Mass Termination of Medical Consumables Distribution Agreements Involving Sinopharm, Shanghai Pharma, and CRRC
Sinopharm
Pharmaceutical and Medical Device Distributors and Supply Chain Service Providers
Shanghai Pharma
Modern Pharmaceutical Supply Chain Service Provider
Johnson & Johnson
Medical Device R&D and Manufacturer
Abbott
Provider of Health Diagnostic Products and Health Diagnostic Management Solutions
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A large number of consumables distribution relationships have been canceled!
Sinopharm, Shanghai Pharma, China Resources...
On April 16, the Zhejiang Provincial Medical Insurance Bureau released the "Announcement on the Termination of Distribution Relationships by Medical Consumables Manufacturers (Suppliers) (Batch 3, 2026)," proposing a one-time termination.885 pairsConsumables Distribution Relationship.(For the full list, see the end of the article)
Compared with the first two batches before 2026, the number of distributor relationships cleared by Zhejiang Province's "Three-in-One" Consumables Procurement Platform has significantly increased this time.
From the list, a large number of regional small and medium-sized distributors have had their distribution relationships terminated, butSinopharm Group Co.,Ltd., Shanghai Pharmaceutical Co.,Ltd., China Resources, Huadong MedicineSubsidiaries or regional companies of large-scale distribution enterprises are also included.
Sinopharm Group Zhejiang Co., Ltd., Sinopharm Group Zhejiang Medical Device Co., Ltd., Sinopharm Group Medical Device Co., Ltd., Sinopharm Group Huzhou Co., Ltd., China National Pharmaceutical Group Zhejiang Medical Equipment Co., Ltd., Shanghai Pharmaceutical (Ningbo) Medical Device Co., Ltd., Shanghai Pharma Cardinal (Zhejiang) Pharmaceutical Co., Ltd., China Resources Wenzhou Pharmaceutical Co., Ltd., China Resources Lishui Pharmaceutical Co., Ltd., China Resources Medical Device (Zhejiang) Co., Ltd., Huadong Medicine Co., Ltd. Equipment and Chemicals Branch, Huadong Medicine Jinhua Co., Ltd., Huadong Medicine Lishui Co., Ltd., Huadong Medicine Medical Device Technology (Hangzhou) Co., Ltd., etc.
From the perspective of consumables bidding enterprises, with a large number of familiar faces appearing:Johnson & Johnson, Abbott, Ortho Clinical Diagnostics, Wondfo, Saintway Biotech, Dirui Healthcare, Wuhan Lanpu, Nitto, Shandong Weigao, Winner Medical, Guangdong Huitong, Suzhou WayconAll are listed.
EspeciallyJohnson & Johnson Medical (Shanghai) Ltd., approximately 90 product distribution relationships have been canceled, covering 11 cities across the province including Hangzhou, Ningbo, Wenzhou, Jiaxing, Huzhou, Shaoxing, Jinhua, Quzhou, Taizhou, Lishui, and Zhoushan, involvingOrthopedics, General Surgery, Cardiothoracic, Cardiac Intervention, Electrophysiology, Plastic and Oral Surgery, and other multi-categories。
And inOutside Zhejiang, the "phase-out" is also accelerating.
On April 13, the Medical Insurance Bureau of Ulanqab City issued an announcement in accordance with the requirements of Document No. 246 [2022] of the Inner Mongolia Pharmaceutical Procurement Center.Cancel the centralized procurement and distribution qualifications of 16 companies in the region at one time。Compared with Zhejiang, the place directly lifted a restriction.Upgrade to Collective Elimination。
New Regulations Implemented in Multiple Provinces!
Consumables Distribution Continues to Reshuffle
Canceling the distribution relationship is just a superficial move; what's more critical is what follows."Rules"。
As the centralized procurement of consumables becomes increasingly routine,In the past two years, the state's attitude towards the distribution end of centralized procurement has become increasingly clear.：If you don't fulfill the contract, you will be dealt with.; and the key to handling it is toResponse Time, Coverage Ability, Price ExecutionThese requirements are written into the assessment and penalty mechanism.
April 9,Shandong ProvinceThe National Healthcare Security Administration issued the "Notice on Strengthening the Whole-process Management of Centralized Bulk Procurement of Medicines and Medical Consumables," upgrading the previous logic of "overall delivery rate meeting the standard is considered qualified" to a stricter constraint.
New regulations from the National Healthcare Security Administration require:Each medical institution with an agreed procurement volume must achieve a delivery rate of over 80%.。This effectively blocks the old path of "only prioritizing the protection of large hospitals while selectively cutting off supply to grassroots facilities."
April 13,Xiangxi Autonomous PrefectureRelease of the draft for public comment, making modifications to the distribution management mechanism, upgrading the quarterly assessment toQuarterly Evaluation Rules: Directly Break Down Distribution into "Hard Targets".
Including:
Order Response:After medical institutions place ordersConfirmed within 24 hours; After confirmationDelivered within 48 hours(Special cases can be extended to 72 hours upon negotiation); scoring is based on timely shipping rates, and points will be deducted if complaints are verified.
Coverage Requirements:Must cover the entire state's medical and health institutions, and cannot refuse or delay delivery due to remoteness, small quantity, or price inversion. One verified complaint will result in a deduction of points.
Price and Online:Must be implemented at the listed price / selected price, and a deduction will be made upon discovery;Strictly Prohibit Offline TransactionsEmergency distribution must also be recorded online within the specified time.
Contractual Constraints:Tripartite agreements and centralized procurement selection tripartite purchase and sale contracts must be signed.
There is no doubt that distribution is no longer "just about delivering", but rather it must be integrated into the system.Run by the hour, by the process, and by the evidence.——If you can't run, you lose points; when the points are all gone, you're out.
Not only in Shandong and Xiangxi,Within the past year，Hubei, Guangdong, Jiangxi, BeijingSimilar rules have also been introduced in other places. In the current market, whether it is the fulfillment of centralized procurement contracts, price governance, or distribution and implementation,The entire chain of medical consumables regulation is becoming increasingly stringent.。
For distribution enterprises, there is only one threshold: to deliver goods to each institution on time, at the right price, and according to the process, with full traceability throughout the entire process.If you can't do it, you will be systematically cleared out.
Attachment: The List of Proposed Delivery Relationships to be Terminated in the Third Batch in Zhejiang Province, 2026
（The public announcement period is from April 17, 2026 to April 30, 2026.）
