Tou Bao Yan Jiu Yuan·2026-01-12 12:28Investment Rating - The report indicates a stable investment outlook for the Japanese Encephalitis (JE) vaccine industry in China, driven by favorable national immunization policies and a concentrated market structure dominated by three major players [1][3]. Core Insights - The continuous optimization of the national immunization program (EPI) is identified as the key driver for the expansion of the JE vaccine market in China, with a significant increase in vaccination coverage and a reduction in disease incidence [3][5]. - The competitive landscape is stabilizing around three leading companies: Liaoning Chengda, Chengdu Biological Products Research Institute, and Kangtai Biological, which collectively hold over 90% market share [3][6]. - New entrants face high barriers to entry due to stringent regulatory requirements and the need for substantial investment in production capacity and distribution networks [4][6]. Summary by Sections National Immunization Policy and Market Dynamics - The JE vaccine market in China has expanded significantly since its inclusion in the EPI, with a reported market growth of approximately 2.8 billion yuan since 2007 due to increased vaccination rates [3]. - The demand for JE vaccines is expected to continue growing as the government aims to include more safe and effective vaccines in the EPI, enhancing the coverage of the population [3][5]. Competitive Landscape - The industry is characterized by a "three strong" market structure, where the leading companies have established significant technological and quality barriers, making it difficult for new entrants to disrupt the market [4][6]. - The focus of competition is shifting from product differentiation to a comprehensive competitive strategy that includes product technology upgrades, supply chain security, and regional penetration capabilities [7]. Vaccine Technology and Production - The JE vaccines in China are primarily categorized into live attenuated vaccines, inactivated vaccines, and mRNA vaccines, with live attenuated vaccines being the mainstay of the national immunization program [16][18]. - The production of JE vaccines relies heavily on standardized cell platforms, which ensure consistency and quality in vaccine manufacturing [30][32]. Vaccination Coverage and Public Health Impact - Vaccination coverage for JE vaccines has remained high, with rates stabilizing around 99% since 2010, indicating strong public health outcomes and effective immunization strategies [14][44]. - The report highlights the need for ongoing efforts to address vaccination gaps in high-risk populations, including rural areas and among migrant populations [44][28].