On February 14, 2024, Premier Li Keqiang presided over an executive meeting of the State Council, deploying measures to promote innovation and upgrading in the pharmaceutical industry to better serve the people's livelihood and stabilize growth; determining further measures to promote the development of traditional Chinese medicine, leveraging the advantages of traditional medicine for the benefit of the people; and deciding to launch pilot programs for innovative development in service trade to promote the transformation of foreign trade and enhance the competitiveness of the service industry.

The meeting pointed out that the pharmaceutical industry is related to the health of the entire population, with huge market demand, and is an important industry in all countries. Combining with the reform of the medical and health system, accelerating the development of China's pharmaceutical industry is of great significance for better meeting the people's medical and health care needs, promoting the construction of a healthy China, and releasing economic growth potential. The meeting decided that: First, targeting the urgent needs of the masses, strengthening research and development innovation in original drugs, first-to-market drugs, traditional Chinese medicine, new formulations, and high-end medical devices, and accelerating the industrialization of major drugs for common diseases such as tumors, diabetes, and cardiovascular and cerebrovascular diseases, as well as rare diseases. Supporting domestically produced original drugs and brand-name generic drugs that have obtained patents to carry out international registration and certification. Second, improving the safety evaluation and product traceability system, strengthening quality supervision throughout the entire process, benchmarking against international advanced levels, implementing actions to improve standards for drugs and medical devices, and especially improving the quality of essential drugs. Exploring the implementation of compulsory commercial insurance for product quality and safety. Promoting the intelligent and green transformation of pharmaceutical production processes. Third, combining with the coordinated reform of medical treatment, medical insurance, and pharmaceuticals, accelerating the review and approval of urgently needed drugs and medical devices. Improving policies on finance, taxation, pricing, and government procurement, and exploring the use of industry funds and other methods to support pharmaceutical industrialization and the promotion of new products. Supporting mergers and acquisitions of pharmaceutical companies, cultivating leading enterprises, and solving the problem of "small, scattered, and chaotic" enterprises in the industry. Fourth, constructing a modern pharmaceutical distribution network covering urban and rural areas, and gradually streamlining the prices of drugs and consumables. Building a national public service platform for drug information, publicly disclosing information on prices and quality, and accepting public supervision.

The meeting pointed out that inheriting the advantages of traditional Chinese medicine and giving full play to its unique role can better benefit human health. The meeting decided that: First, promoting the inheritance, protection, and excavation of traditional Chinese medicine and ethnic medicine, rescuing rare and precious ancient books and documents on the verge of being lost, strengthening apprenticeship education, vigorously cultivating talents in traditional Chinese medicine, and improving the ability of traditional Chinese medicine in emergency treatment and disease prevention and treatment. Second, promoting the integration of traditional Chinese and Western medicine, and exploring the use of modern technologies and industrial models to accelerate the development of traditional Chinese medicine. Strengthening the prevention and treatment of major and difficult diseases and chronic diseases using traditional Chinese medicine, and research and development of new drugs. Improving the traditional Chinese medicine standard system, and strengthening the protection and utilization of traditional Chinese medicine resources and standardized cultivation. Third, relaxing access to traditional Chinese medicine services, improving the rural-urban traditional Chinese medicine service network, and ensuring that socially-run and government-run traditional Chinese medicine medical institutions enjoy equal rights in terms of practice and other aspects. Fourth, developing traditional Chinese medicine health preservation services, promoting the integration of traditional Chinese medicine with health care for the elderly, tourism, and culture, and promoting "Internet +" traditional Chinese medicine medical treatment. Fifth, increasing investment in and policy support for traditional Chinese medicine. Increasing the number of traditional Chinese medicine varieties in the national essential drug list to better play the role of "guaranteeing the basics." Strengthening the research and promotion of traditional Chinese medicine concepts, and expanding international trade and dissemination of traditional Chinese medicine.

The meeting believes that expanding opening up is an important measure to promote economic development and upgrading. In the current complex and severe international economic situation, it is even more necessary to persist in improving the level of opening up. While promoting the development of goods trade, accelerating the development of service trade can promote the optimization of foreign trade structure, cultivate new economic drivers, and drive employment. The meeting decided to conduct pilot programs for innovative development in service trade in 10 provinces and cities (Tianjin, Shanghai, Hainan, Shenzhen, Hangzhou, Wuhan, Guangzhou, Chengdu, Suzhou, and Weihai) and 5 national-level new areas (Harbin, Jiangbei, Liangjiang, Gui'an, and Xixian) over two years, focusing on exploring the institutional construction of eight aspects, including the service trade management system, development model, and facilitation, and orderly expanding the opening up of service industries. To this end, relevant policy support should be increased. First, promoting tax preferential policies for technology-intensive service enterprises in pilot areas, expanding the scope of enterprises enjoying the policies from service outsourcing to other high-tech and high-value-added service industries, granting a preferential tax rate of 15% for corporate income tax, and deducting employee education expenses not exceeding 8% of the total salary and wages before tax. Second, establishing a guiding fund for innovative development in service trade to provide financing support for small and medium-sized service enterprises in pilot areas. Providing financial subsidies for the import of urgently needed research and development design, energy conservation, environmental protection, and environmental services in pilot areas. Third, encouraging financial institutions to innovate in supply chain financing and other businesses, and comprehensively implementing bonded supervision of service outsourcing for technology-intensive service enterprises recognized in pilot areas.

The meeting also discussed other matters.