core point of view
1. Cell gene therapy (CGT) cures the disease from the root, advanced technology and strong demand: The core of gene therapy is to precisely attack the root of the disease – abnormal DNA, which is a fundamental treatment strategy. Just as small molecule drugs and antibody drugs led the first two industrial revolutions of biomedicine, gene therapy has been rated as the most influential biotechnology of the year by “Nature” for many years, and is expected to lead the third industrial revolution of biomedicine.
2. Policies are favored by capital, and China’s cell gene (CGT) therapy is expected to overtake in a corner: the gene therapy track is the most favored by capital, and it is expected that capital investment in the CGT field will continue to increase in the future, which will promote the development of the CGT industry. In terms of policies, a series of industrial policies have been issued under the “13th Five-Year Plan” and “14th Five-Year Plan” to support gene therapy and its CRO/CDMO industry. The number of CGT clinical trials in China has grown explosively, second only to the United States, and is expected to overtake at a bend. It is expected that the domestic gene therapy CDMO market will expand rapidly.
3. The production of CGT products is quite different from that of small molecules, and they rely more on CDMO industrialization services: gene therapy is more dependent on CDMO services due to complex technical mechanisms, high-threshold process development, and strict regulatory requirements; CGTCDMO companies can Save production equipment and production team investment for CGT new drug companies, so that they can focus on CGT drug research and development. According to P.Morgan statistics, the outsourcing penetration rate of gene therapy exceeds 65%, far exceeding the 35% penetration rate of traditional biological agents.
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