Impacts of National Drug Price Negotiation on Expenditure, Volume, and Availability of Targeted Anti-Cancer Drugs in China: An Interrupted Time Series Analysis

Yan Sun, Zheng Zhu, Jiawei Zhang, Peien Han, Yu Qi, Xiaoyang Wang and Li Yang
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Yan Sun: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China
Zheng Zhu: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China
Jiawei Zhang: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China
Peien Han: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China
Yu Qi: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China
Xiaoyang Wang: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China
Li Yang: Department of Health Policy and Management, School of Public Health, Peking University, Beijing 100191, China

IJERPH, 2022, vol. 19, issue 8, 1-10

Abstract: The Chinese government has launched six rounds of national drug price negotiation since 2016 to lower the price and expand access to innovative drugs, many of which are anticancer drugs. This study aims to examine the effect of the second round of negotiation at the provincial level on the expenditure, volume, and availability of anti-cancer drugs. Procurement data at the provincial level from January 2017 to September 2018 were extracted from the China Drug Supply Information Platform (CDSIP). The volume, expenditure, and availability of three targeted anti-cancer drugs, rituximab, trastuzumab, and recombinant human endostatin (RHE), in 11 provinces that implemented the policy in September 2017 were analyzed through a controlled interrupted time series (ITS) analysis. A significant 6.0% increase ( p < 0.1) in monthly average expenditure, an increase in the volume of 99.51 DDDs (defined daily doses) ( p < 0.1), and a 0.24% ( p < 0.1) increase in availability were observed for rituximab following the implementation of the policy. The volume and availability of rituximab increased by 949.6 DDDs ( p < 0.05) and 1.56%, respectively, immediately after implementation. The availability of trastuzumab increased by 5.14% ( p < 0.01) immediately after the implementation while no instant changes in expenditure and volume were observed. A 15% ( p < 0.01) increase in monthly expenditure, 3673.17 DDDs increase in volume, and 0.66% increase in availability were observed after the inclusion of Trastuzumab. However, for RHE, only a 0.32% ( p < 0.01) increase was observed after its inclusion. Eastern and middle provinces benefited more than western provinces. National negotiation related to the drug price significantly increased the volume and expenditure of anti-cancer drugs and improved their availability. The effect of the policy might be different across different regions and across different anticancer drugs.

Keywords: national price negotiation; interrupted time series; targeted anti-cancer drugs; China (search for similar items in EconPapers)
JEL-codes: I I1 I3 Q Q5 (search for similar items in EconPapers)
Date: 2022
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