Investment Rating - The report does not explicitly provide an investment rating for the biopharmaceutical industry Core Insights - The Chinese biopharmaceutical industry has experienced rapid growth over the past decade but has faced significant pressure in recent years due to economic slowdowns and market challenges. However, a recovery is anticipated in 2024, supported by new government policies aimed at fostering innovation across the entire value chain [6][9][18] - The government's "full-chain support for innovation" policy is expected to provide comprehensive support for the biopharmaceutical industry, enhancing confidence among companies and promoting transformation and development [6][34][68] Summary by Sections 1. Industry Overview - The biopharmaceutical industry in China has been a core focus of national industrial strategy, with significant growth until 2021, followed by a downturn starting in 2022. Recent data indicates a recovery trend in 2024 [9][10][18] - The financing landscape for the life sciences and health care sector has seen a sharp decline in both the number of financing projects and the scale of financing since 2022, continuing into 2024 [13][14][18] - External uncertainties, such as global economic slowdowns and unfavorable legislative proposals, have impacted investment confidence in the biopharmaceutical sector, although signs of economic recovery are emerging [18][19] 2. Government Policies - The central government has introduced a new strategic framework for "full-chain support for innovative drug development," which includes funding support, talent cultivation, and streamlined approval processes [36][40] - Local governments have implemented specific policies to support the central government's strategy, including financial incentives and operational support for biopharmaceutical companies [38][41] 3. Company Strategies - Both multinational and local biopharmaceutical companies are actively seeking to leverage the new government policies to navigate the current market challenges and enhance their competitive positions [49][50] - Multinational companies are focusing on introducing innovative products to the Chinese market and strengthening collaborations with local firms to optimize their R&D pipelines [50][55] - Local companies are expanding their R&D activities across different regions to maximize the benefits from local policies and resources [56][60] 4. Key Considerations for Companies - Companies must consider tax and regulatory factors when formulating their strategies in China, including the implications of local policies on R&D and market entry [64][66] - The report emphasizes the importance of strategic planning to optimize tax efficiency and compliance with regulatory requirements [66][68] 5. Conclusion - Despite facing pressures, the Chinese biopharmaceutical industry is expected to continue its growth trajectory, driven by government support and the increasing innovation capabilities of local companies [67][68]

Investment Rating - The report does not explicitly provide an investment rating for the LSHC industry in China for 2025. Core Insights - The overall sentiment towards the Chinese LSHC industry is optimistic, with local players exhibiting the most ambition and positivity regarding future growth [22][24]. - The industry is experiencing increased internal competition, leading to a more cautious investment approach as alternative markets become more attractive [25][27]. - Regulatory frameworks are evolving, with a significant focus on data privacy and export restrictions impacting operational costs and R&D activities [34][39]. Summary by Sections Industry Outlook and Considerations - The business performance in 2024 exceeded 2023 but remained below expectations, with local players facing commercialization pressures [14]. - A significant portion of respondents (54%) believe their business performance in 2024 will surpass that of 2023, indicating cautious optimism [15]. - The overall economic value cycle remains a critical factor for stakeholders, with a focus on "going out" strategies and increased business development efforts [18]. Market Sentiment - A majority of stakeholders (63%) hold a positive outlook for their business in China for 2025, with only 6% expressing negative views [22][24]. - Local players are more optimistic about growth compared to foreign players, who anticipate lower growth rates [24]. Regulatory and Technological Impacts - The regulatory framework in China is perceived to be tightening, with nearly half of respondents indicating increased constraints [35]. - Data privacy and export restrictions are leading to higher operational costs, with 45% of respondents acknowledging this impact [39]. - The adoption of digital technologies and the need for compliance with local regulations are becoming increasingly important for companies operating in China [41][43]. New Business Investment Strategies - There is a notable shift towards investing in new market channels beyond traditional hospital channels, with 76% of respondents deploying new channel investments [47]. - The relaxation of foreign investment regulations has intensified local competition, prompting a surge in investments across the value chain [49][50]. - Local players are increasingly focusing on R&D localization and clinical trials, with about 70% reporting increased investment in these areas [50].

