Chongqing Unveils Ambitious Smart Medical Equipment Industry Plan Targeting Over RMB 30 Billion by 2027

Chongqing Municipality is Actively Promoting the High-Quality Development of the Smart Medical Equipment Industry.

Recently, the General Office of the Chongqing Municipal People’s Government issued the “Action Plan for the Innovative Development of Chongqing’s Smart Medical Equipment Industry (2025–2027)” (hereinafter referred to as the “Action Plan”), which specifies various details for the development of Chongqing’s smart medical industry. The plan aims to drive an average annual growth rate of over 60% in the output value of the city’s smart medical equipment manufacturing sector over a two-year period, with the output value exceeding RMB 10 billion in 2025 and surpassing RMB 30 billion by 2027.

For Chongqing’s smart medical equipment industry, this is undoubtedly a major positive development—Chongqing CityFocusing on high-end medical equipment, high-value medical consumables, efficient in vitro diagnostics, and AI-powered medical devices., cultivating a group of leading enterprises and flagship products with international influence and mastery of key core technologies.

According to the press conference interpreting the Action Plan, the plan specifically includes3 Development Goals：

First, the number of leading enterprises with annual operating revenues exceeding RMB 2 billion reached five; the number of national “Little Giant” firms specializing in refined, distinctive, and innovative products reached 15; the number of specialized and sophisticated enterprises reached 100; and the number of blockbuster products with annual sales reaching the RMB 1-billion level stood at 10, thereby further strengthening the industrial system.

Second, five integrated innovation complexes for the smart medical equipment industry, 100 innovative R&D platforms, 50 clinical trial institutions, and 5 pilot-scale validation platforms have been established, thereby substantially completing the industrial technological infrastructure system;

Third, we will promote the implementation of 600 demonstration projects for the application of innovative medical devices, with continuously strengthened collaborative innovation among industry, academia, research institutions, and healthcare providers.

This means that Chongqing’s smart medical equipment industry will enter a period of rapid development.

On one hand, the cultivation of leading enterprises, specialized and innovative “little giant” firms, and blockbuster products will foster a competitive cohort of companies and create industry-defining products, thereby further driving supply chain development and promoting the soundness and perfection of the smart medical equipment industrial system;

On the other hand, the implementation of innovation complexes, R&D platforms, clinical trial institutions, pilot-scale validation platforms, and demonstration projects for innovative medical devices has been promoting source innovation, strengthening collaborative innovation among industry, academia, research, and healthcare sectors, thereby making the industrial technology infrastructure system more comprehensive.

Returning to the “Action Plan,” the plan proposes the implementation of“Five Major Initiatives: Collaborative Innovation among Industry, Academia, Research, and Healthcare; Doubling the Volume of Innovative Products; Expanding Global Reach through Open Cooperation; Cultivating High-Quality Enterprises; and Optimizing the Industrial Ecosystem,” Comprising 17 Measures. These policies focus on the current challenges facing the industry, with the goal of fostering innovation entities and cultivating the industrial ecosystem, coveringR&D Innovation, Review and Approval, Medical-Engineering Integration, Talent Attraction and Cultivation, Overseas Cooperation, Market Expansion, Enterprise Incubation, Platform Developmentand other content.

It is worth mentioning that the "Action Plan" also proposesChina's First-of-Its-Kind PolicyAs stipulated in Article 4, a horizontal collaboration model is encouraged, wherein “enterprises fund and define the problems, while medical institutions, research institutes, and universities provide the solutions.” Demonstration products may be directly deployed for clinical use at participating medical institutions in accordance with relevant regulations. Demonstration projects shall be regarded as provincial- or ministerial-level vertical research projects. The contributions of medical and research personnel shall serve as important criteria for professional title evaluation, position promotion, and performance assessment.

This initiative will help boost the momentum for collaborative development among enterprises, medical institutions, and research institutes, and also enhance the enthusiasm of healthcare professionals and researchers for collaborative innovation across various domains.

Additionally,The “Action Plan” also proposes a number of more forceful measures.。

Among them,Article 7 and Article 8 propose the establishment of a priority review mechanism, and implement upfront services for key projects to accelerate product market launch through early intervention and dedicated task force guidance.Article 9 encourages the procurement and use of innovative products in hospitals.To this end, the "Chongqing Smart Medical Equipment Innovative Product Catalog" will be formulated and dynamically adjusted, and a dedicated online procurement section will be established on the Chongqing Pharmaceutical Exchange. Medical institutions shall adhere to the principle of "full allocation where applicable," actively evaluate and facilitate the admission, configuration, and use of these products, thereby accelerating their market expansion.

