Shanghai's biopharma industry set to exceed 200b yuan output in 2024

Shanghai's biopharmaceutical industry, a key driver of the city's economic growth, is projected to exceed 200 billion yuan ($27.28 billion) in output value in 2024, marking a significant increase from the previous year's 185.98 billion yuan, according to Luo Dajin, director of the Shanghai Municipal Commission of Science and Technology, at a press conference held by the Shanghai Municipal Government on Thursday.

This growth comes amidst a global reshuffling of the biopharmaceutical landscape. In response, Shanghai has implemented a new round of initiatives aimed at fostering innovation and addressing the challenges facing the sector.

The efforts include the introduction of supportive measures for innovation throughout the entire biopharmaceutical value chain and the "Four 100s" work plan that identifies and provides targeted support to 100 key enterprises, products, pipelines and projects, aiming to build a robust support system for biopharmaceutical companies by assigning dedicated service specialists to address their specific needs and challenges.

"The biopharmaceutical industry is in a stage of deep global adjustment," Luo said, acknowledging the competitive nature of the field.

He highlighted Shanghai's commitment to remaining at the forefront of this industry, stating, "Shanghai's biopharmaceutical manufacturing industry is stabilizing and recovering, and it continues to improve."

Luo outlined a five-pronged strategy for bolstering the industry: supporting drug and medical device innovation; optimizing services for businesses; advancing regulatory reforms; promoting open collaboration and strengthening financial empowerment.

These endeavors are already yielding results. In 2024, Shanghai ranked second nationwide with seven domestically-produced Class-1 innovative drugs receiving approval for market launch. The city also took the top spot with 15 Class-III innovative medical devices approved.

Furthermore, Shanghai has been actively encouraging foreign investment in its biopharmaceutical sector. This includes facilitating the establishment of regional headquarters and research and development centers, as well as streamlining the process for foreign entities to engage in cutting-edge areas such as human stem cell research and gene diagnosis and treatment technologies.

Looking ahead, Luo emphasized the importance of continuous innovation, saying, "We will focus on key areas of innovative drugs and medical devices, focus on key areas such as Pudong New Area and Minhang district, and comprehensively plan for research and development, clinical trials, manufacturing and application.

"We will continue to intensify reform efforts, enhance services and strive to optimize the industrial innovation ecosystem, adhering to innovation throughout the entire process, accelerating the entire chain and empowering all elements."

He added that the ultimate goal is to achieve higher-quality development of the biopharmaceutical industry and provide better and more comprehensive healthcare and well-being for the public.

Luo Bin contributed to this story.