Nanjing Medical Device Industrial Park Files IPO Prospectus, Leveraging Multifaceted Resource Advantages

6Month22Day,The 3rd International Summit on Medical Device Innovationkicked off in Gaochun District, Nanjing. This forum centered on ““Manufacturing as the Foundation, Collaborative Innovation”Centered on this theme, the event will focus on the most dynamic medical device companies, listed firms, financial institutions, and healthcare providers both in China and abroad. Through formats such as the Innovative Medical Device Vitality Ranking, closed-door government-enterprise meetings, overseas connections, keynote speeches, and pioneer dialogues, it aims to create a premier offline conference for the medical device industry, redefining the evolutionary logic of technology and industrial innovation.

The International Summit on Medical Device Innovation has become an annual hallmark event in Gaochun District. Having been successfully held for three consecutive editions, it has garnered positive social feedback and established a notable influence within the industry. The rationale behind hosting this prestigious summit is Gaochun’s aspiration to harness collective strengths and accelerate the rapid development of its regional medical device industry.

Gaochun, located at the “Southern Gateway of Nanjing,” is China’s first “International Slow City.”As the southern pillar of Nanjing’s innovative city initiative, Gaochun District has in recent years closely aligned its extensive layout with the medical device industry, initially forming a cluster centered onHigh-value consumables, in vitro diagnostics, rehabilitation medical devicesan industrial system centered on R&D, production, and sales.

To better promote the development of the medical device industry,On May 5, 2019, the Jiangsu Provincial Medical Products Administration and the People's Government of Gaochun District officially signed an agreement to jointly establish the Nanjing Gaochun Medical Device Industrial Park.The emergence of the industrial park has not only provided high-quality “soil” for the development of innovative startups in the regional medical device sector, but also serves as a significant force in Nanjing’s implementation of the national “Healthy China” strategy.

The medical device industry is a strategic emerging sector strongly supported by the state and one of Nanjing’s eight core industrial chains. As the “main battlefield” for innovative development and the “new engine” for future industrial growth in Nanjing, Gaochun District has vigorously promoted the scale-up, standardization, and efficiency enhancement of its medical device industry in recent years. It has continuously built industrial infrastructure, steadily improved supporting facilities, and strived to establish itself as a new benchmark for urban development.

Compared with other mature medical device industry clusters in China, Gaochun started later and is still in its nascent stage. Nevertheless, the medical device industry in Gaochun remains highly anticipated by the market, representing a genuine “high-potential” sector. This confidence stems from the fact that Gaochun is a fertile ground with significant potential for the development of the medical device industry, possessing numerous core elements that drive industrial advancement.

First, the government has actively provided guidance and introduced multiple key policies to proactively support industrial development.To encourage medical device enterprises in key areas such as R&D and regulatory approval, commercialization of innovative achievements, risk mitigation for innovative products, corporate qualification certification, and international market expansion, the People’s Government of Gaochun District has specifically formulated 11 special policies, including the Special Support Measures for Promoting the Development of the Medical Device Industry, to drive the industry toward higher quality, greater sophistication, and advanced standards.

Second, the location advantage is obvious, opening up the traffic "veins" for industrial development.Gaochun District is located at the geographic center of the Yangtze River Delta and serves as a key “southern bridgehead” strategically developed by Jiangsu Province to strengthen connectivity with Zhejiang and Anhui Provinces. It features express highways and Light Rail Line S9 connecting to Nanjing, and is only a 30-minute drive from Nanjing Lukou International Airport. Furthermore, as one of the critical linkage points between the central and western parts of the Yangtze River Delta, Gaochun boasts favorable transportation conditions for undertaking industrial relocation, with land routes including the Ninggao, Ningxuan, and Liwu Expressways as well as the Wutai Highway, and waterway access via the Wushen Canal.

Third, the industry boasts a robust foundation, providing comprehensive empowerment across the entire industrial chain.Jiangsu Province and its surrounding areas are a major hub for China’s medical device industry, boasting a rich industrial ecosystem and a robust consumer market. Nanjing currently has 36 Grade A tertiary hospitals and 20 clinical trial institutions for medical devices, providing a favorable environment for industry development. In addition, Gaochun District is home to nearly 800 enterprises engaged in the research and development, manufacturing, and trading of medical devices. With a well-developed industrial chain across the district, it can strengthen upstream and downstream supply chains for the medical device industry, thereby continuously enhancing its competitiveness.

Fourth, strong innovation capabilities, bringing together multiple top-tier talent resources.Nanjing is a renowned hub for science and education, home to 53 universities and a large number of national-level laboratories, provincial key laboratories, and new-type R&D institutions affiliated with these universities, boasting abundant scientific research resources. Currently, the Gaochun Medical Device Industrial Park hosts five new-type R&D institutions focused on the healthcare sector, including the Nanjing Health Industry Research Institute of Zhejiang University, the Nanjing Smart Health Research Institute of the Suzhou Institute of Biomedical Engineering and Technology (Chinese Academy of Sciences), and the Zhongke Youzi Biotechnology Research Institute, which will provide a continuous stream of innovative vitality for industrial development.

Overall, Gaochun’s favorable policy environment, unique locational advantages, robust industrial foundation, and strong innovation capabilities have collectively created fertile ground for the development of the medical device industry.

Although the Nanjing Medical Device Industrial Park has been established for only two years, it has already achieved a certain scale of industrial development. To date, the park has gathered 475 enterprises engaged in the production and distribution of medical devices, including 83 manufacturers. Enterprises that have commenced production have obtained 138 registration certificates for various medical device products, forming an R&D, manufacturing, and sales industrial system primarily focused on high-value consumables, in vitro diagnostics (IVD), and rehabilitation medical devices.

