Pfizer and Innovent Diabetes Drugs to Enter China’s National Health Insurance Scheme
China's decision to include two additional GLP-1 medicines in its state-funded reimbursement programme from January 1 is expected to improve access to diabetes treatment while intensifying competition among international pharmaceutical companies.
SHANGHAI/BEIJING, Nov 14: China has decided to expand access to modern diabetes treatments by adding medicines developed by Pfizer and Innovent Biologics to its national health insurance reimbursement programme, strengthening the country’s efforts to make advanced therapies more accessible to patients with type 2 diabetes.
According to the National Healthcare Security Administration, Pfizer’s ecnoglutide and Innovent Biologics’ mazdutide will be included in the state-run insurance scheme from January 1, 2027.
The decision represents another important development in China’s rapidly expanding diabetes treatment market, where pharmaceutical companies are competing to establish a stronger presence in the growing segment of glucagon-like peptide-1 (GLP-1) medicines.
China has the world’s largest adult population living with diabetes, making access to effective treatment a major healthcare priority. The inclusion of additional medicines in the national reimbursement system is expected to improve affordability and provide patients with more treatment options.
The latest move also strengthens the position of domestic pharmaceutical manufacturers while increasing competition for established international companies, particularly Danish drugmaker Novo Nordisk and US-based Eli Lilly.
GLP-1 medicines have attracted considerable attention internationally because of their role in regulating blood glucose levels and supporting weight management. Their expanding use has transformed the treatment landscape for people with type 2 diabetes.
Two additional medicines receive insurance coverage
The newly approved reimbursement arrangements will cover ecnoglutide, developed by Pfizer, and mazdutide, developed by Innovent Biologics.
Both medicines belong to the GLP-1 receptor agonist category, a class of treatments designed to imitate the action of a naturally occurring intestinal hormone involved in blood sugar regulation.
GLP-1 receptor agonists help the body regulate glucose levels through several mechanisms. They stimulate insulin release when blood sugar levels are elevated, reduce the release of glucagon and slow the movement of food through the stomach.
These effects can help improve blood glucose control among people with type 2 diabetes. Certain medicines in the category can also reduce appetite and contribute to weight loss.
The addition of Pfizer’s and Innovent’s products to the national insurance list means eligible patients will be able to access the treatments through China’s reimbursement system, subject to the programme’s applicable conditions.
The change is expected to take effect on January 1, 2027.
China’s national reimbursement arrangements play a significant role in determining the affordability and availability of prescription medicines. Inclusion in the programme can substantially expand access because patients may receive financial support for eligible treatments rather than paying the full cost themselves.
However, pharmaceutical companies often face pricing negotiations when medicines are included in the reimbursement system. As a result, increased patient access and sales volumes may come alongside lower prices for manufacturers.
Competition intensifies in the GLP-1 market
The latest decision comes as leading pharmaceutical companies compete for a larger share of China’s diabetes and obesity treatment markets.
Novo Nordisk, which manufactures Ozempic, entered the Chinese reimbursement market in 2022 when the medicine was added to the national insurance list for type 2 diabetes.
Eli Lilly subsequently strengthened its position with the inclusion of Mounjaro and Guangzhou Innogen Pharmaceutical’s efsubaglutide alfa in the reimbursement programme during 2026.
The addition of ecnoglutide and mazdutide further expands the number of GLP-1-based options available under China’s state-supported healthcare arrangements.
For Pfizer, the development provides an opportunity to strengthen its presence in a major pharmaceutical market. Innovent, meanwhile, gains additional scope to expand the reach of its domestically developed treatment.
The growing competition is particularly important because China has a population of approximately 1.4 billion people and a substantial demand for long-term treatment of chronic metabolic conditions.
With diabetes affecting millions of adults, healthcare authorities are under pressure to balance treatment effectiveness, affordability and the long-term financial sustainability of the insurance system.
Why GLP-1 medicines are important for diabetes care
Type 2 diabetes is a chronic metabolic condition in which the body cannot effectively use insulin or fails to produce sufficient insulin to maintain normal blood glucose levels.
The condition can develop gradually and is associated with several risk factors, including excess body weight, physical inactivity, genetic susceptibility and increasing age.
If blood sugar remains poorly controlled over an extended period, patients may face an increased risk of cardiovascular disease, kidney damage, nerve complications and vision problems.
Treatment generally involves lifestyle modifications, regular monitoring and medication. Depending on individual circumstances, doctors may prescribe oral medicines, injectable treatments or combinations of different therapies.
