APAC to boost pharmaceutical growth with increased R&D investments

South Korea allocated 5.2% of its GDP to R&D in 2024.

Increasing public and private research and development (R&D) investments are expected to strengthen global leadership of Asia-Pacific's developed markets in the pharmaceutical sector, according to BMI.

Governments in developed markets such as Mainland China, Japan, and South Korea are increasing investments to foster an innovative life sciences ecosystem.

In 2024, South Korea allocated 5.2% of its GDP to R&D, whilst China and Japan committed 2.4% and 3.3% respectively.

“These investment levels are on par with those of the US and the UK, markets known for their mature pharmaceutical sectors,” the report said.

Moreover, governments are investing heavily in state-of-the-art research facilities, science parks, and innovation hubs to support advanced research.

“For example, China has established biotech hubs like the Zhangjiang Hi-Tech Park in Shanghai, which hosts numerous biotech companies and research institutions,” it added.