China government signals opposition to medicine price-fixing with fines

Published: 18-Feb-2016
Regulatory Finance

National Development and Reform Commission sends a message that price-fixing agreements will not be tolerated


Mainland China’s powerful National Development & Reform Commission (NRDC) has fined five Chinese pharmaceutical companies a total of CNY4m (US$612,000) over claims they illegally colluded to fix prices for allopurinol, which is widely used across China for treating gout and hyperuricemia.

Three manufacturers were fined: Chongqing Qingyang, Jiangsu Shimaotianjie and Shanghai Xinyi, who together control the China-based supply of allopurinol. The NRDC concluded they had struck price fixing deals with distributors Chongqing Datong and Shangqiu Huajie. The action reflects the current Chinese government’s uncompromising stance against corruption and its sensitivity to price increases in consumer products, including medicine.

China’s state news agency Xinhua has reported a deputy inspector at the commission’s price supervision and antimonopoly bureau as saying: 'Five companies have been fined for colluding to manipulate pricing and for dividing the market of a common tablet', and criticising the companies for damaging market competition as well as harming patients. He noted that while the fines were not large, by targeting a group of well-established Chinese companies, the commission was sending a message that such agreements would not be tolerated.

The bureau said that between 2014 and 2015, allopurinol prices rose by 200%, with the producers also splitting China into exclusive sales zones.

See more

You may also like

Manufacturing

Chemistry, manufacturing and control (CMC) as key drivers for drug discovery success

Read more
Embracing collaborative strategies not only accelerates drug development programmes but also fosters science-based milestone decisions, mitigates risks and prepares for successful market entry from the early stages of development, reports Frederick Duynslaeger, Senior CMC Writer at Ardena

Trending Articles

  1. Isospec Analytics launches biomolecular analysis technology to identify unknown molecules The novel technology optimises the identification process of unknown molecules compared to mass analysis
  2. 4SC AG receives Paediatric Investigation Plan waiver for resminostat from the UK MHRA The waiver allows the company to avoid investigating the CTCL drug in a paediatric population, as it's considered unnecessary or inappropriate for use by this patient group
  3. Scleroderma treatment by Certa Therapeutics granted US FDA fast track FT011 is a novel, first-in-class oral therapy for the treatment of chronic fibrosis in multiple organs
  4. Ametek Mocon achieves accreditation for analytical testing laboratory Ametek Mocon, provider of instruments and services for testing, measuring and analysing a variety of gases, has achieved ISO/IEC 17025 accreditation for its Minneapolis analytical testing laboratory
  5. Highly potent APIs: Hazards in classification and handling This variability and subjective nature of classification means that the OEL is best considered as a tool for site risk management teams

Upcoming event

Making Pharmaceuticals

23–24 April 2024 | Exhibition | Coventry, UK See all

You may also like

Manufacturing

Chemistry, manufacturing and control (CMC) as key drivers for drug discovery success

Embracing collaborative strategies not only accelerates drug development programmes but also fosters science-based milestone decisions, mitigates risks and prepares for successful market entry from the early stages of development, reports Frederick Duynslaeger, Senior CMC Writer at Ardena
Regulatory

Isospec Analytics launches biomolecular analysis technology to identify unknown molecules

The novel technology optimises the identification process of unknown molecules compared to mass analysis
Regulatory

4SC AG receives Paediatric Investigation Plan waiver for resminostat from the UK MHRA

The waiver allows the company to avoid investigating the CTCL drug in a paediatric population, as it's considered unnecessary or inappropriate for use by this patient group
Regulatory

The key role of IVDs in healthcare: challenges to commercialisation and access

In simple terms, in vitro diagnostic (IVD) tests are done on samples such as blood or tissue that have been taken from the human body. IVDs can detect diseases, conditions and infections, provide patients with a better understanding of their ailment and how it might be managed and changed with treatment
Regulatory

Post-Brexit border paperwork and inspections postponed for life sciences sector

The six month extension will allow life science companies to the make necessary alterations to their supply chains to accommodate for the novel post-Brexit border paperwork
Regulatory

Grifols Procleix ArboPlex arbovirus screening assay receives CE mark

The assay can detect four major arboviruses: chikungunya, dengue, West Nile and Zika
Regulatory

Innovating with purpose for safety and security of outcome

Beyond the importance of increasing productivity and generating more output and value with the same input, new ideas and technologies from GEA take innovation a step further
Subscribe now