Article 16 emphasizes the routine review of medical service pricing items and establishes a new mechanism for the rapid inclusion of innovative smart medical equipment products into medical insurance coverage., and supports the filing applications for new medical service price items, thereby accelerating the clinical adoption of products.Article 17 explicitly stipulates the organization and implementation of centralized volume-based procurement for innovative products., the procurement and use of innovative smart medical equipment products will adopt a health insurance prepayment system, similar to that applied to drugs selected in centralized volume-based procurement, with advance payments made to healthcare institutions to help enterprises scale up their product operations.

To support industry development, Chongqing Municipality has introduced 11 policy measures focused on three key areas: accelerating the market launch and commercial production of innovative products, expanding market reach, supporting enterprises and platforms in improving quality and scaling up operations, and strengthening financial support.

In terms of R&D support, the Chongqing Municipal Science and Technology Bureau provides a maximum support of 10 million yuan per project, and the Chongqing Municipal Health Commission offers a maximum support of 8 million yuan for joint medical research projects under its Science and Health Initiative;

Review and Approval, the Chongqing Municipal Medical Products Administration will reduce product testing time by an average of 15–30 days compared to current durations, and shorten the review period for Class II medical devices by an average of 20 days;

In terms of product support, the Chongqing Municipal Commission of Economy and Information Technology provides rewards ranging from RMB 200,000 to RMB 3 million for new products based on their level of innovation; for products that pass compliance inspections by international agencies such as the FDA, EMA, PMDA, or WHO and achieve overseas sales, a reward of up to RMB 1 million will be granted for each product;

Corporate Investment and M&A Support, the Municipal Commission of Economy and Information Technology shall, on a merit basis, provide incentives for projects involving acquisitions outside the municipality that are relocated to Chongqing, at 5% of the acquisition amount, up to a maximum of RMB 5 million; for enterprises establishing new production lines or undertaking technological transformations, incentives shall be granted at up to 20% of the total project investment, with a cap of RMB 10 million;

Financial Support, the Municipal Science and Technology Bureau has established a RMB 200 million seed fund to promote the translation and application of relevant scientific and technological achievements. Chongqing Yufu Holding Group has set up a municipal-level fund-of-funds dedicated to smart medical equipment, collaborating with industrial clusters, enterprises, and social capital to participate in sub-fund investments based on project specifics, thereby building a RMB 10 billion fund cluster for the smart medical equipment industry. The Municipal Commission of Economy and Information Technology provides support of up to RMB 5 million to RMB 10 million for corporate financing, loans, and financial leasing.

In addition, the Action Plan ensures organizational support by refining policies and advancing various initiatives through a layered and sector-specific approach. By introducing corresponding industrial support policies in each cluster and continuously developing smart medical equipment industrial bases, it fosters an ecosystem for the growth of the smart medical equipment industry.

Through past explorations, Chongqing has achieved initial success in building the industrial chain for smart medical equipment, particularly in areas such as focused ultrasound tumor treatment systems, hemodialysis, and diagnostic reagents, where a relatively complete industrial chain system has been established. To further deepen this advantage, the Municipal Commission of Economy and Information Technology will, in conjunction with the “Action Plan,” focus on industrial chain development,Focus Efforts on Four Key Areas：

First, prioritize the handling of corporate issues by launching and operating the integrated scenario application “Enterprise Code-Based Services” to “strengthen enterprise services and enhance the effectiveness of burden reduction.” Meanwhile, comprehensively review corporate requests, conduct stratified and categorized analysis and assessment, and coordinate efforts to drive forwardAddressing the Challenges Faced in Corporate Development.

Secondly, we will fully implement relevant policies and provide enterprises with substantial financial support. In 2024, the Municipal Commission of Economy and Information Technology allocated a special fund of RMB 197 million to support the biopharmaceutical sector, of which RMB 125 million was directed to the medical device field. Next, in order toDouble the number of products; provide rewards and subsidies to enterprises that have obtained registration certificates., with rewards of up to RMB 3 million for Class III medical devices and up to RMB 1 million for Class II medical devices. By providing tangible financial support, we aim to facilitate enterprise development; forBoosting Enterprises’ Expansion into Overseas Markets, products that pass compliance inspections by international agencies such as the FDA will each receive a reward of up to RMB 1 million; toEncourage enterprises to carry out mergers and acquisitions, for those that transfer M&A projects from outside the city to Chongqing, a reward of up to RMB 5 million will be granted at 5% of the M&A amount;Encourage enterprises to enhance production efficiency and advance the intelligence level of production lines., for enterprises that establish new production lines or carry out technological upgrades, a reward of up to RMB 10 million will be granted, equivalent to 20% of the total project investment; forEncourage the Development of Third-Party Platforms, professional service institutions for smart medical equipment, such as CRO, CDMO, and CMO platforms, shall be granted a reward of up to RMB 5 million, calculated at 5% of the contract value; toStrengthening Financial Support for Enterprises, interest subsidies of up to RMB 10 million will be provided for corporate financing loans. Tangible financial support will be extended to facilitate enterprise development.

