Fostering Domestic Innovation: Government Support and Localization in China's Medical Device Supply
A notable trend in the smart medical ecosystem is the active role of the Chinese government in supporting the indigenous development of technology and promoting localization within the medical device supply chain. Policies like "Made in China 2025" encourage domestic companies to innovate and compete with international firms.
Government funding, substantial subsidies, and favorable taxation are provided to domestic technology and medical device companies deemed strategically important. This support helps reduce their cost structure, giving them a significant competitive edge, especially in procurement for lower-tier public hospitals.
This focus on localized innovation ensures the development of Chinese-made alternatives for high-end equipment like CT scanners and MRI devices, reducing dependence on foreign suppliers. This push for domestic technological competence is a key political driver shaping the competition landscape in the e-health apparatus. Read about government support and its impact on the development of Chinese medical technology companies: Read about government support and its impact on the development of Chinese medical technology companies.
FAQ Q: What is the goal of the "Made in China 2025" policy regarding medical devices? A: The goal is to promote indigenous development of medical devices and technology, encouraging Chinese companies to become globally competitive and reduce reliance on foreign imports.
Q: How does the government typically support domestic medical technology companies? A: The government supports them through substantial subsidies, favorable taxation policies, and funding for innovation projects to reduce costs and enhance competitive advantage.
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