Can you provide a brief introduction to J&J’s 35-year presence in China and highlight the opportunities driving the company to expand further?

Johnson & Johnson has been a leader in the healthcare market since establishing its first joint venture in China in 1985. Through our advanced healthcare solutions, we have made a positive impact on the health and quality of life for Chinese families. Currently, our businesses in China span three sectors: consumer, pharmaceuticals, and medical devices. We have implemented an accelerated China growth strategy, leveraging our global resources to enhance our core business capabilities in the Chinese market. This strategy aims to accelerate innovation, achieve operational excellence, lead with purpose, and contribute significant health benefits to Chinese society.

Can you elaborate on how the JLABS incubator system supports J&J’s mission to develop an end-to-end R&D model?

We recognize that health innovation is not limited to a single company, and we actively seek the best science in our areas of interest, whether internally or externally sourced. One key aspect of our external innovation strategy is identifying opportunities that may be in the early stages and nurturing them through incubation until they mature. In 2013, we launched the Asia Pacific Innovation Center in Shanghai with the goal of identifying and nurturing early-stage innovation not only in China but also across the region. Last year, we announced our plans to open JLABS @ Shanghai, a facility that will support innovators in their pursuit of groundbreaking advancements. This global JLABS network fosters open innovation ecosystems, empowering innovators to deliver life-saving and life-enhancing health solutions to patients worldwide.

Where have you seen the most impact, and where do gaps still remain in the government’s regulatory reform initiatives?

The Chinese Food and Drug Administration (CFDA) has taken positive steps to accelerate drug approval processes, including simplifying clinical trial approvals and expanding the approval of new drug categories. We welcome these initiatives to foster pharmaceutical innovation and reform the healthcare system. We encourage the CFDA to swiftly implement its broader reform proposals to further expedite patient access to innovative therapies. Last year, Xian Janssen and Johnson & Johnson China had 43 products listed on the National Reimbursement Drug List (NRDL), benefiting millions of patients in China with innovative treatments for conditions like multiple myeloma, schizophrenia, and prostate cancer.

Can you provide insight into how J&J envisions the integration of advanced technology into enhanced drug development processes?

We are exploring ways to leverage advanced technologies to gain insights into diseases and improve the efficiency of designing and conducting clinical trials. Additionally, we aim to create patient solutions that utilize genetics and other metrics to promote individualized health management, which would otherwise be unattainable. However, we recognize that we cannot achieve these goals alone. Therefore, we actively seek partnerships with top innovators who possess cutting-edge science and technologies in China and across the region. For instance, we entered into a collaboration and license agreement with Legend Biotech, a Chinese company, to develop an investigational CAR-T anti-cancer therapy that has shown promising results in early-stage multiple myeloma trials.

Why did JLABS choose Shanghai as a base for its new facilities?

Shanghai boasts the highest concentration of medical R&D resources in China, including science parks, universities, medical schools, accelerators, incubators, and a significant pool of R&D talent. The city is poised to become a major global hub for healthcare-related entrepreneurship and has already been ranked highly for its potential for future innovation, surpassing cities like New York and Tokyo, according to a KPMG report. Selecting Shanghai as the first JLABS location outside of North America reflects our recognition of the city’s position as a leading center for innovation and entrepreneurship in the Asia Pacific region. We also appreciate the strong support from the Shanghai Municipal and Pudong New Area Governments in establishing our presence there.