People's Republic of China (PRC) * * * China Pharmaceutical Industry Standard

The pharmaceutical industry is an important part of China's national economy, and it is an industry that combines traditional industries with modern industries and integrates primary, secondary and tertiary industries. Its main categories include: chemical raw materials and preparations, Chinese herbal medicines, Chinese herbal pieces, Chinese patent medicines, antibiotics, biological products, biochemical drugs, radioactive drugs, medical devices, sanitary materials, pharmaceutical machinery, packaging materials and pharmaceutical business. The pharmaceutical industry plays a very important role in protecting and improving people's health, improving the quality of life, family planning, disaster relief and epidemic prevention, military supplies and war preparedness, and promoting economic development and social progress. In the fierce market competition, the pharmaceutical industry has changed the situation that the scale of pharmaceutical enterprises is too small and the layout is too scattered to some extent through various forms of alliance, merger and reorganization, and improved the concentration of production. Twenty-five enterprises in the pharmaceutical industry have entered the ranks of 520 large enterprises in China. The production concentration of the top 60 enterprises in the pharmaceutical industry is 35.7%, which is 16 percentage points higher than that at the end of the Eighth Five-Year Plan. A number of dominant brand-name enterprises have gradually developed and expanded in the fierce market competition. The number of producers of large-tonnage products such as penicillin, vitamin C, synthetic vitamin E, aspirin and paracetamol has been greatly reduced. The production concentrations of the top 50 preparations of tablets, powder injections, water injections, infusions and capsules reached 44.3%, 97.6%, 66.5%, 58.9% and 56.2% respectively. The ownership structure has been further adjusted, basically forming a pattern in which public ownership is the mainstay and diversified ownership economies develop together. According to the output value, the proportion of the joint-stock economy in the whole industry increased from 12% in the early Ninth Five-Year Plan to 33.2%, the "foreign capital" economy increased from 15% to 18.8%, and the state-owned economy decreased from 55% to 36. 1%.

The pace of reform of pharmaceutical circulation system has been accelerated, and pharmaceutical business has broken the pattern of state-owned commerce dominating the whole country under the long-term planned economy system, and the property right structure has developed in a diversified direction, and a number of standardized joint-stock enterprises and large enterprise groups have been established. The mode of operation began to change, and new modes of operation such as general agent, general distribution, centralized distribution and chain operation emerged constantly. In particular, chain operation has made great progress during the Ninth Five-Year Plan period. Nearly 200 pharmaceutical chain enterprises and more than 5,000 pharmacies have been established in some large and medium-sized cities in China. Many enterprises actively explore and pilot medical e-commerce.

The pharmaceutical economy in the western region has advanced by leaps and bounds. Sichuan has become the main producing area of traditional Chinese medicine in China. Yunnan, Guizhou, Qinghai, Gansu, Inner Mongolia, Guangxi and other provinces give full play to the advantages of local resources and become the production bases of ethnic medicine in China, which has promoted the local economic development and optimized the regional economic structure.