Investment Rating - The report does not explicitly provide an investment rating for the Chinese life sciences and healthcare industry Core Insights - The overall sentiment towards the Chinese market has shifted positively, with 42% of respondents expecting revenue growth above 10% in 2025, compared to 39% in 2024 [24] - The majority of respondents (76%) are deploying new channel investments, indicating a strategic shift towards diversifying distribution channels [47] - Regulatory changes and technological advancements are critical factors influencing business strategies, with a significant focus on localizing operations and enhancing compliance frameworks [35][41] Summary by Sections Research Framework - The survey was conducted from January to February 2025, involving 125 operators and investors in the Chinese life sciences and healthcare industry [4] Industry Outlook and Considerations - In 2024, business performance exceeded 2023 levels but remained below market expectations, with 54% of respondents indicating better performance than the previous year [14] - The economic benefits of product life cycles remain a top consideration for stakeholders, with a strong emphasis on expanding business operations domestically and internationally [18] Market Sentiment - The attractiveness of the Chinese market has decreased compared to previous years, with 59% of foreign companies facing increased internal competition for investment resources [30] - Despite this, local companies are optimistic about growth, with many private enterprises having marketable products [23] Strategic Initiatives - Companies are focusing on optimizing marketing and sales teams, with 82% of respondents adjusting their strategies to adapt to new market channels [22] - There is a notable shift towards localizing R&D investments, particularly among domestic firms, in response to relaxed foreign investment restrictions [50] New Regulatory and Technological Impacts - Nearly half of the respondents believe that the regulatory framework in China has tightened, particularly affecting local companies [36] - The integration of digital technologies and data compliance is becoming increasingly important, with 44% of respondents indicating a need to adjust talent strategies to enhance digital capabilities [41] Changes in Commercial Investment Strategies - The report highlights a significant decrease in the preference for collaborative models among foreign companies, with only 43% favoring partnerships compared to 66% in the previous year [47] - A majority of companies are increasing investments in local supply chains and clinical trials, reflecting a strategic pivot towards enhancing domestic capabilities [50]

Investment Rating - The report does not explicitly provide an investment rating for the Chinese life sciences and healthcare industry Core Insights - The overall sentiment towards the Chinese market has improved, with 42% of respondents expecting revenue growth above 10% in 2025, compared to 39% in 2024 [24] - The majority of respondents (76%) are deploying new channel investments, indicating a shift towards diversifying distribution strategies [47] - Regulatory changes and technological advancements are critical factors influencing business strategies, with a significant focus on localizing operations and enhancing digital capabilities [41][42] Summary by Sections Research Framework - The survey was conducted from January to February 2025, involving 125 operators and investors in the Chinese life sciences and healthcare industry [4] Industry Outlook and Considerations - In 2024, 54% of respondents reported better business performance compared to 2023, although many faced commercialization pressures [14] - The economic benefits of product life cycles remain a top consideration for stakeholders, with a strong emphasis on expanding business operations domestically and internationally [18] Market Sentiment - The attractiveness of the Chinese market has decreased compared to previous years, with 59% of foreign companies facing increased internal competition for investment resources [30] - Only 6% of respondents expressed negative sentiments about the market outlook for 2025, indicating a recovery in market confidence [24] Strategic Initiatives - Companies are focusing on optimizing marketing and sales teams, with 82% adjusting their strategies to respond to new market channels [22] - There is a notable shift towards localizing R&D investments, with 66% of respondents increasing their local R&D expenditures following the relaxation of foreign investment restrictions [50] New Regulatory and Technological Impacts - Nearly half of the respondents believe that the regulatory framework in China has tightened, particularly affecting local companies [36] - The integration of digital technologies and data compliance frameworks is becoming increasingly important for businesses operating in China [41] Changes in Commercial Investment Strategies - The report highlights a significant decrease in the preference for collaborative models among foreign companies, with only 43% favoring partnerships compared to 66% in the previous year [47] - The focus on local supply chain investments has increased, particularly among domestic firms, as they adapt to new market conditions [50]

China LSHC Industry Survey 2025 State of Industry in China China Life Sciences & Health Care Team March 2025 Content © 2025. For information, contact Deloitte China. China Life Science & Health Care Industry Survey – 2025 State of Industry in China 2 ◼ Framework ◼ Results – Questions & Deep-dive • China LSHC Business Outlook & Considerations • New regulatory and technology impact • New shifts in business investment strategy ◼ Concluding insights ◼ Appendix Framework © 2025. For information, contact Deloitte ...

