Top 10 forecasts for the global pharmaceutical industry in 2020

2020 marks not only the beginning of a new year, but also the beginning of a new decade, and the industry has shown some new trends, such as which hot therapeutic areas will dominate the growth of the pharmaceutical industry? Which new regions will advance into emerging markets? Will fast-paced mergers and acquisitions continue? And what production equipment innovations will emerge? How will political factors in big countries such as the U.S. election change the pharmaceutical industry? Wait...foreign pharmaceutical manufacturing website interviewed a number of industry executives and well-known institutions, listed some ideas, here Mimi briefly to MRCLUB's small partners to share.First, hot therapeutic areas 1. Monoantigen market will become more popularin the field of traditional biotechnology, we will continue to see the popularity of monoantigen drugs, three or four years ago, 80% of monoantigens concentrated in more than 10 molecules, these drugs now occupy only 60% of the share, and over time the share continues to decline.A new generation of rising talent, such as the oncology immunotherapy of Corida and Odivo, is on the rise, and the total number of antibodies is increasing significantly, in part because, thanks to the use of disposable technology, the cost of building production facilities is only a fraction of what it used to be.More al-technology therapies will be on the market in the future to meet a small number of individualized medical needs, a change that will drive the development of individualized medical segments and make multiple drug production facilities possible.2. The accelerated development of cell and gene therapyCell and gene therapy offers great hope for the development of effective patient-specific gene and cellular therapies, but the cost of these one-to-one therapies is also incredibly high.With more cell and gene therapies expected to be approved this year and later, the pharmaceutical industry is expected to continue to grow, scalability and treatment costs will also be the focus of the provision of special therapies such as cell and gene therapy, pharmaceutical companies will be looking for effective strategies to rapidly scale up and reduce costs, a potential solution may be to develop treatments with common DNA characteristics, not one-to-one customization, but one-to-many.3. Special areas such as oncology drive mergers and acquisitionsOncology is expected to be the underlying driver of many transaction activities, after all, more than one third of the industry's pipeline assets and clinical trials are concentrated here.Gene therapy has been prominent in many of the deals of 2019, with executives arguing that it's not too late for new companies to take action to become industry leader or continue to be bystanders, which requires companies to weigh, engage in, and potentially discover first-class technology and the most appropriate clinical opportunities.In the field of digital health, there will be further transactions, such as real-world data, artificial intelligence-machine learning, digital therapy, and so on. Until now, biopharmaceutical companies have been working together to bring these capabilities into their operations, but having in-house expertise clearly has an advantage and opportunity in the face of threats from large technology companies entering healthcare.4. Anticancer drugs will dominate the growth of the pharmaceutical industryAccording to Evaluate, eight drugs are expected to add $1 billion in new sales next year, or more than that, and four of them are cancer drugs, after all, high pricing power is a significant feature of cancer drugs, although only some of them represent a real breakthrough.Industry-wide trends 5. Drug price reform has led to cost pressure on pharmaceutical companies and expanded outsourcing cooperationwith the global pharmaceutical industry's public regulation of drug prices and accessability, lower drug prices continue to be the focus of this year, which may break the long-standing pricing model of pharmaceutical companies. As this year's U.S. election approaches, Congress is likely to push for price reforms that will affect the development of new drugs and special therapies and could accelerate the launch of generic and biosimilar drugs. To remain profitable, pharmaceutical companies are expected to continue to expand outsourcing partnerships to reduce costs. Sales and research and development may be the only functions retained within some pharmaceutical companies, while others are in the form of outsourcing, so we would also like to see more alliances between packaging, transportation and contract production suppliers to leverage best-in-class capabilities to support increasingly cost-conscious multinational pharmaceutical companies. 6. Mergers and acquisitions activity will continue to grow the volume of mergers and acquisitions transactions has been growing steadily over the past few years and the existing fundamentals suggest that there is no problem in maintaining the current 10 per cent growth rate. According to Informa, 260 mergers and acquisitions are expected to be completed in the industry by 2020, essentially one deal per working day on average during the year, but the total value of the transactions is uncertain. As some of the drugs in the pipeline reach critical milestones, it is expected that several companies in the research and development phase will be transformed into commercial operations, and this type of company is of great value to multinational pharmaceutical companies and, once the innovative drugs are approved, will likely enter a large untapped market, so this type of company will be acquired, as we have seen in 2019. Biopharmaceutical capital markets will face volatility With the U.S. presidential election approaching, there will only be more talk about drug pricing, putting this already biased area back in the spotlight While partisan gridlock means that U.S. lawmakers won't agree on any new measures any time soon, it's clear that medical costs will remain a living issue in 2020, which could translate into stock market turmoil, and the IPO window is not expected to close completely this year, but individual investors may not be as acceptable as they will be in 2019, and venture investors will be more cautious about financing, especially if it looks like their fund exit cycle is longer. Global change 8. In advanced therapy development, North Asia will make faster progress than the United States Industry executives believe that when a company tests new therapies in mature markets such as the United States and the European Union, they conduct clinical trials, recruit patients, and then review the results. But in some countries in North Asia, such as South Korea and China, when companies use advanced treatments such as CAR-T cell therapy for patients, local regulators will see it as more of a medical process, allowing companies to see if it works more quickly and then modify treatment options faster than in mature market countries, which will help drive more progress in cell and gene therapy in Asia. 9. Pharmaceutical companies in the new region will become leaders in low-cost generics by 2020 and beyond, pharmaceutical companies will accelerate their integration and emerging markets will grow rapidly, especially in the forcology and biologics sectors, where they have little growth opportunities in mature markets and may gain a better position in the industry through mergers, as generic pharmaceutical companies struggle to reinvent themselves. U.S. approvals for biosypolytes will be reduced because regulatory resistance and development costs remain complex and most companies are unable to do so. Executives believe pharmaceutical companies in Europe, the Middle East and North Africa (MENA) and emerging regions across the continent will buy low-margin generic assets, such as South Africa, which is investing heavily and where most drugs are more expensive than most EU member states. This could be Africa's golden decade, where smart money will be deployed, and where China has been leading for a decade, mainly in energy, where health care may be the next area of concern for Chinese pharmaceutical companies. Branded pharmaceutical companies will continue to divest their lower-margin assets and focus on oncology and biopharmaceuticals, so that the small-molecule drug sector will become a battleground for start-ups and smaller pharmaceutical companies, some of which will target repurposed older drugs and so on. 10. Global operational business strategy needs to change As the market continues to globalized and global customer demand continues to grow, some pharmaceutical executives say they will focus more on developing a global operational strategy by 2020, and pharmaceutical companies must adopt a holistic operational strategy to meet the stringent quality requirements of the pharmaceutical industry while providing ongoing services to patients, starting with a comprehensive understanding of customer needs and ensuring that an active team meets them. In this case, pharmaceutical companies must develop an integrated strategy to collaborate on these operational pillars in manufacturing, procurement, supply chain, process optimization, and advanced manufacturing engineering in order to achieve impacted results in terms of safety, quality, service, and cost efficiency. I hope that the above will help you understand the industry trends, develop their own development plans, production innovation has been omitted, anyway, is not the scope of concern of small partners. (Medical representative)