Building China's Medical and Pharmaceutical Emergency Support System: Insights from the Alliance Inaugural Conference

2020 was as extraordinary as it was challenging.

The sudden outbreak of the COVID-19 pandemic at the beginning of the year has had a significant impact on many industries and caused great inconvenience to people's production and daily life. In this "tough battle" against the epidemic, people across China have stood together, offering mutual support and contributing their strength to the effective control of the outbreak. Among them,China's public health system and medical service system have also played an extremely important role, but at the same time, some shortcomings and deficiencies have been revealed.。

Seizing the opportunity presented by epidemic prevention and control to address weaknesses, plug loopholes, and strengthen areas of deficiency has become an integral part of improving and building a robust public health system.In response, a group of visionaries actively sought solutions. From the beginning to the middle of the year, ideas, suggestions, and proposals continued to converge,Amidst the exchange of ideas among industry professionals and relevant institutions, a clear strategic vision has gradually taken shape.。

On August 29, the China Medical and Pharmaceutical Emergency Support System Alliance (hereinafter referred to as the “Alliance”) held its inaugural meeting in Beijing.Under the guidance of the State-owned Assets Supervision and Administration Commission of the State Council, the Alliance was jointly established by China National Pharmaceutical Group Co., Ltd., China Resources Pharmaceutical Group Limited, China National Pharmaceutical Industry Corporation Ltd., Zhongzi Data Technology Co., Ltd., and Zhongzi Medical and Pharmaceutical Emergency Support Platform Co., Ltd., together with participants, maintainers, and promoters within the national medical and pharmaceutical emergency support system.

VCBeat was honored to participate in the conference in its entirety and conducted interviews with selected enterprises and institutions in attendance, aiming to glean insights from the wealth of information shared into the future direction of China’s emergency medical and pharmaceutical supply chain.

The Alliance has established an Expert Committee, with Wang Chen, Vice President of the Chinese Academy of Engineering, President of Peking Union Medical College and the Institute of Basic Medical Sciences, Chinese Academy of Medical Sciences, and Academician of the Chinese Academy of Engineering, serving as the Chief Expert; He Zhenxi, President of the Chinese Research Hospital Association, serving as Chairman; and Guo Yunpei, President of the China Pharmaceutical Enterprise Management Association, serving as a Committee Member.

Academician Zhong Nanshan, recipient of the “Medal of the Republic,” and Academician Li Lanjuan, a hero in the fight against the epidemic, serve as Honorary Chairmen of the Alliance; Liu Jingzhen, Chairman and Party Secretary of China National Pharmaceutical Group Co., Ltd. (Sinopharm), serves as Chairman of the Alliance; Gao Yuwen, Chairman of China National Pharmaceutical Industry Co., Ltd., and Han Yuewei, Party Secretary and CEO of China Resources Pharmaceutical Group Limited, serve as Executive Vice Chairmen of the Alliance; and Xu Xiaolin, Director of China Medical Medicine Emergency Support Platform Co., Ltd., serves as Secretary-General of the Alliance.

The Alliance operates under the professional guidance of the Chinese Research Hospital Association, the China Medical Equipment Association, and the China Academy of Industrial Internet.

At the inaugural member assembly of the alliance, Weng Jieming, Deputy Director of the State-owned Assets Supervision and Administration Commission (SASAC) of the State Council, highlighted two critical issues. First, it is imperative to establish a comprehensive digital, networked, and intelligent system to avoid confusion, blindness, and disorganization when confronting major challenges. Second, a capability system that integrates peacetime preparedness with wartime response must be developed, ensuring that capabilities accumulated during peacetime can be effectively mobilized in times of crisis.

(Weng Jieming, Deputy Director of the State-owned Assets Supervision and Administration Commission of the State Council, attended the conference and delivered a speech)

Wang Chen, Vice President of the Chinese Academy of Engineering, President of the Chinese Academy of Medical Sciences and Peking Union Medical College, Academician of the Chinese Academy of Engineering, and Chief Expert of the Alliance’s Expert Committee, expressed his expectations for the Alliance and the health industry at the conference. He remarked that just as the sufficiency of ammunition and provisions is a critical factor determining the outcome of a battle, the establishment of the Alliance will provide ample “provisions and ammunition” for potential future public health emergencies.

