Chinese innovative pharmaceutical companies enter the value realization period: innovative drugs included in insurance open a path for certain growth.

Two years ago, the Yvoxi monoclonal antibody injection that emerged from Kangfang Biotech's laboratory defeated the globally renowned "King of Drugs," K drug, in an international head-to-head Phase III clinical trial. Commentary in the overseas pharmaceutical industry has noted that the Chinese biopharmaceutical sector is entering its "DeepSeek moment." Two years later, two indications of Yvoxi have successively entered the national basic medical insurance catalog. In a county in Guangdong, Mr. Zhang, diagnosed with late-stage lung cancer and of advanced age, finds the frequent trips to the city for hospitalization and the high costs unbearable, and he cannot tolerate the toxicity from traditional chemotherapy regimens. Once the insurance policy was enacted, he opted for Yvoxi's first-line "chemotherapy-free" regimen, costing him around 2,000 yuan per treatment cycle out of pocket. From the academic recognition in top international journals to a regular patients medication bill, this reflects a microcosm of the value realization of locally developed innovative drugs. In recent years, the time taken for innovative drugs to move from approval to inclusion in the national insurance catalog has been shortened from several years to about one year, with approximately 80% of innovative drugs being placed under the insurance payment scope within two years of launch. A repeatedly validated industry consensus is that once the payment bottleneck for domestic innovative drugs is resolved, the products will enter a sales surge period and gradually sustained revenue growth. Since the beginning of this year, several leading innovative pharmaceutical companies have begun to realize commercial gains through their self-developed pipelines. However, at the same time, the game of one payer ultimately has its limits, and the market cap for domestic markets objectively exists. While leveraging medical insurance to address accessibility issues for domestic patients, Chinese innovative pharmaceutical companies still need to seek higher dimensions of value realization in the global market.