Investment Rating - The report does not explicitly provide an investment rating for the industry Core Insights - Achieving net-zero greenhouse gas emissions by 2050 requires a fundamental transformation of society from a fossil fuel-centric model to a highly renewable and electrified energy system [4][10] - The aviation and shipping sectors are particularly challenging to decarbonize, necessitating the use of low-carbon fuels such as biofuels and synthetic fuels, which have higher energy densities than hydrogen and electricity [4][5] - Deloitte forecasts that CO2 emissions from aviation will stabilize before 2030 and decrease by approximately 75% by 2050, while shipping is expected to achieve nearly net-zero emissions by 2050, with a reduction of 95% [5][52] Summary by Sections 1. Achieving Net-Zero Emissions Requires Significant Low-Carbon Fuels - To limit global warming to 1.5°C, net-zero emissions must be achieved by 2050, necessitating a shift from fossil fuels to renewable and electrified energy systems [13] - Heavy industries and transportation sectors, particularly aviation and shipping, require high energy density fuels, making low-carbon fuels essential [15][16] 2. Last Mile Decarbonization: Aviation and Shipping - Both sectors must transition to lower greenhouse gas emission transport modes and improve operational efficiencies to reduce fuel consumption [25] - Aviation is projected to see a 2.5x increase in total transport volume from 2023 to 2050, driven by economic growth and increased connectivity [27] 2.1 Aviation Decarbonization - Aviation's CO2 emissions are expected to remain stable until 2030 and then drop to 240 million tons by 2050, a 75% reduction from current levels [30][35] - Sustainable aviation fuel (SAF) is projected to account for 70% of aviation energy consumption by 2050, with synthetic kerosene becoming a major low-carbon fuel source [30][35] 2.2 Shipping Decarbonization - Shipping is projected to grow at nearly 2% annually until 2050, with low-carbon fuels like methanol and ammonia expected to account for 70% of fuel consumption by that year [42][46] - The shipping sector's energy intensity is expected to decrease significantly due to efficiency improvements and the adoption of low-carbon fuels [44] 3. Unlocking the Decarbonization Potential of Synthetic Fuels - Synthetic fuels are anticipated to play a crucial role in decarbonizing aviation and shipping, with a projected need for 150 million tons of sustainable hydrogen and 700 million tons of climate-neutral CO2 by 2050 [5][6] - The production of synthetic fuels requires substantial clean electricity, estimated at 10,000 TWh, which exceeds current global renewable energy generation [6][7] 4. Call to Action - Policymakers must create a supportive regulatory framework and provide economic incentives to facilitate the transition to low-carbon fuels [12] - Collaboration among stakeholders, including fuel suppliers, manufacturers, and infrastructure providers, is essential for the successful adoption of synthetic fuels [12][10]

Investment Rating - The report indicates a positive outlook for the Chinese biopharmaceutical industry, driven by government support and innovation initiatives [4][35][69]. Core Insights - The Chinese biopharmaceutical industry has experienced rapid growth over the past decade, but faced challenges in recent years due to economic slowdowns and external pressures. However, a recovery is anticipated in 2024, supported by new government policies [4][8][69]. - The "full-chain support for innovation" policy introduced by the Chinese government aims to provide comprehensive support for the entire value chain of the biopharmaceutical industry, enhancing the innovation environment and encouraging investment [4][35][70]. - The report highlights the increasing R&D capabilities of domestic companies, with a significant rise in the number of drug candidates and clinical trial approvals, indicating a robust pipeline for future growth [19][25][34][69]. Summary by Sections 1. Industry Overview - The overall scale of the biopharmaceutical industry in China has shown rapid growth until 2021, followed by a downturn starting in 2022, but signs of recovery are evident in 2024 [8][9]. - The financing landscape for the life sciences and health care sector has faced challenges, with a significant decline in both the number and scale of financing projects since 2022 [13][14]. 2. Government Policies - The "full-chain support for innovation" policy framework was launched in 2024, focusing on funding support, talent development, and streamlining regulatory processes to enhance the industry's growth [38][42]. - Local governments have also introduced specific measures to align with the central government's strategy, providing targeted support for innovation in biopharmaceuticals [40][41]. 3. R&D and Innovation - The report notes a substantial increase in the number of drug candidates in development, positioning China as the second-largest market for innovative drug R&D globally [20][21]. - The approval rates for new drug applications (INDs and NDAs) have significantly increased, laying a solid foundation for market expansion [25][26]. 4. Corporate Strategies - Multinational companies are adapting their strategies to leverage government support, focusing on local R&D collaborations and optimizing their product portfolios to compete effectively in the Chinese market [54][59]. - Domestic biopharmaceutical companies are actively seeking to expand their international presence through cross-border licensing agreements and local government support [60][61]. 5. Future Outlook - The report concludes that despite current pressures, the biopharmaceutical industry in China is expected to continue its growth trajectory, driven by government initiatives and the increasing innovation capabilities of local companies [69][70].

