Summary of the Conference Call on China Healthcare and Pharmaceuticals Industry Overview - The conference focused on the China healthcare and pharmaceuticals sector, specifically discussing the 2025 National Reimbursement Drug List (NRDL) and the Commercial Health Insurance Innovative Drug Directory (CHIIDD) [1][2]. Key Points NRDL and CHIIDD Updates - Approximately 70 innovative drugs were included in the NRDL, with a success rate of 88% for new drug negotiations, an increase from 76% in 2024 [2]. - A total of 114 new drugs were added to the NRDL, including 50 type 1 innovative drugs, while 29 drugs were removed, bringing the total to 3,253 drugs [2]. - The CHIIDD features 19 expensive innovative drugs out of 24 candidates, covering treatments for oncology, Alzheimer’s disease, and rare diseases [2]. Implementation Timeline - The new NRDL and CHIIDD will be implemented on January 1, 2026, with new prices for most newly included drugs to be revealed at that time [3]. Company-Specific Insights 1. Hengrui (600276 CH/1276 HK): - Included 10 new drugs in the NRDL for the first time, such as trastuzumab rezetecan and ivarmacitinib [4]. 2. Hansoh (3692 HK): - Added two new indications for almonertinib to the NRDL [4]. 3. Sinobio (1177 HK): - Three new drugs added: garsorasib, recombinant human coagulation factor VIIa, and penpulimab [5]. 4. Innovent (1801 HK): - New additions include teprotumumab, limertinib, and fulzerasib among others [5]. 5. BeOne (6160 HK/ONC US): - Newly added dinutuximab and zanidatamab in the CHIIDD [5]. 6. Kelun Biotech (6990 HK): - Included sacituzumab tirumotecan and cetuximab N01 in the NRDL [5]. 7. Akeso (9926 HK): - Added new indications for ivonescimab and cadonilimab, along with ebdarokimab and ebronucimab in the NRDL [6]. 8. Tirzepatide: - Included in the NRDL for type 2 diabetes, but not for obesity [6]. Market Outlook - The higher success rate and supportive policy trends suggest a bright sales outlook for innovative drugs, which are expected to drive growth for the related companies in 2026 [7]. Additional Insights - The report emphasizes the positive implications of the NRDL updates for the growth of covered companies, indicating a favorable environment for innovative drug sales in the Chinese healthcare market [4][7].