12 June 2002), Newsletter, vol. 3, no. 13 (
  41. ‘Foreign pharmaceuticals enter into retail business in China: much remains to be seen’ (Wai tse sheh dzu yao pin fen hsiao, chung kuo you chih jin kwan chih bien), Chinapharm (6 June 2003) (
  42. General Biologic (2004) ‘China Pipeline 2004’ (
  43. ‘Generics are likely to account for 70 per cent of domestic market’ (Fan dzih yao yu wan dzan jiu wei lai chih tsen shih tsan), Chinapharm (18 November 2005) (
  44. Gerbino, P. (2006) Commentary on the Global Pharmaceuticals Industry (Philadelphia; Pa.: University of the Sciences), 17 March.Google Scholar
  45. Gross, A. (1998) ‘Regulatory trends in China’s pharmaceuticals market’, Pacific Bridge Reports, December ( Scholar
  46. Guo, Y., Sun, L. H. and Li, C. H. (2003) ‘Study of the current drug price management model in China’, China Pharmaceuticals, 14 (2), pp. 68–9.Google Scholar
  47. ‘Illegal phase iii and iv clinical trials have caused many deaths in Dzejian Province’ (Fei fah ren ti shih yao, Dzejian dwo ren shih wan), World Journal (22 May 2005), p. A-13.Google Scholar
  48. ‘Issues related to OTC and prescriptions’ (Tsai OTC tsan ping heh fei ying lin yao wu Shang dzwo wen dzan), Chinapharm (13 August 2001) (
  49. Jing, F. J. (21 May 2005) ‘Medical Reform Commission initiate another price cut on pharmaceuticals’ (Shing fang ang nei wei you bieh ying zhen yih), Sina News ( Scholar
  50. Kemani, F. and Findlay, G. (2000) ‘The Pharmaceutical R&D Compendium’, CMR International ( Scholar
  51. KWA Pharmaceutical (2006) ( (1 January).
  52. ‘Kwanjou City went after 27 counterfeit drugs’ (Kwanjou cha chi er-shi-chih dzong chia yiao, ta dwo biao bang dawn yan lien wei), World Journal (11 November 2005), p. A-13.Google Scholar
  53. Latin America’s understanding of China is pragmatic. China is both a competitor and a partner’ (La me dwei chung kuo ren shih wu shih, jih shih chu ko shih tsan you shing jing tsen dwei shou), Sina News Net (12 April 2006) ( Scholar
  54. Lee, Shu-juan, ‘Life-killing counterfeited drugs is a global challenge (Wei lieh yao sha ren, chuan chiu mien lien kao yen), World Journal (16 September 2005), p. E-8.Google Scholar
  55. ‘Less than 70 per cent of Chinese herbals passed quality testing, showing disorganized management’ (Chung yao zhaun yehn zhih tsan yao tsai heh geh liu bu dzu chih tsan, gwan li hwen ren), Sina News (31 July 2003) ( Scholar
  56. Liu, Z. L. (2006) ‘Two strengths and one worry for Chinese herbal medicine exports’ (Chung yao chu ko de Liang ta Liang tien han yih ta ying hwan), Quoted from Chinese Management Newspaper, 18 February ( Scholar
  57. ‘Living with counterfeit Viagra’ (Yu lia wei geh kun Shen), Sinn News (27 September 2005 ( Scholar
  58. ‘Looking to China and cancer as cost containment slows growth’, IMS Health (2006) (,3148,64576068638727027026099873052844,00.html) (accessed on 6 January 2006).
  59. Louet, S. (2004) ‘Can China Bring its Own Pipeline to the Market?’, Nature Biotechnology, 6 December.Google Scholar
  60. ‘Mergers combined with increasing capital investment strengthens Novartis’s position’ (Bing go yu tsen tse Bing hsing, nuo hua chian shih jieh ru chung kuo shih tsan), Chinapharm (7 March 2005) (
  61. ‘Millions of class i classified drugs flow into the black market’ Oiling yao tsan, bai wan keh mi yao wai liu’), World Journal (6 November 2005), p. A-12.Google Scholar
  62. ‘Miraculous possibilities’, Business India (10–23 October 2005), p. 92.Google Scholar
  63. Nature News (2004) (http://www.nature/com/news/2004/041206/full/nht1204-1497.html) Norwood, Mass, Biopharm Insight’s Investigational Drug intelligence database.
