What has the company experienced behind the waterfall price cut in only four years of listing?

Pharmaceutical network July 27th, health insurance negotiations and the price of national collection double kill, Hengrui, Tianqing, Qilu and other domestic tianlu under the siege, this listing four years on the impact of nearly 800 million sales of products or will experience a Chinese-style "rollercoaster." Continue to excavate the breeds that have experienced medical insurance negotiations and the national collection price double kill! On July 8th, E drug managers introduced Pfizer's 2017 approval of tofateb, a product that entered the health insurance catalog two years after it was approved, at a relatively fast pace, but only a year later, Tofateb was included in the third batch of national collection of the volume list, such as no suspense, this year will usher in a price fight with genericdrugsIn fact, the listing in a short period of time has experienced the country talk and national varieties are not many, after the health insurance negotiations, enterprises through a large price reduction to seek the release effect, but if in the short term to experience a similar competition with the national collection, will be its expansion of the market and rapid release of the obstaclesAnd abitron acetate suffers from this embarrassment2016 listing sales, 2017 health care negotiations, 2019 recorded nearly 800 million sales but included in the national collection, 2020 and a "process bite gold", can be described as "a good play." The $3.5 billion product, Abitron, was first approved by the FDA in 2011 and approved by the State Drug Administration in 2015, in conjunction with Penisson to treat patients with metastatic anti-resistance prostate cancer (mCRPC), which went on sale in early 2016New indications have been approved in the field of prostate cancer in the last two yearsIn the global market, The Abitron is a bomb-heavy speciesAfter going public in 2011, sales were close to $1 billion the following year, followed by $2 billion in 2014 and a sales peak of $3.5 billion in 2018 as a result of the explosion in the European marketThen fell to $2,795 million in 2019 due to patent expirationands, but According to Thomson Reuters estimates, Abitron will still be able to maintain sales of around $2 billion over the next few yearsIn the Chinese market, Abitron's 2016 new prostate cancer drug, priced at 37,000 yuan per bottle (250mg, 120 tablets/bottle), did not see an explosive increase in that priceIn July 2017, through health insurance negotiations, Abitron reduced its price to about 17,000 yuan per bottle and entered the national health insurance catalogWith payer support, Abitron experienced rapid growth, with 2018 sample city public hospital data showing Abitron sales of 324 million yuan, up 607 percent from 2017Compared with the negative growth in the U.Smarket, Abitron has just begun to release in the Chinese marketBy 2019, the China Hospital Drug Information (CPT) sample hospital database shows that Abitron originally sold 472,000 bottles in Chinese hospitals, retailing at 162,000 yuan per bottle, with a total annual sales of 769 million yuanThis year, while China's double-digit growth was accompanied by a 20 per cent negative growth in the global marketBut by this time the precursors had emerged: sales soared and generics were approvedIn July 2019, Hengrui and Zhengda Qingqing's Abitron generic drugs have been approved for the new four categories, Jiangxi Qingfeng was also approved, this market instantly became crowded, imitation drugs also at a price of about 12,000 yuan before the collection into the hospital Still, Abitron's team is still giving up a bright shot in 2019 The good times are not long, 2019 the country announced the second batch of collection catalog, Abitron appeared in the catalog, just two years before its health care negotiations cut prices by 54% Waterfall price reduction "1 plus 3" pattern is also formally established before the national collection, which means that there will be no collection, price and market pattern will be reconstructed, patent cliff will appear Related reports show that in January 2020, the collection site, the original research Johnson chose to abandon the bid Jiangxi Qingfeng, Hengrui and Zhengda Tianqing were selected at a price of 4296 yuan/bottle, 3828 yuan/bottle and 2800 yuan/bottle respectively Four years after listing, Abitron's lowest price has reached 7.6 per cent at the start of the original market But Johnson and Johnson clearly won't give up on the market After a large-scale outbreak, recent provinces and cities are asking the second batch of national collection of unselected products to reduce prices in place, otherwise will take measures to suspend or cancel the network Since May and June this year, Johnson and Johnson should reduce prices, in the provinces and cities in accordance with the relevant regulations will be prices from about 163,000 yuan / bottle to 13,000 yuan / bottle, a 20% reduction, so as to maintain the provinces and cities of the network qualifications Compared with the price of 2-3 discount on generic drugs, the original research is more expensive But the current policy for the unselected products still leave some room, that is, the standard of payment of health insurance For example, Jiangxi Province, which took the lead in making provisions on the payment standards for the second batch of national harvests, stipulates that non-selected drugs will be more than 2 times the price of the winning in mid-2019, and that the price of non-selected drugs will be reduced by 35% as the standard of payment for health insurance in the 2019 procurement cycle, and adjust to the price of selected drugs in 2020 or 2021 The National Bureau's provisions are a payment standard of no less than 30% at the original price in 2019 and adjusted to the price of the selected drug in 2020 or 2021 At present, most provinces have issued a paper on the adjustment of the national collection of varieties of medical insurance payment standards, the difference between the provinces is mainly in the implementation of the intensity and time limit requirements, but basically comply with the 2021 deadline requirements As a result, Johnson and Johnson have two years to pay a bonus The price of Abitron original research obviously in line with the above requirements, belongs to the purchase price and the price difference between the largevariety varieties, and thus follow the "progressive, classification guidance" principle, gradual adjustment of the standard of medical insurance payment, Johnson and Johnson still have two years to enjoy a higher standard of medical insurance payment, so that the final patient in the hospital to buy drugs, reimbursement after the original research and imitation of the price gap will be somewhat narrowed But at this moment, in the second round of the collection killed a large number of ultra-low-cost Qilu Pharmaceuticals killed out On June 29 this year, Qilu announced that its Abitron was approved for a new four categories, priced at 1998 yuan per bottle, once again breaking through the price line of the variety Compared to the lowest of the two batches of collection, which is a 60% discount, and for the original research after the price reduction, only its level of 15%, in 2016 when The beginning of the listing in China, Abitron has been cut nearly 95% Over the course of four years, Chinese patients witnessed a waterfall-style price reduction of a variety from 37,000 to 1998 yuan (less than a thousand yuan after reimbursement) After just four years of listing in China, which hit nearly 800 million sales, a roller coaster ride in the combined efforts of health insurance negotiations, national collection and domestic talent, has just achieved three-digit growth or will fall back quickly, and the peak sales may also be set at 769 million yuan Qilu Pharmaceuticals in the listing, for this purpose, a special calculation: the original research year sold 472,000 bottles, recorded nearly 800 million sales, behind the health insurance funds to pay about 460 million yuan, if the use of its 1998 pricing, health insurance funds to pay about 507 million yuan, saving 400 million yuan health insurance fund In the face of the price of domestic group, Abitron this product market capacity may no longer change in the future, while other prepare to join in the absence of advantages can only be discouraged, the original research and domestic Tiangroup locked player qualification The effect of patent cliffs and national harvesting is so sudden and violent