Original Title: Notice on the Issuance of the “Guidelines on Further Promoting the High-Quality Development of the Life and Health Industry in Xuhui District”
To implement the guiding principles of documents such as the “Several Opinions on Promoting the High-Quality Development of the City’s Biomedical Industry” (Shanghai Municipal Government Office Regulation [2021] No. 5), promote the high-quality development of the life and health industry in our district, foster a life and health industry cluster with international influence, and provide strong support for establishing Xuhui District’s “Innovation and Science and Technology Embroidery Belt” brand, these Opinions are hereby formulated.
Article 1 (Eligibility)
These Opinions apply to enterprises, public institutions, or private non-enterprise entities registered in the district; entities whose primary innovation activities are conducted in Xuhui District; and other entities approved by the district government for support. The aforementioned entities must be in normal operation, have a good credit record, and meet the eligibility criteria for policy applications.
Article 2 (Promoting the Development of Industrial Clusters)
(1) Optimizing the Industrial Development Landscape. Through urban renewal, we will adjust and optimize underutilized land parcels to release high-quality industrial space, forming an industrial development landscape where areas such as Fenglin, Caokai, and Huajing complement and synergize with one another. This will establish Xuhui as a hub for life sciences and health innovation, a cluster for corporate headquarters, a center for high-end R&D and manufacturing, and a hub for health services.
(2) Supporting the Establishment of High-Quality Enterprises. Prioritize the introduction of high-quality enterprises with strong technological innovation, industrial leadership, and significant development potential to accelerate the enhancement of industrial concentration and competitiveness. For newly registered or newly relocated high-quality enterprises that align with the regional life sciences and health industry development orientation and have a paid-in capital of 20 million yuan or more, upon approval, a one-time reward of up to 5% of the paid-in capital (not exceeding 5 million yuan) may be granted;For entities with significant industrial spillover effects and substantial contributions to the region, upon verification, subsidies of up to 15 million yuan may be provided to cover costs such as business startup and office space. For newly registered or relocated enterprises, upon verification, comprehensive support lasting up to five years may be provided based on their benefits to the district’s economic and social development, primarily for equipment procurement, product R&D, business innovation and development, and team building.
(3) Enhancing the Level of Industrial Development. For projects involving breakthroughs in core technologies in the life sciences and health sector, the construction of key specialized service platforms, and the industrialization of major products, financial support of up to 30% of the approved new investment (with a maximum of 5 million yuan) may be provided following a comprehensive evaluation.
Article 3 (Supporting Enterprises to Grow Larger and Stronger)
(4) Encouraging Scaled Development of Enterprises. Enterprises whose annual main business revenue exceeds 50 million yuan, 100 million yuan, 500 million yuan, or 1 billion yuan for the first time, and whose R&D expenditure accounts for 5% or more of total revenue, may be awarded 200,000 yuan, 500,000 yuan, 1 million yuan, or 1.5 million yuan, respectively. Upon advancing to a higher annual main business revenue tier, the difference in the award amount will be supplemented.
(5) Encourage business model innovation. For local holders of drug marketing authorizations or medical device marketing authorizations engaged in contract manufacturing, a reward may be granted at a rate of up to 1% of the new sales revenue generated by the declared product compared to the previous year, not exceeding 3 million yuan. For local enterprises authorized by holders of drug marketing authorizations or medical device registrants to engage in contract manufacturing, a reward may be granted at a rate of up to 0.5% of the increase in output value for that product compared to the previous year, not exceeding 2 million yuan.The annual reward for a single enterprise shall not exceed 5 million yuan.
Article 4 (Strengthening R&D and Commercialization of Innovative Products)
(6) Support for Drug R&D and Market Launch. For innovative drugs that have obtained a drug registration certificate, upon verification, a subsidy of up to 40% of R&D expenditures, with a maximum of 5 million yuan, may be granted. For products such as modified new drugs, generic drugs, and biosimilars that have obtained drug registration certificates, upon verification, a subsidy of up to 20% of R&D expenditures, with a maximum of 5 million yuan, may be granted. The annual subsidy for a single enterprise shall not exceed 15 million yuan.
(7) Support for the R&D and Market Launch of Medical Devices. For Class II and Class III medical devices that have newly obtained a medical device registration certificate, upon verification, a subsidy of up to 40% of R&D expenditures, with a maximum of 2 million yuan, may be granted. The annual subsidy for a single enterprise shall not exceed 3 million yuan.
