In the ever-changing territory of the pharmaceutical industry, API, as a key link in the industrial chain, its performance has always affected the nerves of the market. Recently, the 4th (2024) China Veterinary Drug Raw Material Industry Development Conference was successfully held in Jinan, further focusing on the development trends in this field.

With the theme of "jointly shaping new quality productivity and developing new kinetic energy of the industry-good raw materials, good veterinary drugs, good products and good models", the conference aims to build a new quality productivity development platform for the veterinary drug raw material industry and promote in-depth cooperation and collaborative innovation of "politics, production, learning, research and business. The conference attracted entrepreneurs, experts and scholars from all over the country and around the world to discuss the new opportunities and challenges of the API industry.

From the perspective of the industry as a whole, the API industry showed obvious performance differentiation in 2024. According to data from the National Bureau of Statistics, the pharmaceutical manufacturing industry grew by 3.1 in the first three quarters, which was lower than the year-on-year growth rate of industrial added value and manufacturing above the national scale. However, among the pharmaceutical companies that have released three quarterly reports, the API sector performed relatively well. Eleven of the 16 API companies achieved growth in both revenue and net profit, of which the net profit growth rate of more than 50% was more than 50%.

This growth momentum is particularly evident in some leading pharmaceutical companies. Huahai Pharmaceuticals and Sinopharm Hyundai, as leaders in the field of integration of raw materials and preparations, the lower limit of net profit growth in the first three quarters of 2024 was 37 percent and 64.01 percent, respectively, while the upper limit reached 45 percent and 74.65 percent, respectively. With the help of the development starting point of APIs and intermediates, Huahai Pharmaceutical has formed a complete industrial chain integrating intermediates, APIs and preparations, and actively expands the global market. Sinopharm Hyundai, on the other hand, has achieved a significant increase in the gross margin of the API and pharmaceutical intermediates business segment by optimizing its product structure and dynamically adjusting its market strategy.