Domestic pharmaceutical machinery companies begin to emphasize diversification

The number of domestic pharmaceutical machinery companies has grown exponentially with the continuous development of the industry. From the first four to reach the highest scale of more than 1,000 homes, coupled with the serious homogeneity of domestic equipment, greatly reducing the profit margin, the development of the industry Disadvantages have also become increasingly apparent.
As we all know, although China currently has more than 800 pharmaceutical machinery companies and can produce more than 3,000 products, it is still not possible to ignore the phenomenon of duplication of domestic machinery. Single product and imperfect functions lead to serious shortage of market competitiveness. At present, apart from satisfying the domestic market, China's domestically produced pharmaceutical machinery equipment still exports a considerable portion of its products to the international market.

Since last year, the demand in Europe and the United States has further shrunk and orders have become less and less. In order to grab a small number of orders, many of their peers took a price war and repeatedly lowered prices. Since last year, the prices of individual products have dropped by nearly 6 percentage points, and the already low profit margins have been repeatedly squeezed. For this reason, companies in the industry are actively seeking for diversified development.

From corporate cooperation to the introduction of foreign capital, from the win-win situation across the Taiwan Strait to the world, new product development, product marketing, and service travel exhibitions can be described as “Eight Immortals Crossing the Sea, each displaying a supernatural power”. The diversified development is mainly reflected in the adjustment of product lines and the extension of the industrial chain. Although the hot-selling models are the fields that many companies compete to enter, the competition in various aspects including marketing has also intensified. In order to maintain the industry's profit growth rate higher than the growth rate of operating income, the high-profit hot selling field is naturally fragrant, which can be seen from the expansion of market capacity.

At present, it is the period for the replacement of the Chinese medicine machine industry, from the low-end to high-end products. This is very beneficial to the development of China's pharmaceutical machinery industry. In the process of shifting the production of foreign products to the domestic market, it will inevitably bring along some advanced foreign production processes and management models.

Relevant experts pointed out that at present, the development goals of domestic pharmaceutical companies should not simply pursue the maximization of profits, but emphasize the diversification of development, which includes both products and services. Only by laying a solid foundation at this stage can we promote the optimization of the industrial structure and the improvement of the market mechanism.

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