  64. ‘New cancer drug Endostar is revived in China’ (Kan ai shing yao endo, ta lu dzai tsao Shang shih), World Journal (23 December 2005), p. A-3.Google Scholar
  65. ‘New cancer drug Endostar is revived in China’ (Mei kan ai shing yao, dzai ta lu fu huo’, World Journal (9 January 2006), p. C-4.Google Scholar
  66. ‘New measures to reduce pharmaceutical costs starting in June 2005, affecting mainly antibiotics manufacturers’ (Shih yi ren yao ping jian jian liu yue chih tung, kun shen shu chih yeh jian shout tson jih), World Journal (23 May 2005) ( Scholar
  67. Newsletter BGCG (Burrill Greater China Group) (2005) (second quarter, p. 17).Google Scholar
  68. Newsletter Green Valley Financial Services (2005) ( ).
  69. Newsletter Pacific Bridge (2005) (
  70. Newsletter Yangzijiang Network (2006) (
  71. ‘Pharmaceutical companies strive for businesses related to health care reform’ (Dzih yao jiu tou tsen chien chung kuo kai ge hsin jih), Chinapharm (9 December 2003) (
  72. ‘Pharmaceutical industry in China, 2004–2005’, Okokok Research Centre (2005) (
  73. ‘Pharmaceuticals profits will concentrate in competitive manufacturers’ (Yih yao han yeh shen tsan chih yeh li luen jian hsian you shih chih yeh jih chung), Chinapharm (12 February 2005) (
  74. ‘Pharmaceuticals regulations mandate that drug stores must remain open 24 hours a day’ (Yao ping jing ying kwan lie fah gwei ting: ling chou yao tien shih er-shih-shih hsiau shih yinng yeh), Sina News (17 February 2004) ( Scholar
  75. ‘Pharmaceuticals are a rising industry’ (Ban chiuen fen shih: Yih yao han yeh ban chiuen yung yuen deh tsao yan tsan yeh), Chinapharm (10 January 2005) (
  76. ‘Pharmaceuticals sales in China in the framework of the 2004 WHO report: Part n’ (Yih WHO pao kao kan chung kuo hsien dzwan II), Chinapharm (26 December 2005) (
  77. Pollack, A. (2005) ‘China Approves a Selective Cancer Drug’, New York Times, (17 November) ( Scholar
  78. PriceWaterhouseCoopers (2004) China: Prescription for Growth.Google Scholar
  79. QFii pays attention to the pharmaceuticals sector’ (QFii kwan jiu yih yao han yeh), Chinapharm (27 December 2002) (
  80. Rui, M. (2001) ‘Discussion on the structure and system for the administration of pharmaceutical affairs in China’, Chinese Pharmaceutical Affairs, 15 (1), pp. 28–9.Google Scholar
  81. Santini, L. (2004) ‘Companies Look to China for Cheap R&D’, Wall Street Journal, Eastern edn, vol. 244, issue 101,22 November.Google Scholar
  82. ‘Science and Technology in China’, Wikipedia (February 2006) ( Scholar
  83. ‘SFDA prohibits the processing of vaccine and blood products’ (Kuo jia yao jien chiu gwei ting yih miao bu de jie shou jing wai wei tuo jia kung), Sina News (29 November 2005) ( Scholar
  84. Shang, C. M. (2001) ‘Strengthening the management and supervision of drug advertisements’, Chinese Pharmaceutical Affairs, 15 (5), pp. 294–5.Google Scholar
  85. ‘60 per cent of China’s invention patents awarded to foreigners’, Chinaip (2006) (
  86. ‘Suggestions from local and foreign experts for Chinese herbal medicines IPR issues’ (Chung wai dawn jian wei chung yi yao dzeh shih tsan chuan bao hu chu mao jih tseh), Sina News (27 May 2005) ( Scholar
  87. ‘The derivatives of OTCs: a new competitive factor’, Chinapharm (10 April 2001) (
  88. ‘The development of three ventures in China in globalization framework: Series four’ (Chieun chiu hwa kwo tsen chung deh chung kuo yih yao shan tse chih yeh fah dzan shing shih fen shih: 4), Chinapharm (6 March 2002) (
  89. ‘The Importance of Innovative R&D’, Business India (2005), 10–23 October, p. 98.Google Scholar
  90. ‘The internal and external environments facing the domestic pharmaceutical indus-try’, Hong Kong Development Council (15 July 2002) Industrial profile (
