ChinaBio Today -- As Greg Scott, our Executive Editor, wrote last week, the 4th ChinaBio® Investor Forum showed activity in China biopharma remains high (see story). At the forum, young biopharmas showed off their innovation and VCs were interested. Still, it is true that the worldwide economic troubles are having an effect: IPOs are currently moribund and VC investments are trending lower. Nevertheless, at least at the Investment Forum, the general mood remained upbeat. For one thing, in China, a growth rate of a mere 8% is considered hard times, implying that some perspective is necessary. Plus, China's government has committed itself to stimulating the economy, with healthcare a prominent target. There is an additional very interesting factor. If times are tough, and worldwide pharma has to watch its spending, doesn't it make sense to turn to the country where talent is abundant and costs are low? Won't the economic slowdown be good for China's CRO industry and the in-house China R&D centers? And, it doesn't hurt that China has one of the fastest growing healthcare markets, making the country even more attractive to global pharma. Perhaps the economic slowdown will accelerate the growth of China biopharma instead of slowing it down. As Scott says, it may be "China's time" to leapfrog ahead of less well positioned countries.
