Prime Highlights

• Pfizer’s ecnoglutide and Innovent Biologics’ mazdutide have passed an initial review for possible inclusion in China’s national medical insurance programme.
• Inclusion in the reimbursement list could increase access to the medicines but is likely to result in lower retail prices.

Key Facts

• GLP-1 receptor agonists are medicines used to treat Type II diabetes and, in some cases, support weight management.
• China’s national medical insurance catalogue expands public access to approved medicines, but manufacturers usually agree to price reductions to secure reimbursement.

Background

Pfizer and Innovent Biologics have cleared a preliminary review for possible inclusion in China’s national medical insurance drug catalogue, a move that could improve patient access while leading to lower treatment prices.

China’s National Healthcare Security Administration included Pfizer’s ecnoglutide and Innovent’s mazdutide in a list of drugs that passed the initial review for the reimbursement programme. Both medicines are approved in China for weight management and Type II diabetes and belong to the GLP-1 receptor agonist class.

The drugs would join other GLP-1 treatments already covered under the state insurance scheme, including Novo Nordisk’s Ozempic, Eli Lilly’s Mounjaro and Guangzhou Innogen Pharmaceutical Group’s efsubaglutide alfa. Inclusion in the reimbursement list generally makes medicines more affordable and widely available, although manufacturers often accept lower prices in return for higher sales volumes.

Following the announcement, Innovent Biologics’ shares rose about 7%. Linda Shu, head of China healthcare research at HSBC Qianhai Securities, said Pfizer and Innovent were unlikely to pose a major competitive threat in the diabetes market. She added that if the drugs enter the insurance scheme, their retail prices would likely fall to match public hospital pricing.

Novo Nordisk added Ozempic to China’s reimbursement list in 2022, while Mounjaro and efsubaglutide alfa joined the programme this year for Type II diabetes treatment. But in 2025, Ozempic sales in Hong Kong, Taiwan, and mainland China fell 7% to about 5.4 billion Danish crowns.

According to Jefferies, sales of GLP-1 treatments through Alibaba and JD.com reached about 1.4 billion yuan during the first quarter of 2026. Final results of this year’s insurance price negotiations are expected before the end of the year.