Investment Rating - The report does not explicitly provide an investment rating for the TMT industry Core Insights - The TMT industry is expected to experience a significant leap by 2025, largely driven by the rapid adoption of generative AI, highlighting the urgent need to bridge key gaps to unlock current potential [2][4] - Key gaps identified include balancing generative AI infrastructure investment with commercialization, addressing gender disparities in AI usage, managing energy consumption in AI data centers, and tackling public trust issues regarding deepfake content [2][4] Summary by Sections Key Gaps for 2025 - Generative AI data centers face a power and sustainability gap, with projected power demand increasing sharply while seeking low-carbon energy solutions [4] - Gender disparity in generative AI usage persists, with women less likely to use AI tools compared to men, although this gap is expected to close in certain markets by 2025 [4][6] - Trust issues surrounding deepfake content generated by AI are leading to decreased consumer confidence, necessitating reliable detection and labeling of such content [4] - Film production companies are cautious about using generative AI for content creation due to intellectual property concerns, despite a desire to leverage AI for efficiency [4] New Developments - The report introduces new sections focusing on ten micro-predictions, reviewing previous themes and exploring emerging trends in the TMT sector [5] - The rise of autonomous generative AI agents is anticipated, with 25% of companies deploying pilot projects by 2025 [9] - The streaming video market is experiencing a shift as consumers bundle subscriptions, leading to a decrease in the number of individual services [7][15] - Cloud spending is projected to reach $825 billion by 2025, with the adoption of "FinOps" strategies expected to save companies approximately $21 billion [11] Emerging Trends - The report highlights the increasing importance of generative AI in cybersecurity, with professionals exploring its dual role in creating threats and developing solutions [24] - Chiplet technology is expected to drive significant growth in advanced packaging revenue, projected to increase from $7 billion in 2021 to $16 billion by 2025 [25] - The telecommunications sector is modernizing its business and operational support systems, with the global market expected to reach $70 billion by 2025 [26] Sustainability and Energy Consumption - AI data centers are projected to consume approximately 2% of global electricity by 2025, with significant growth anticipated by 2030 [33] - The demand for water in AI data centers is expected to rise dramatically, necessitating the exploration of liquid cooling technologies to reduce energy consumption [47][48]

2025 Global Automotive Consumer Study Key Findings: Global Focus Markets January 2025 2025 Global Automotive Consumer Study | Key Findings: Global Focus Markets 2025 Global Automotive Consumer Study | Key Findings: Global Focus Markets Dear reader, The global automotive industry is undergoing a tremendous amount of change at an unprecedented pace. At the center of this change sits a consumer with rapidly evolving expectations of the mobility experience. Brand loyalty is taking center stage as emerging manuf ...

Investment Rating - The report does not explicitly provide an investment rating for the automotive industry. Core Insights - The global automotive industry is undergoing significant transformation driven by evolving consumer expectations for mobility experiences and increasing brand loyalty, with emerging manufacturers posing a threat to traditional players [2][3]. - While the growth momentum for electric vehicle (EV) sales has slowed, the long-term demand for zero-emission transportation remains clear [2]. - The integration of software-defined vehicles is reshaping every aspect of the automotive value chain, prompting manufacturers to rethink vehicle design, manufacturing, sales, and driving [2]. - Advanced Driver Assistance Systems (ADAS) and connected vehicle functionalities are enhancing safety and engagement in mobility [2]. - Artificial intelligence is advancing the development of next-generation autonomous fleets, shifting consumer preferences from ownership to Mobility as a Service (MaaS) solutions [2]. Summary by Sections Vehicle Electrification - Interest in Battery Electric Vehicles (BEVs) remains stable in most markets, while interest in Internal Combustion Engine (ICE) and hybrid vehicles is increasing [12]. - Consumers are seeking solutions that reduce fuel costs and emissions without relying on charging infrastructure [12]. Future Vehicle Intentions - There is a rising trend of consumers planning to switch brands for their next vehicle purchase, indicating a need for stronger customer relationships, especially in developing markets like China [13]. - Concerns about the safety of autonomous vehicles persist, with over half of consumers in India, the UK, and the US expressing worries [14]. Connectivity - Many young consumers in markets like India and Southeast Asia show interest in MaaS over traditional vehicle ownership, with a significant portion driving daily [15]. Mobility as a Service (MaaS) - The report highlights a growing interest in MaaS solutions among younger demographics, particularly in regions with high vehicle usage [15]. Charging Infrastructure and Consumer Preferences - Most consumers prefer to charge their EVs at home, with a significant number planning to install home chargers [24][30]. - The majority of surveyed consumers prioritize fast charging times and accessibility when considering EV charging experiences [34]. Payment Preferences - Consumers across various markets prefer familiar payment methods, such as credit/debit cards, for public EV charging [38].