GLP-1 receptor agonists have become an important option because they address blood glucose regulation through multiple biological pathways.
Unlike treatments that primarily increase insulin levels regardless of blood sugar concentration, GLP-1 medicines stimulate insulin secretion in a glucose-dependent manner.
They can also reduce appetite and slow gastric emptying, which may help patients manage their weight.
However, these medicines are not suitable for everyone. Patients may experience gastrointestinal side effects, including nausea, vomiting, diarrhoea and constipation.
Doctors must evaluate individual medical histories, existing health conditions and possible medication interactions before recommending treatment.
Healthcare professionals also emphasise that GLP-1 medicines should not be considered a replacement for healthy eating habits, physical activity and regular medical monitoring.
Insurance expansion could improve affordability
The inclusion of additional diabetes medicines in China’s national insurance system is significant because the cost of long-term treatment can create financial difficulties for patients and their families.
People with type 2 diabetes often require continuous medication, periodic laboratory tests and regular medical consultations. For patients with limited financial resources, the cost of advanced medicines can become a major barrier to maintaining consistent treatment.
Government reimbursement can reduce this burden by covering an eligible portion of medical expenses.
The expansion of coverage also reflects China’s broader effort to improve access to innovative pharmaceutical products while controlling healthcare expenditure.
However, the precise financial benefit for individual patients will depend on the reimbursement rate, local insurance arrangements, medical eligibility and the negotiated prices of the medicines.
For pharmaceutical manufacturers, inclusion in the national list can create access to a considerably larger patient base. At the same time, lower reimbursement prices can affect revenue per prescription.
This creates a commercial balance between expanding market penetration and maintaining profitability.
Novo Nordisk’s experience in China illustrates the competitive pressure in the market. Sales of its Ozempic injector pens in the greater China region, comprising mainland China, Taiwan and Hong Kong, declined by 7 per cent in 2025 to approximately 5.4 billion Danish crowns, equivalent to around USD 850 million.
The decline highlights the changing commercial environment as companies face competition from newer products and evolving reimbursement policies.
China broadens coverage beyond diabetes
The latest update to the national reimbursement programme also includes treatments for other serious medical conditions.
According to company announcements, two medicines developed by Eli Lilly for ulcerative colitis and Crohn’s disease have also been included.
Both conditions are forms of inflammatory bowel disease that can cause persistent inflammation of the digestive tract, abdominal discomfort and other complications.
The inclusion of additional therapies reflects the government’s broader approach to improving access to specialised medicines beyond common chronic illnesses.
Another significant addition is a CAR-T cell therapy developed by JW Therapeutics.
CAR-T treatment is an advanced form of immunotherapy that involves modifying a patient’s immune cells so they can recognise and attack cancer cells.
The patient’s T cells are collected and genetically engineered in a laboratory to produce specialised receptors that help identify specific targets on cancer cells. The modified cells are then returned to the patient to fight the disease.
CAR-T therapies have generated considerable interest in cancer treatment, particularly for certain blood cancers that have not responded adequately to conventional treatments.
However, these therapies are complex and require specialised medical facilities, trained professionals and close monitoring because patients can experience serious treatment-related complications.
The inclusion of JW Therapeutics’ product is particularly notable because it marks the first CAR-T therapy to enter China’s national reimbursement list.
This development could represent an important step towards improving access to advanced cancer treatments, although the actual financial benefit will depend on the programme’s reimbursement arrangements and clinical eligibility requirements.
A changing healthcare and pharmaceutical landscape
China’s latest insurance expansion highlights the growing importance of government reimbursement decisions in shaping the pharmaceutical industry.
For patients, wider coverage can improve access to modern medicines and reduce the financial pressure associated with managing chronic illnesses.
For drug manufacturers, inclusion in the national list can strengthen market reach, although it may require accepting lower prices to secure a larger patient population.
The expansion also demonstrates how domestic pharmaceutical companies are becoming increasingly important participants in China’s advanced medicine sector.
Innovent’s inclusion alongside Pfizer and established international manufacturers reflects the growing competition between domestic and multinational companies in developing treatments for chronic diseases.
As the new reimbursement arrangements take effect in January 2027, patients, healthcare providers and pharmaceutical companies will be watching how the changes influence treatment accessibility and market competition.
The decision is expected to strengthen the availability of modern diabetes therapies while supporting China’s wider objective of making essential and innovative medical treatment more affordable for its population.