(Wang Chen, Vice President of the Chinese Academy of Engineering, President of the Chinese Academy of Medical Sciences & Peking Union Medical College, Academician of the Chinese Academy of Engineering, and Chief Expert of the Alliance Expert Committee, attended the conference and delivered a speech)

Notably, the Alliance has specially invited Academician Zhong Nanshan, recipient of the “Medal of the Republic,” and Academician Li Lanjuan, a hero in the fight against the epidemic, to serve as Honorary Chairmen. Both academicians personally wrote calligraphy inscriptions to congratulate the establishment of the Alliance.

(Academician Zhong Nanshan’s Inscription for the Establishment of the Alliance: Strengthen Emergency Support to Safeguard Public Health)

(Academician Li Lanjuan’s inscription for the establishment of the alliance: Strengthen the national emergency support system for medical and pharmaceutical services, and fulfill the historic mission of serving the people’s health.)

Liu Jingzhen, Chairman of Sinopharm Group and Chairman of the Alliance, also stated that during the pandemic, the demand for medical protective supplies across China was unprecedented in both scale and urgency. Although the emergency supply assurance mission was successfully completed through joint efforts, it is essential to clearly recognize that, at critical junctures in responding to public health emergencies, there remain institutional deficiencies and systemic weaknesses in medical and pharmaceutical emergency supply assurance. To address this, the Alliance will bring together expert institutions, organizations, and enterprises from multiple regions, industries, and fields to jointly provide recommendations for strengthening the national-level medical and pharmaceutical emergency supply assurance system for public health emergencies.

(Liu Jingzhen, Chairman of Sinopharm Group and Chairman of the Alliance, attended the conference and delivered a speech)

Regarding future work directions, Han Yuewei, Secretary of the Party Committee and Chief Executive Officer of China Resources Pharmaceutical Group, as well as Executive Vice Chairman of the Alliance, stated that the organization will closely focus on eight key responsibilities: policy and strategic research for the Alliance, support for smart regulation, development of data standard systems, collaborative technological innovation, industrial promotion, enhancement of supply chain efficiency, optimization of resource-sharing mechanisms, and stimulation of organizational effectiveness. The Alliance will fully leverage its leading, coordinating, and connecting roles to explore new ideas and methods for innovative work together with all members, thereby effectively strengthening and solidifying the Alliance.

(Han Yuewei, Secretary of the Party Committee, Chief Executive Officer, and Executive Vice Chairman of the Board of China Resources Pharmaceutical Group, attended the conference and delivered a speech)

At the conference, Xu Xiaolin, Director of China Medical and Pharmaceutical Emergency Support Platform Co., Ltd. and Secretary-General of the Alliance, stated that the Alliance is committed to promoting innovative development in the medical and pharmaceutical industry and safeguarding the national reserve and allocation of emergency medical and pharmaceutical supplies. With the goal of establishing a multi-dimensional emergency support mechanism for medical and pharmaceutical materials covering the entire lifecycle, all processes, and all aspects, and focusing on accelerating the construction and application of an information platform for emergency medical and pharmaceutical support, the Alliance will initiate its efforts from the circulation link of emergency medical and pharmaceutical supplies. It aims to build three major service platforms: the “Emergency Support Platform,” the “Interconnected and Integrated Information Data Platform,” and the “Medical and Pharmaceutical Ecosystem Aggregation Platform.” By fully leveraging its role in coordinating emergency support, the Alliance will promote data standardization, integration, and sharing, thereby achieving seamless interconnectivity and integration of information data for medical and pharmaceutical supplies.

(Xu Xiaolin, Director of China Medical and Pharmaceutical Emergency Support Platform Co., Ltd. and Secretary-General of the Alliance, attended the conference and delivered a speech)

Zhu Shihong, a second-level inspector at the Department of Social Development of the National Development and Reform Commission (NDRC), summarized China’s experience in responding to the pandemic and stated that leveraging internet technologies to further improve the emergency supply guarantee mechanism for medical and pharmaceutical materials—thereby advancing such efforts toward intelligent and precise management—constitutes an important foundation and future direction for the emergency supply guarantee system.