It is clear that Gaochun has already laid a solid foundation for the development of its regional medical device industry, both in terms of policy support and physical infrastructure. However, whether this path can be successfully navigated to drive the industry toward higher-quality growth depends on the professionalism and comprehensiveness of its superstructure—specifically, how well a complete supporting service system is established for industrial development.

First, in terms of research and development and production.To boost industrial development, the park is fully committed to building the “One Institute and Six Centers,” comprising the Gaochun Branch of the Jiangsu Medical Device Testing Institute, the Training Center of the Jiangsu Provincial Medical Products Administration, the Jiangsu Medical Device Big Data Center of the Southern Institute of Pharmaceutical Economics under the National Medical Products Administration, the Medical Device Innovation Service Center, the Product Exhibition Center, the Ethylene Oxide Sterilization Center, and the Medical Device Waste Disposal Center. These initiatives aim to reduce production costs for enterprises and promote high-quality development of the industry as a whole.

Next is the aspect of high-quality government services.To effectively address the practical challenges facing industry development, the Nanjing Medical Device Industrial Park has established an agency service office and formed a specialized professional team for medical devices. On one hand, it comprehensively promotes approval processes with conditional acceptance and provides full-process, cost-free agency services. On the other hand, it offers specialized support throughout the entire lifecycle—from registration to production and market promotion—and has implemented a 24-hour resolution mechanism for addressing stakeholder requests, thereby truly realizing its core mission of “handling all affairs within the park and delivering zero-distance services.”

Then, in terms of industrial incubation.To vigorously promote the incubation of scientific research and innovation industries, Gaochun District has currently established six new R&D institutions focused on biomedicine and new medical materials, one national-level incubator, four mass innovation spaces and incubators, as well as overseas collaborative innovation centers in Germany and Switzerland. These initiatives will bring sustained innovative vitality to the development of the industrial park and drive rapid industrial upgrading.

Finally, there is the issue of funding.Capital plays a pivotal role in industrial development. To fully leverage capital advantages and drive exponential growth in the regional medical device industry, Gaochun District has established a specialized fund system comprising an “Industrial Fund + Sci-Tech Innovation Fund + Biopharmaceutical Special Sub-Fund.” With a total size of RMB 5 billion for the Industrial Fund and RMB 2 billion for the Sci-Tech Innovation Fund, this system will provide comprehensive support to the medical device industry from multiple dimensions.

In addition, Gaochun District has made significant efforts to enhance living and urban amenities, addressing the practical concerns of resident personnel by meeting their genuine needs. This approach establishes a systematic and comprehensive service framework for the industrial park, thereby fueling rapid industrial growth.

According to data released in the "2021 China Industry Health White Paper: Medical Technology and Devices," the market size of China's medical device industry reached RMB 634.1 billion in 2019, representing a year-on-year growth of approximately 19.6% compared to 2018. Driven by a surge in demand for medical devices such as surgical masks, nucleic acid test kits, and extracorporeal membrane oxygenation (ECMO) machines during the pandemic, the revenue of China's medical device industry is projected to exceed RMB 850 billion in 2020. In the post-pandemic era, with the introduction of various national policies aimed at accelerating the improvement of healthcare infrastructure, the medical device industry is expected to maintain robust growth in the coming years.The market size is projected to exceed RMB 900 billion by 2022, indicating a highly promising industry outlook.

Leveraging its strong industrial advantages and unprecedented development opportunities, Gaochun District has greater “room for strategic thinking” about the future.

In terms of industry.First, Gaochun will continue to prioritize the development of forward-looking, differentiated, high-tech, and high-value-added niche segments in the medical device industry, including high-value consumables, in vitro diagnostic (IVD) products, rehabilitation equipment, and home medical devices. Second, Gaochun will promote the coordinated development of high-tech R&D and advanced high-end manufacturing industries, such as stem cell therapy, genetic testing and diagnostic equipment, wearable devices, medical imaging equipment, medical software, and rehabilitative assistive devices. Finally, Gaochun will extend its reach into developing specialized medical services, including premium health check-ups, high-end wellness and elderly care, medical aesthetics, and traditional Chinese medicine (TCM) diagnosis and treatment.

In terms of enterprises.Gaochun has attracted more than 300 medical device manufacturers, fostered 8–10 leading enterprises in niche sectors, 3–5 listed companies, and 1–2 unicorn companies, with a focus on developing 1–2 industrial clusters in specialized fields.

In terms of talent.Gaochun will attract a cohort of high-level technical talents with competitive compensation, continuously strengthening the top-level design for industrial development. Furthermore, Gaochun will persistently improve related supporting facilities and services, and cultivate a workforce of skilled laborers in the medical device sector, thereby solidifying the productive capital base for the industry.

Regarding the future development of the medical device industry, Gaochun’s goal is clear:Accelerate the expansion of the medical device industry, strive to build a large-scale industrial cluster, and aim to achieve a total output value of over RMB 30 billion for the healthcare industry by 2025, with main business revenue from the medical device sector exceeding RMB 12 billion, thereby transforming Gaochun into the “Valley” of Nanjing’s biopharmaceutical and medical device industries.

This is entirely something to look forward to. Building on its strong urban foundation, Gaochun will create a cluster of intelligent medical device industries by continuously optimizing park planning, and gradually move to the center of the medical device stage with this as its core.