China is a highly promising market for the global healthcare industry, boasting immense size, diversity, and growth potential because of the continuous economic growth, the disposal income increasing year by year and the middle class growing up to 500 million.

In 2021, the healthcare market generated RMB 10 trillion (approx. US$1.5 trillion) in total revenue, making it the world’s second-largest. The figure is expected to continue to grow in the coming decades, propelled by a combination of government support and China’s changing demographics.

Facing a rapidly aging population and the surge in demand for superior healthcare and service, the government has made healthcare sector development a top priority. Therefore, numerous opportunities will arise for players in different parts of the supply chain, including drug R&D, equipment production, caregiving, and niche areas such as biotech, digital healthcare, MedTech, and AI healthcare.

That said, China’s healthcare market is also heavily regulated, with strict compliance requirements and intense competition. To succeed in this booming sector, we, as investors must grasp the evolving needs of Chinese consumers and the pertinent industry policies and regulatory developments. We are exploring the investment opportunities and challenges present in China’s healthcare sector in order to better position our investment strategies.