(Zhu Shihong, Second-Level Inspector of the Department of Social Development at the National Development and Reform Commission, attended the conference and delivered a speech)

Li Ying, First-Level Inspector at the Department of Information Technology Development under the Ministry of Industry and Information Technology (MIIT), stated that as the pandemic continues to spread worldwide, it is imperative to steadfastly promote high-quality development in the manufacturing sector through digital transformation. This approach is essential both for supporting the decisive and thorough victory in the battle against the epidemic and for mitigating the shock and damage inflicted by the pandemic on the economy and society. Furthermore, efforts must be accelerated to build a strong manufacturing nation, thereby strengthening the industrial support and foundation for emergency material supplies.

(Li Ying, First-Level Inspector of the Department of Information Technology Development, Ministry of Industry and Information Technology, attended the conference and delivered remarks)

Mao Qun’an, Director of the Department of Planning Development and Informatization under the National Health Commission, also stated that the trial posed by the epidemic has made it profoundly clear that accelerating the construction of a platform for the emergency supply system of medical services and pharmaceuticals, and ensuring the smooth flow of people, goods, and information, are of great significance to further improving the joint prevention and control mechanisms for major epidemics and strengthening the national public health emergency management system.

(Mao Qun’an, Director of the Department of Planning, Development and Informatization of the National Health Commission, attended the conference and delivered a speech)

Officials from relevant departments of the National Development and Reform Commission, the Ministry of Industry and Information Technology, the National Health Commission, and the State-owned Assets Supervision and Administration Commission of the State Council; representatives from the Chinese Research Hospital Association, the China Medical Equipment Association, and the China Academy of Industrial Internet; as well as experts from the Alliance’s Special Committees and members of the Alliance Council attended the inauguration ceremony.

The China Medical and Pharmaceutical Emergency Support Alliance bears the mission of promoting innovative development in the medical and pharmaceutical industry and ensuring the national reserve and allocation of emergency medical and pharmaceutical supplies. Addressing the needs of the national medical and pharmaceutical emergency support system in terms of institutional development, industry standards, information exchange, and technical support, the Alliance pools collective wisdom, joins hands to fulfill social responsibilities for China’s medical and pharmaceutical emergency support, and jointly explores the establishment of a scientifically rigorous, innovative, and efficient emergency support system. This effort aims to drive the integrated development of the technology chain, industrial chain, and market chain within China’s medical and pharmaceutical emergency support sector.

Prior to the establishment of the alliance, efforts to build an emergency support system for healthcare and pharmaceuticals were already underway.

On June 1 this year, China Medical and Pharmaceutical Emergency Supply Platform Co., Ltd., initiated and established by Sinopharm Group, was unveiled in Beijing. It is understood that this is the first national-level integrated internet platform for medical and pharmaceutical emergency supply, aiming to address the deficiencies and shortcomings in the guarantee of emergency medical and pharmaceutical materials.

A relevant official from Zhongzi Medical and Pharmaceutical Emergency Support Platform Co., Ltd. told VCBeat that, from the outset, both related institutions and industry participants were driven by the intention to establish an emergency support platform. “Building the platform required connecting data, which led us to form a data team, incorporate the company, and leverage commercial operations to develop this internet-based platform.”

According to the report “China Healthcare IT Market Forecast, 2019–2023” released by IDC, the compound annual growth rate (CAGR) of China’s healthcare informatization market from 2018 to 2023 will be 10%. Based on this forecast, the market size is expected to reach approximately RMB 54 billion in 2019 and grow to RMB 79.16 billion by 2023.

However, integrating fragmented data across various enterprises and institutions, along with consolidating resources, has become a significant challenge. The establishment of the alliance addresses these issues by facilitating effective communication and sharing of information resources among industry, academia, and research institutions. This enables seamless interoperability of data and resources while pooling industry strengths to fulfill the social responsibility of ensuring emergency medical and pharmaceutical supplies in China.

Of course, the alliance is non-profit in nature, whereas China Medical and Pharmaceutical Emergency Support Platform Co., Ltd. is a commercial enterprise; this constitutes a fundamental distinction. Xu Xiaolin, Secretary-General of the Alliance, stated, “Commercial entities should adhere to commercial rules, while non-profit initiatives should follow non-profit principles. Both platforms are serving the establishment of China’s medical and pharmaceutical emergency support network and system, and I believe they are indispensable to each other.”

Regarding the future development of the alliance, Xu Xiaolin highlighted two objectives to be achieved. First, through the alliance’s efforts, China’s emergency medical and pharmaceutical support system will become more informatized, intelligent, and efficient. Second, every member of the alliance should achieve greater growth and surpass their past performance through mutual collaboration and contribution.