September 19, 2016
Wellesley, Mass., Sep 19, 2016 – The Chinese sequencing market is big, fast-growing and dominated by brands from outside of China. BCC Research reveals in its new report that this market should hold great appeal for sequencing companies seeking strong growth and high profits in the next decade.
DNA sequencing determines the order of nucleotides in a DNA molecule. The process includes three generations of platforms, including Sanger sequencing, next-generation sequencing (NGS) and third-generation sequencing (3GS). The Chinese market comprises three major segments: pre-sequencing products (i.e., sample preparation) and post-sequencing products (i.e., bioinformatics); sequencing instrument and consumables; and sequencing services. Pre- and post-sequencing products cover both the front end (sample prep) and back end (bioinformatics) of the sequencing workflow.
The Chinese sequencing market is expected to reach nearly $1 billion and $2.5 billion in 2016 and 2021, respectively, increasing at a five-year compound annual growth rate (CAGR) of 19.7%. Sequencing instruments, consumables, and others as a segment should grow from $546.8 million in 2016 to $976.6 million in 2021, demonstrating a five-year CAGR of 12.3%. Sequencing services as a segment should demonstrate a five-year CAGR of 26.5%, the highest growth rate. Boosted by strong demand for noninvasive prenatal diagnostics (NIPT), cancer detection and other services, this market should reach $1.5 billion in 2021. As a submarket of this segment, clinical sequencing services for cancers should exhibit strong growth, growing at a five-year CAGR of 45.4% and reaching $437.1 million by 2021.
Chinese sequencing companies rely heavily on the technologies and instruments provided by their partners from the United States and other countries. As China’s 13 Five-Year Plan for 2016-2020 targets precision medicine as a new focus for improving the country’s health and medical standard, DNA sequencing is expected to grow significantly during the forecast period.
In mid-2014, the Chinese government approved only a few companies for providing NIPT services to the Chinese market. In early 2015, the government opened the market to more companies and hospitals. Strong growth showed in the clinical sequencing market. More than 140 companies were created in China in 2015 for NIPT, cancer detection and diagnostics, microbiology, bioinformatics and others.
"For many years, the Chinese market has relied heavily on instruments and consumables provided by foreign companies," says BCC Research analyst Jason Chen. "For example, Illumina and Thermo Fisher Scientific enjoy good margins in China. At the same time, Chinese companies are trying to produce their own instruments to lower their costs."
The Chinese Market for DNA Sequencing (BIO152A) analyzes the DNA sequencing markets by product type, platform, customer type, value chain position, analysis type and geography. Global market drivers and trends, with data from 2015, estimates for 2016, and projections of CAGRs through 2021 also are provided.
Editors and reporters who wish to speak with the analyst should contact Steven Cumming at steven.cumming@bccresearch.com.
The Chinese Market for DNA Sequencing( BIO152A )
Publish Date: Sep 2016
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