(8) Support for Overseas Market Expansion. For innovative drugs and high-end medical devices independently developed by enterprises within the district that have obtained registration from international agencies such as the U.S. Food and Drug Administration (FDA), the European Medicines Agency (EMA), the European Union (CE), the Pharmaceuticals and Medical Devices Agency (PMDA) of Japan, or the World Health Organization (WHO), and have achieved sales in relevant overseas markets, projects that have received municipal-level funding support may, upon verification, be eligible for a district-level matching grant of up to 1:0.5,with annual matching funds for a single enterprise not exceeding 2 million yuan.
Article 5 (Creating a Favorable Ecological Environment)
(9) Support industrial chain cooperation in the life sciences and healthcare sector. Support life sciences and healthcare enterprises within the district in conducting joint R&D, clinical collaboration, and supply chain coordination to jointly expand and strengthen the life sciences and healthcare industry. Encourage local life sciences and healthcare enterprises to procure services such as preclinical research, animal testing, clinical trials, testing and inspection, pharmacovigilance, and data management from non-affiliated enterprises. A subsidy of up to 10% of the actual invoice amount may be provided, with an annual subsidy cap of 3 million yuan.
(10) Promote Deep Integration of Industry, Academia, Research, and Healthcare. Support universities, research institutes, and medical institutions in collaborating with local enterprises to build an innovative industrial ecosystem through joint laboratories and research institutes. Support the development of national and municipal-level pharmaceutical clinical research centers; encourage local medical institutions to explore the establishment of research-oriented hospitals; advance the integration of scientific and technological achievements with clinical research; and promote deep integration of industry, academia, research, and healthcare.
(11) Strengthen registration services for pharmaceutical and medical device products. Establish a full-chain product registration service system covering both pharmaceuticals and medical devices, and set up one-stop guidance service stations for biopharmaceutical product registration to provide pre-registration counseling for innovative biopharmaceutical products, thereby accelerating the market launch of pharmaceuticals and medical devices.
(12) Encourage the Development of Various Incubation Platforms. Encourage various entities to establish biopharmaceutical co-working spaces, incubators, accelerators, and other platforms. Innovate service models to provide comprehensive infrastructure, targeted operational management, and professional R&D services tailored to the different development stages of innovative enterprises, thereby strengthening synergies among industrial platforms, innovative R&D enterprises, and R&D and production service providers.
(13) Strengthen financial support for industrial development. Establish a financial support system where direct and indirect financing complement each other, covering the entire value chain of the life sciences and health industry. Encourage various financial institutions and social capital to support the high-quality development of the district’s life sciences and health industry through market-oriented operations. Innovate financial service models for the regional life sciences and health industry and actively foster a group of enterprises listed on capital markets such as the STAR Market.
(14) Improve the talent support system for the life sciences and health sector. Encourage top-tier talent, overseas talent, and teams in the life sciences and health sector to innovate and start businesses in Xuhui. Focus on key aspects such as talent recruitment, training, and incentives, providing priority support in areas such as temporary housing for talent and talent rewards, and actively build Xuhui into a hub for life sciences and health talent characterized by high intellectual density, high innovation activity, and high service convenience.
Article 6 (Supplementary Provisions)
(1) During the period of eligibility for the policies outlined in this document, if an entity is simultaneously eligible for other similar policies in this district, the “higher-value, non-duplicative” principle shall apply. Should new policies be issued by the central government or the Shanghai Municipal Government during implementation, such new policies shall prevail.
(2) For acts such as fraudulently obtaining support funds or arbitrarily altering the intended use of funds, the recipient will be held accountable, and any disbursed support funds will be recovered. Such cases will also be recorded in the public credit information platform in accordance with relevant municipal regulations. For recipients found to have violated relevant laws and regulations, their eligibility to apply for support funds will be revoked for a certain period, depending on the severity of the offense.
(3) The District Science and Technology Commission, in conjunction with relevant departments, shall be responsible for interpreting these guidelines.
(4) These guidelines shall take effect on December 1, 2022, and remain valid until December 31, 2025. All types of innovation entities newly registered during this period shall comply with these guidelines. Innovation entities that were receiving support under the previous policy prior to the implementation of these guidelines shall continue to be governed by the district’s original policy until the expiration of that policy.
