Life science industry chain and pharmaceutical equipment: the highlight track of the next decade

Quality racetracks enjoy high added value and policy immunity embrace high returns. The medical diagnosis and scientific research field pay much more attention to the quality of consumables than the procurement cost, and the negative results caused by the quality of consumables such as the deviation of diagnostic results, the loss of high-value sample reagents, and experimental errors are the essential differences. Due to the uneven quality of domestic consumables suppliers, the market share of domestic consumables has been low, and few suppliers can enter the supply chain of international giants. Therefore, the polymer life science consumables industry has high gross profit, domestic and global share is very low attributes, the current life science polymer supplies supply with first-mover advantage suppliers will fully enjoy the polymer consumables production capacity to the domestic trend dividend, quickly open the domestic and global life science consumables blue ocean market. The ODM model of life science polymer consumables is similar to the CDMO industry of pharmaceuticals, and the globalization of the consumables industry is deeply rooted in the international supply chain market. Consumables suppliers face the downstream brands in the field of medical experiments, the value of consumables is relatively low in the downstream products, and the price of consumables depends more on supply and demand. Therefore, the life science consumables industry has policy immunity properties.

The epidemic has opened a golden window for local enterprises to cut into the international supply chain of plastic consumables. Since 2020, the world has entered the era of epidemics, and various industries have been generally affected by the epidemic. The United States USITC revealed that the production capacity of polymer life science consumables related to COVID-19 testing is seriously insufficient, and the production capacity cannot be immediately improved. The most prominent contradiction between supply and demand is the pipette head, the mold needs to be imported from abroad, which takes about 20 weeks, the automatic production equipment also needs additional deployment, and the construction cycle of the new production line is 8-14 months. This will lead to a prolonged pipette shortage in the United States and potentially the same short-term problem worldwide. As of March 2021, the plastic life science consumables imported by the United States continued to rise, of which China's share increased significantly after maintaining stability, in sharp contrast to the trend of cotton swabs, reagents and other data rising first and then falling.