Research On The Antitrust Problem Of Pharmaceutical Industry In China

Drugs have always been a peculiar commodity related to people's livelihood,and the monopolistic behavior of China's pharmaceutical industry has been increasingly valued.However,from the perspective of the cases investigated and dealt with by anti-monopoly law enforcement agencies at present,monopoly behaviors have strong institutional monopoly marks: frequent administrative monopoly;the monopoly of BPC industry remaining high.Monopoly mainly involves administrative monopoly behaviors such as the designated transactions,the exclusion and restriction of competition by discriminatory standards of administrative organs,and economic monopoly behaviors like the over-pricing,refusal to trade,addition of unreasonable trading conditions,fixed prices and market segmentation of pharmaceutical companies.Compared with the institutional monopoly characteristics of China's pharmaceutical industry,the monopolistic behavior of foreign countries' is more related to intellectual property monopoly due to the development of branded drug research.For reasons of high investment high returns,multinational large branded drug companies tend to make full use of the value of intellectual property,and even extend numerous of abuse of intellectual property rights to achieve long-term monopoly profits or obtain super monopoly monopoly profits,such as reverse payment agreement,product hopping,unfair excessive pricing,patent evergreening.After decades of game in Europe and the United States,a series of cases and rules have been produced to examine the abuse of intellectual property monopoly.As a large developing country mainly producing generic drugs,India is more inclined to take strong measures to curb the monopolistic behaviors of intellectual property that may hinder the competition of generic drugs,with the first priority being to lower drug prices and to protect the interests of citizens.Along with our country vigorously promoting the reform of medical industry in recent years,by groping for GPO model,the implementation of two invoice,modernization of public hospital reform,pharmacy retail system reform,as well as a series of measures like accelerating the establishment of a drug approval green channel,drug information disclosure system,and fair competition censorship in the pharmaceutical industry,the government is committed to implement the drug price system and the reform of the regulatory system,gradually to break the administrative monopoly and BPC industry common state of "oligopoly".In dealing with the multinational pharmaceutical companies with intellectual property advantages of eliminate or restrict domestic local drug firms competition at the same time,our country is a steady step on to the process of an innovative country,portending more and more drugs with independent intellectual property rights in the future,both of which means that our country also is bound to face more involving the abuse of intellectual property rights monopoly behavior.For China,it is of equal importance to restrain high drug prices and encourage the development of branded drug research.In the intervention process of anti-monopoly law on intellectual property related behaviors,the principle of protecting both market competition and intellectual property rights must be adhered to.Only beyond the boundaries of legal and reasonable use of intellectual property,the behavior causing damage to the competition order should be regulated under the framework of the antitrust law.This article will from the drugs industry the relevant market definition of abuse of intellectual property rights behavior,the cognizance of dominant market position,the material injury caused by the behavior and the lack of grounds for obstruction of lawlessness four aspects to illustrate its illegality review rules of abuse.Specific behavior can be summarized as: unreasonable delay intellectual property monopoly period;conditional license or refusal of license for a patent;unfair and high pricing with exclusive period;abuse of litigation right to reach reverse payment agreement to exclude and limit competition.Civil compensation and administrative penalty should be imposed for these illegal acts of abusing intellectual property monopoly.