To pharma firms operating in China, it is stale news that in an upcoming annual pricing negotiation their newly approved innovative drugs are likely to be subject to an average price reduction of 60% in exchange for reimbursement coverage under the national basic medical insurance scheme. (Also see "China’s Payer Keeps Deep Price Cuts Steady in Latest NRDL Listing" - Scrip, 20 January, 2023.)
During a week-long industry event held recently in Shanghai, however, the topic was freshened up with the latest initiative from the authorities of the city, a leading biopharma hub in China, to promote the expansion of commercial medical insurance on top of the
Meanwhile, both domestic pharma companies and their foreign peers are expecting that Shanghai's effort, albeit on a local level, will to some degree offer an alternative solution to the national