China has expanded to be the second largest pharmaceutical market globally with USD 137 billion in total spending in 2018, but growth has slowed from a 19% CAGR in 2008–2013 to an 8% CAGR in 2013–2018 and is expected to continue to decline to 3-6% through 2023, as the below charts show.

Much of China’s growth over the past ten years has been driven by central government reforms to expand insurance access to both rural and urban residents, as well as to expand and modernize the hospital system and better integrate primary care services. Below are an example of some of the country’s most significant market reforms.