Manufacturers are largely focused on growing domestic market.
San Francisco, CA (PRWEB) August 31, 2013
Revenue for the Traditional Chinese Medicine Manufacturing industry in China has been increasing at an average annualized rate of 22.4% over the five years to reach an estimated $18.6 billion in 2013, says IBISWorld. Traditional Chinese medicine pills are the main instruments of Traditional Chinese medicine (TCM) clinics as well as an important component of the Chinese Patent Drug Manufacturing industry.
China is the largest producer of traditional Chinese medicine pills. Major export destinations include Japan and Southeast Asian countries and exports have been increasing strongly, largely due to rising product prices, says IBISWorld. However, exports as a share of revenue remain relatively low as most firms in this industry focus on the domestic market. There are many small players whose products are of lower quality and, therefore, not suitable for export.
IBISWorld estimates that the top four industry participants – Kangmei Pharmaceutical, Beijing Tong Ren Tang, Tasly Pharmaceutical Group, and Jiangsu Kanion Pharmaceutical – account for a combined share of 15.6% of total industry revenue, indicating a low level of concentration. Although revenue and profit have been growing steadily, industry enterprise numbers are large and scale remains small. As the Traditional Chinese Medicine Manufacturing industry in China matures, smaller companies will be weeded out and more competitive manufacturers will gain market share, increasing the industry concentration.
For more information, visit IBISWorld’s Traditional Chinese Medicine Manufacturing in China industry report page.
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IBISWorld Industry Report Key Topics
The Traditional Chinese Medicine Manufacturing industry in China produces animal-based and herbal Chinese medicine and extracts.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.