Key Pharmaceutical Leaders' Proposals at the 2026 Two Sessions: Innovation, 'Triple-Medical' Coordination, and Domestic Substitution of Biologics

On March 4 and 5, 2021, the Fourth Session of the 13th National People's Congress (NPC) and the Fourth Session of the 13th National Committee of the Chinese People's Political Consultative Conference (CPPCC) will respectively convene in Beijing. According to incomplete statistics, more than 40 pharmaceutical entrepreneurs and leading experts from the pharmaceutical industry are attending these sessions as NPC deputies, offering insights and recommendations for the development of the pharmaceutical and healthcare sectors. Meanwhile, 2021 marks the centenary of the founding of the Communist Party of China and the inaugural year of the 14th Five-Year Plan. What key issues have enterprise representatives and committee members focused on? What views have they expressed, and what proposals have they put forward?

Innovative R&D

Sun Piaoyang, Chairman of Hengrui Medicine

Addressing the Excessive Duplication of Innovative Drugs and Streamlining the Implementation Process for Negotiated Medications

It is recommended to address the issue of excessive duplication in innovative drugs through top-level policy guidance, including measures related to medical insurance and market access; further accelerate drug review and approval processes to gradually narrow the gap with international standards; establish a value assessment system for innovative drugs, classify them based on clinical needs, and apply differentiated management approaches; and promote the simplification of market access procedures for innovative drugs into hospitals and pharmacies following medical insurance negotiations.

Chen Baohua, President of Huahai Pharmaceutical

Improving the "Patent Linkage" System Framework

Accelerate the establishment and improvement of China’s drug “patent linkage” system: expedite the revision and enhancement of the “Catalogue of Marketed Drugs in China”; improve the “patent term compensation” system; refine the “market exclusivity period” system for first generic drugs; establish an “abbreviated new drug application” system; clearly define the scope of “first generic approval date” and “first generic applicant”; establish mechanisms related to patent linkage to ensure the implementation of the patent linkage system, leveraging the “pulling” effect in the usage phase and the “safeguarding” role in the regulatory phase.

Dai Lizhong, Chairman of Sansure Biotech

Develop Flagship Products and Leading Enterprises with International Competitiveness

During the 14th Five-Year Plan period, we should promote high-quality development of the pharmaceutical industry, actively support leading biomedical enterprises with strong innovation capabilities, and create flagship products and leading companies with international competitiveness. Vigorously develop a multi-tiered capital market to support technological innovation. It is recommended that the STAR Market further strengthen its technological attributes in serving the real economy and support the listing of more hard-tech enterprises.

Biopharmaceuticals

Li Yan, President of Qilu Pharmaceutical

Strengthen Top-Level Design for the Biopharmaceutical Industry and Encourage Domestic Substitution

Expedite the introduction of top-level policies specifically designed to support the development of the biopharmaceutical industry, streamline processes for new drug project initiation, approval, manufacturing, and clinical use, with a focus on addressing issues such as slow regulatory review and approval, and difficulties in hospital formulary inclusion. Encourage and support the development of novel targets and products that are at the global forefront and cutting edge of technology, promoting next-generation antibody combination technologies and innovative bispecific antibody technologies. Encourage domestic manufacturers of biological products to pursue import substitution.

Wang Weidong, Chairman of Rongchang Pharmaceutical

Remove the time limit for innovative biological drugs to participate in national medical insurance negotiations

Focus on the translation and industrialization of scientific and technological achievements in biomedical innovation, ensuring their practical implementation. It is recommended to remove the time restrictions for newly approved innovative biological drugs to participate in national medical insurance negotiations, thereby achieving a seamless connection between drug approval and medical insurance access. Meanwhile, comprehensively consider the characteristics of biological drugs, such as long R&D cycles, high R&D investment, and significant R&D risks. In medical insurance negotiations, reasonable profits for enterprises should be taken into account to fully stimulate corporate innovation enthusiasm and promote the healthy development of the biomedical industry.

Traditional Chinese Medicine

Lu Qingguo, Chairman of Chenguang Biotech

Accelerate the Inclusion of Chinese Proprietary Medicines in Centralized Drug Procurement

It is recommended to create conditions for the prompt inclusion of proprietary Chinese medicines in the centralized volume-based procurement and bidding mechanism, thereby enabling more traditional Chinese medicine (TCM) manufacturers to compete on a level playing field. Furthermore, the standards system should be improved by incorporating TCM formula granules into the centralized volume-based procurement and bidding framework, so as to foster the robust development of TCM formula granules.

Xiao Wei, Chairman of Jiangsu Kanion Pharmaceutical Co., Ltd.

Establish a centralized procurement model aligned with the characteristics of traditional Chinese medicine

In light of the actual development of traditional Chinese medicine (TCM), establish a centralized volume-based procurement management model that aligns with the complex characteristics and unique attributes of TCM drugs, and formulate a “classification + generic name”-based centralized volume-based procurement policy. It is recommended to develop a scientific drug cost and price evaluation system during the centralized procurement process, set reasonable price floors for bid comparisons, and ensure the product quality of proprietary Chinese medicines.

Other

Yu Qingming, Chairman of Sinopharm Group

Establish and Improve the Standard System for Pharmaceutical Logistics

It is recommended to establish unified standards for market access and off-site warehousing for third-party pharmaceutical logistics, so as to address the inconsistency in regional pharmaceutical logistics policies. Unified national criteria should be formulated for market access by third-party pharmaceutical logistics providers and for their establishment of off-site warehouses, clearly specifying requirements for infrastructure, technical capabilities, information-based management, and quality management systems. Relevant authorities are advised to conduct specialized research to explore the establishment of a nationally unified “green channel” management mechanism for pharmaceutical transportation, thereby enhancing overall transportation efficiency and emergency response capacity, reducing logistics costs, and effectively ensuring the timeliness and safety of pharmaceutical logistics.

Yuan Yafei, Chairman of Sanpower Group

Establish Digital Tools for the Integrated Coordination of Medical Care, Health Insurance, and Pharmaceutical Services to Promote Resource Synergy

Deepen the Integrated Reform of Medical Care, Health Insurance, and Pharmaceutical Services: It is recommended to promote coordinated development among pharmaceutical enterprises while reducing drug prices through centralized procurement, thereby lowering the cost and time required for the research, development, and manufacturing of innovative drugs. Leverage digital tools to streamline information flow across the three sectors, establish an effective coordination mechanism, and utilize big data analytics to optimize resource allocation and integration, fostering synergistic collaboration.

Feng Danlong, Senior Advisor, China Corporate Affairs Department, Pfizer Pharmaceuticals

Promote the Development of Commercial Insurance

It is recommended to accelerate the establishment of a national-level commercial insurance information sharing and support platform, strengthen guidance and standardized management, and provide institutional and policy incentives from the government. This will promote “streamlining” regulatory oversight while “enhancing” support and services, thereby fully mobilizing and leveraging the roles of enterprises and the market.

Appendix:

List of Delegates and Committee Members from the Pharmaceutical Sector at the 2021 Two Sessions

Sources: China Securities Journal, The Beijing News, Cailian Press, Health News Daily, E-Pharma Manager, etc.

Responsible Editor: Sanqi

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