Third,Strengthen the Cluster Effect of Advantageous SectorsBy improving incentive mechanisms for strengthening, supplementing, extending, and expanding industrial chains, we support enterprises in collaborating with domestic universities and research institutes to actively pursue independent R&D and localization of key components and raw materials. Meanwhile, by seizing the opportunities presented by the development of the Chengdu-Chongqing biomedical industry cluster, we will actively seek policy support from national ministries and commissions, striving to establish Chongqing’s brand identity in the smart medical equipment industry.

Finally, fully leverage Chongqing’sLeveraging advantages in universities, medical institutions, R&D platforms, and corporate resources to target high-end sectors such as continuous dynamic monitoring devices, cardiovascular implantable and interventional devices, surgical robots, and brain-computer interfaces.Adhering to the principle of “focusing on key sectors, key enterprises, and key products,” we will map out the industrial landscape and develop a strategic roadmap for industrial development. By strengthening the attraction and cultivation of enterprises, we will continuously expand industrial growth and promote the sustained development and expansion of Chongqing’s smart medical equipment industry chain.

Improving the quality and efficiency of review and approval, and accelerating the market launch of clinical medical devices are crucial for meeting clinical needs, enhancing corporate competitiveness, promoting industrial development, optimizing resource allocation, and strengthening international influence. In light of this, the Action Plan also specifies detailed rules for the inspection, testing, review, and approval of smart medical equipment.

At the policy interpretation meeting, Huang Shibin, a member of the Party Leadership Group and Deputy Director of the Municipal Medical Products Administration, stated that the administration would thoroughly implement the Opinions of the General Office of the State Council on Comprehensively Deepening the Reform of Drug and Medical Device Supervision to Promote High-Quality Development of the Pharmaceutical Industry. In accordance with the deployment outlined in the Action Plan, the administration will continue to deepen reforms, strengthen support for research and development innovation in medical devices, and focus on advancing work in the following three key areas:

1. Expansion and acceleration of inspection and review capacity. Advance the development of testing capabilities and the capability evaluation of review institutions, expand the coverage of testing and review accreditations, and improve the quality and efficiency of testing and technical reviews. The Chongqing Medical Device Quality Inspection Center’s accredited testing parameters will reach 10,000 items within this year and 12,000 items by 2027, while the average timeframe for technical review of Class II medical device registrations will be reduced to 40 working days.

2. Implement pre-service for key projectsPrioritize regulatory review and approval resources for innovative products. Implement early intervention, end-to-end guidance, and integrated research-and-review collaboration for key products with high innovativeness and significant clinical value. Conduct parallel reviews for eligible products to accelerate their registration and market launch. Support the establishment of innovation service centers or stations in industrial clusters to provide professional coaching and precise, convenient services for the development of the smart medical equipment industry.

3. Support the development and commercialization of innovative productsFor Class II medical device products entering the innovative approval process, communication and exchange will be strengthened throughout the entire process, personalized guidance will be provided, a green channel for registration testing of innovative products will be established, and samples will be tested immediately upon receipt. Technical guidance for innovative registration applications of Class III medical devices will be enhanced. Support will be extended to innovative medical device products for engaging in international cooperation and expanding into overseas markets. Meanwhile, the Chongqing Municipal Medical Products Administration will continue to strengthen its regulatory capacity building, strive to establish a regulatory system adapted to industrial development and safety needs, improve industry compliance through efficient regulation, and facilitate the high-quality development of Chongqing’s smart medical equipment industry.

Moreover, the Action Plan also includes the policy of “establishing a new mechanism for the rapid inclusion of innovative smart medical equipment products into medical insurance.”

In this regard, Wu Lianghe, a member of the Party Leadership Group and Deputy Director of the Chongqing Municipal Healthcare Security Administration, clarified that the healthcare security authorities have introduced policies to comprehensively empower the innovative development of Chongqing’s pharmaceutical industry by accelerating the hospital adoption of innovative pharmaceuticals, promoting their clinical application, expanding payment channels, and strengthening service support. Moving forward, the Municipal Healthcare Security Administration will fully implement all tasks outlined in the Action Plan, with a focus on three key areas:

First, streamline the online listing channels for innovative medical consumable products.The "Detailed Rules for the Online Listing, Transaction, and Procurement of Medical Consumables in Chongqing Municipality" have been issued, specifying the establishment of a special zone for the online listing and procurement of innovative smart medical equipment products at the Chongqing Pharmaceutical Exchange. This initiative aims to further improve and optimize the service functions of the special zone, ensuring that enterprises' innovative products are promptly listed for sale.

