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Pharmaceutical MNCs Moving Full R&D Operations To China

This article was originally published in PharmAsia News

Executive Summary

Johnson & Johnson recently inaugurated its Asia pharmaceutical R&D Center in Shanghai (PharmAsia News, April 17, 2009), putting China on par with its North American and European R&D bases. The firm attributes the move to not only cost considerations but also to China's huge disease pool and high-quality researchers. The 2004 to 2006 period saw pharmaceutical giants including Pfizer, GSK, Novartis and Sanofi-Aventis setting up their R&D centers in the country. With continuous development, MNCs are gradually moving from merely conducting clinical trials to completing their entire R&D process in the country. However, most life sciences innovations still come from Western countries and Japan as the lack of IP protection hampers China's bid to become a global hub for innovative pharma R&D. (Click here for more - Chinese language)

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