The Chinese government is expected to invest around $1 billion to support the creation of a new research and development center for new pharmaceuticals and pharmaceuticals manufacturing, Xinhua reported on Tuesday.
The center, which will be based in Zhejiang province, will be a hub for innovation, business and research in the country, the state-run China Daily said.
In recent years, the Chinese government has stepped up its investment in pharmaceuticals as it seeks to overcome its economic woes and push forward with its plans to expand health care.
The country has been developing drugs that are better for its health and have gained market share in other countries, but the pace of the expansion has slowed in recent years.
China’s government has invested around $2.6 billion in pharmaceutical companies, mainly in the last few years.
In a statement, the country’s top pharmacy regulator, the Ministry of Public Security, said in July that the center would be responsible for “the development and production of new products, as well as pharmaceutical manufacturing, research and education activities”.
The state-owned Chinese Pharmaceutical Industry Corp, the industry’s largest private company, is expected at the center, and it will help China expand its drug discovery and production.