Upcoming Trade Shows in China for Health

It’s no exaggeration to say that China’s health industry has hit monumental milestones over the past decade in terms of growth, R&D and specialization. In 2021, total healthcare expenditure in China reached RMB 7.6 trillion (approximately $1.2 trillion). That’s more than double from 2015 levels. This substantial jump in spending, which accounted for 6.5% of the country’s GDP in 2021, highlights the increasing importance of the health industry within the Chinese economy. The overall healthcare spending pattern in 2021 saw a shift in the balance between government and social expenditures. Government spending on healthcare decreased slightly by 5.6% year-on-year, a trend that some experts attribute to the reduced prevalence of COVID-19 in 2021 compared to 2020. In contrast, both social and personal expenditures rose, with social spending increasing by 12% and personal spending by 5%. These numbers suggest a growing role for commercial healthcare, driven by heightened public awareness of health issues during the pandemic. Per capita healthcare spending in China also saw a rise, reaching RMB 5,248 ($813.4) in 2021, up from RMB 5,111 (US$740) in 2020. Despite this growth, China’s healthcare expenditure remains lower than that of many high-income countries. For example, healthcare spending accounted for 8.8% of GDP in South Korea, and significantly higher in Germany and France, where it reached 12.8% and 12.4%, respectively. Looking ahead, China’s healthcare budget is expected to continue its upward trajectory. The aging population and increasing wealth will likely put additional pressure on healthcare services and infrastructure, which will necessitate continuous investments. This anticipated growth in government expenditure will be complemented by a rising contribution from social and commercial sources. According to Xie Yaxuan, Chief Macro Analyst at China Merchants Securities, the future of China’s healthcare expenditure is likely to see an increasing share coming from commercial health insurance and social healthcare aid.