  91. ‘The IPR for Chinese herbal medicine needs to be reinforced’ (Chung yao dzih shih tsan chuan bao hu chih tai jiah chian), China News Net (4 March 2005) (
  92. ‘The new trends for China’s pharmaceutical economy’, Chinese Medicine and Commerce Association (2003) Pharmaceutical Economic Information, 16 (6), pp. 8–9.Google Scholar
  93. ‘The Pharmaceutical Market Outlook to 2015: Implementing Innovative, Long-term Strategies for Sustainable Future Growth’, Business Insight (May 2005), p. 131. (See also
  94. ‘The sale volume of 5,000 local Chinese pharmas is less than that of Pfizer’s’ (Wu chien jiah yao tsan tsan dzih tih bu kuo yih keh ren hwei), Central Daily News (28 April 2006), Quoted from World Journal, p. C-4.Google Scholar
  95. ‘The status, problems and solutions for Chinese herbal medicines IPR’ (Chung yao dzih shih tsan chuan bao hu de hsien dwan, wen ti yu dwei tseh), Chinapharm (2001) (
  96. Tufts Center for the Study of Drug Development (2002) ‘Outlook 2002’ ( Scholar
  97. ‘Twenty-one pharmaceutical association in 21 provinces appealed to the state to lower pharmaceutical prices’ (Er-shih-yih shen yih yao hsieh hwei lien ming shan shih, yao chiu jian ti yao ping jian jia fu tu), Sina News (2005) B ( Scholar
  98. Vasella, D. (2005) Chief Executive of Novartis AG, in ‘China’s Growing Drug Market: Will You Be a Contender?’ (2002, cited from BGCG Newsletter, second quarter, 2005), Burrill Greater China Group, p. 12.Google Scholar
  99. Verret, R. (March, 2006) Commentary on the Global Pharmaceutical Industry (Philadelphia Pa.: University of the Science).Google Scholar
  100. Wang, J. (2005) ‘The return of the “Sea Turtles”: Reverse brain drain to China’, China Daily, 27 September ( Scholar
  101. Wang, J. (15 July 2002) ‘The internal and external environment facing the domestic pharmaceutical industry’.Google Scholar
  102. ‘Western Chinese medicine takes up 20 per cent of the Chinese market’ (Yan zhou yiao, kung hsai ta lu Liang zheh shih zhan’, World Journal (21 November 2004), p. A-13.Google Scholar
  103. ‘What Are Intellectual Property Rights?’, World Trade Organization (1 May 2005) (
  104. ‘Who is in charge of regulating recalled drugs?’ (Fei fa hwei shou yao ping, she lai gwan), Sina News (24 May 2005) (
  105. ‘WTO hails China deal’, BBC News (15 November 1999) ( Scholar
  106. ‘WTO is no disaster for the Chinese pharmaceuticals industry’ (WTO bu shih chung kuo dzih yao deh dzai nan), Chinapharm (7 November 2001) (
  107. Zhang W. (2006) Interview with Dr Wei Zhang, Assistant Professor, Beijing University, 20 January.Google Scholar
  108. ‘Zhen Dzou City Discount Drugs paid $60,000 to recall expired drugs’ (Zhen Dzou ping jiah you fan chu zhi wu shih wan hwei shou guo chi yao ping chih zhon hsiau hwei), Sina News (16 May 2005) ( Scholar
  109. Zhen, L.-H. (2003) ‘Drug control authorities in China), The Annals of Pharmacotherapy, vol. 38, no. 2, 19 December, pp. 346–50 (online publication). ( Scholar
  110. Zheng, X. Y. (2003) ‘Facing with the challenge to improve the strategic transfer of China’s drug administration model’, China Pharmaceuticals, vol. 11, no. 3, p. 7.Google Scholar
  111. Zhih, W. and Shao, L. (17 May 2004) ‘EU recognizes the legitimacy of Chinese medicine, a positive example for other countries’ (Oh men tsen ren chung yao heh fah ti wei, jian dwei chi ta kuo jia chi shih yin Hsiao yin), Sina News ( Scholar

Copyright information

© Mei-ling Wang, Shuo Zhang and Xiao-wan Wang 2007

Authors and Affiliations

  • Mei-ling Wang

There are no affiliations available

Personalised recommendations