Gene drugs will become another pillar in the field of medicine Related industrial chains are expected to benefit

Compared with traditional small molecule drugs and antibody drugs, gene therapy drugs can overcome the defect that traditional small molecules and antibody drugs can only regulate protein levels, and "make a big move" at the genetic level to provide new treatment concepts and means for other refractory diseases such as tumors, chronic diseases and rare diseases, so the potential is huge
.

Many institutions believe that genetic drugs will become another pillar industry
after small molecule drugs and large molecule protein drugs.

Gene drugs will become another pillar of the pharmaceutical field Related industry chain is expected to benefit (image source: pharmaceutical network) Data show that in recent years, the global gene drug market size has continued to grow, since 2021 will maintain a growth rate of more than 65%, is expected to exceed 30 billion US dollars
by 2025.

Although the domestic gene therapy drug industry started late, it is expected that the future space is broad
as enterprises have entered the market.

At present, under the background of rising global financing and continuous increase in R&D investment of pharmaceutical companies, new products of global genetic drugs are being approved for listing, such as Kymriah, Luxturna, Zolgensma, etc
.

According to the research report released by Huaan Securities in August, as of now, a total of 38 new gene therapy drugs have been approved for listing, and many drug sales data are good
.

For example, Novartis Zolgensma, which was approved for listing in 2019, has shown rapid growth in sales of the drug in the past three years, of which sales reached $1.
351 billion in 2021, an increase of 47% year-on-year, and sales in the first quarter of 2022 were $363 million, an increase of 18%
year-on-year.

Zolgensma has been applied to more than 2,000 patients
.

The Luxturna approved by Spark in 2017 was $425,000, and the cost of treatment in a year is about $
850,000.

The industry expects that with 10 to 20 new cases per year, the number of luxturna treatments will reach 2,200 in ten years
.

That means Spark is on track to generate $2.
2 billion in revenue
over 10 years.

According to other data, as of the first half of 2022, the world has a total of more than 2024 gene therapy pipelines (including gene therapy and gene-modified cell therapy), of which 284 projects are in phase II and after
.

In China, in recent years, gene therapy clinical trials including CAR-T products, oncolytic virus products, AAV products and other gene therapy have also continued to increase, and the development of the industry is accelerating
.

The industry believes that with the acceleration of domestic genetic drug clinical trials, the market size of the genetic drug CDMO industry is expected to continue to grow
.

Policies are also supporting the development of the industry, such as the "13th Five-Year Plan" and the "14th Five-Year Plan" to support gene therapy and its CRO/CDMO industry, promoting the rapid rise
of gene therapy services with CDMO as the core.

In this context, it is expected that the relevant industrial chain of the gene drug CDMO industry is also expected to benefit, such as upstream suppliers of equipment, instruments and reagent consumables
.

It is reported that Yunzhou Biologics, a gene delivery CDMO service company, recently signed a strategic cooperation agreement
with Dongfulong.

According to reports, Dongfulong's expertise is to provide the process equipment required for gene delivery, through this cooperation, Dongfulong will provide new process equipment and factory construction solutions for Yunzhou Biology, meet the rapidly growing CDMO business needs of Yunzhou Biology in the global market, and jointly promote the vigorous development
of the gene drug industry.

It is foreseeable that with the acceleration of domestic genetic drug research and development, upstream equipment suppliers will also usher in opportunities
.

It is worth mentioning that the threshold of genetic drugs is high, the production and research and development standards are more stringent, and the requirements for equipment are also higher
.

For example, in the research and development and QC stage of some gene drugs, the laboratory ultrapure water system has strict requirements, including the need to meet the requirements of heavy metal ions, organic matter and microorganisms in the water, in addition, whether the system performance has stable and reliable is also a major test
.

Therefore, while seeing opportunities, pharmaceutical machinery companies also need to adhere to R&D innovation, actively respond to challenges, and meet user needs in order to share the market cake
.

Disclaimer: In no event shall the information or opinions expressed herein constitute investment advice
to any person.