Second, facilitating clinical reimbursement access for locally developed innovative products and technologies.Accelerate the acceptance and review of applications for new medical service price items. Support designated healthcare institutions under the medical insurance scheme to file with the Municipal Medical Insurance Bureau at any time to implement newly added items that have been officially announced and put into effect. Standardize and integrate Chongqing’s existing medical service price items, take the lead in implementing national guidelines for the establishment of certain medical service items, and provide policy support for medical service pricing to facilitate the timely clinical adoption and nationwide promotion of innovative products developed by local enterprises in Chongqing.

Third, explore supporting the sales of innovative products through centralized volume-based procurement.Leverage centralized volume-based procurement (VBP) as a catalyst to drive profound transformation and upgrading of the pharmaceutical industry, and utilize VBP as a strategic tool to increase the market share of locally developed innovative products, thereby empowering industrial innovation and facilitating Chongqing’s innovative enterprises in achieving scalable, high-quality development. Building upon the current implementation of VBP results covering 756 pharmaceutical products and 27 categories of medical consumables, efforts will be made to expand the scope and enhance the quality of VBP. Eligible products from local enterprises will be included in the scope of alliance-based VBP, with the fulfillment of procurement quotas for winning products serving as a key performance indicator for healthcare institutions. Meanwhile, healthcare institutions will be organized to explore joint bargaining and procurement initiatives, stimulating their proactive role as primary purchasers and promoting the clinical adoption of local enterprise products through diversified and multi-channel approaches.

To guide private capital into specific industrial sectors, promote industrial upgrading and economic development, and attract more high-quality enterprises and projects to settle locally, Chongqing Municipality will, in accordance with the municipal government’s strategic plan for the smart medical equipment industry, leverage the Chongqing Industrial Investment Fund of Funds to collaborate with four key districts—Liangjiang New Area, Chongqing High-Tech Zone (Western Science City), Dadukou District, and Shapingba District. Together, they will simultaneously introduce private capital to establish four subsidiary funds, each with a target size of RMB 2.5 billion, thereby forming a cluster of smart medical equipment funds with a total scale of RMB 10 billion. These funds will directly invest in projects to drive industrial development.

Among all sub-funds, the Industrial Investment Fund of Funds will serve as a cornerstone investor, with its maximum capital contribution ratio reaching up to 30%, thereby guiding each fund.Investing in high-end medical equipment, high-value medical consumables, high-efficiency in vitro diagnostics, and AI-powered medical devices.。

Meanwhile, the Fund will also take into account the specific focuses and distinctive features of the smart medical equipment industry in each district and county, and comprehensively select sub-fund managers based on their investment experience, assets under management, track record of successful cases, and project pipeline.

In the operation of fund groups, the principles of “government guidance, market-based operation, and professional management” will be adopted. Funds will be leveraged to link capital with investment promotion and industrial cultivation. By prioritizing support for the establishment of smart medical equipment funds in key districts and counties, Chongqing will simultaneously promote resource sharing, complementary advantages, and differentiated development across all other districts and counties in the municipality, thereby fostering high-quality development of its smart medical equipment industry.

In fact, the Chongqing Municipal Health Commission has consistently attached great importance to the development of the smart medical equipment industry. It has introduced policies to provide full-chain support for the research and development and application promotion of smart medical equipment, covering clinical research, talent development, scientific research platforms, achievement transformation, incentive mechanisms, multi-sector integration, and funding guarantees. In 2024, the city’s health system carried out 66 demonstration projects for medical device applications, 82 medical-engineering integration projects, and facilitated the transformation of 28 scientific research achievements, with a total transaction value of RMB 190 million.

With the introduction of the Action Plan, the Chongqing Municipal Health Commission will fully implement the plan in the next step to promote the development of the smart medical equipment industry.

For example, to strengthen clinical research capacity building, further supportive policies will be studied and introduced; meanwhile, the incentive mechanisms for medical researchers and healthcare professionals will be optimized to encourage their participation in industrial innovation. Organized scientific research will be supported by establishing special projects focused on tackling key technologies in smart medical equipment. A repository for the transformation of technological innovation achievements will be established to facilitate in-depth cooperation with enterprises and promote the practical application of these achievements. Collaboration between medical institutions and enterprises will be promoted to carry out projects for the promotion and application of medical equipment, with evaluations conducted to drive product upgrades. Public and private medical institutions will be encouraged to equip themselves with and use innovative medical device products.

It is evident that the Action Plan provides clear policy guidance and support across all critical stages of the industry lifecycle, including scientific research and clinical translation, industrial clustering, regulatory registration and approval, promotion and application, capital support, as well as standardization and safeguards. This approach is expected to effectively address the practical challenges faced by smart medical equipment enterprises and drive the scale of Chongqing’s smart medical equipment industry to exceed tens of billions of yuan in the coming years. Leveraging the favorable policies outlined in the Action Plan, smart medical equipment enterprises are also poised to enter a new phase of development.