China Contract Research Organizations (CROs) in Global Landscape

by Grace Wang May 26, 2023

China CROs in Global Landscape

China’s contract research organizations (CROs) are developing rapidly, partly demonstrated by its rising revenue. Three China-based CROs—Wuxi AppTec, Pharmaron, and TigerMed—are ranked among the top 10 CROs in terms of 2022’s revenue.

Top 10 CROs With Highest Revenues in 2022

CRO

Head-

quarters

2022 Revenue ($mn)

Revenue YoY Growth

2022 Net Profit ($mn)

Net Profit YoY Growth

Thermo Fisher Scientific

The U.S.

44,915

15%

6,950

-9.94%

LabCorp

The U.S.

14,880

-7.7%

1,280

-46.22%

IQVIA

The U.S.

14,410

7.8%

1,091

12.94%

ICON

Ireland

7,741.4

45.4%

505.3

229.87%

Wuxi AppTec

China

5,566.67

71.8%

1,174

103%

Syneos Health

The U.S.

5,393

5.8%

267

13.62%

Charles River

The U.S.

3,976

12.31%

486.2

24.36%

Pharmaron

China

1,451

37.9%

194

17.2%

Medpace

The U.S.

1,460

27.8%

245.4

34.98%

Tigermed

China

1,002

35.9%

394

39.3

Despite a few giants, China’s CROs in general take up a fairly small share of the global market. In 2021, The top 3 CROs in China, Tigermed, Wuxi AppTec, and Pharmaron account for 1.3%, 0.5%, and 0.3% market shares respectively. Bigger pieces are taken by multinational corporations (MNCs) headquartered in the U.S. IQVIA, LabCorp, and ICON took the lead with market shares of 16.3%, 12.5%, and 11.8%.1

2021globalcromarketshare-baipharm.png2021 Global CRO Market Share. Source: Huaon.com.

The good news is that the whole pie is expected to become bigger. From 2017 to 2021, the global CRO market grew continuously. So did each segment of CRO services—drug discovery, pre-clinical study, and clinical study. According to Frost & Sullivan, the growing momentum is predicted to keep on.

global-cro-market-size-usbn-baipharm.pngGlobal CRO Market Size (US$ bn). Source: Frost & Sullivan.

As the following figure shows, both the size of China CRO market and its proportion in the world have been increasing since 2017. In 2021, China’s CRO market reached 64.77 billion yuan, taking up 13.2% of the global market.2 By Frost & Sullivan’s estimation, both the Chinese market and its percentage in the global market will continue to climb up in the coming years.

china-cro-market-from-2017-to-2026e-baipharm.pngChina CRO Market Size from 2017 to 2026E (RMB bn). Source: Frost & Sullivan.

China CROs: Business Development Trajectory

To be continued...

Grace Wang
ChemLinked Regulatory Analyst / Editor
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