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the chinese regulatory licensing regime for pharmaceutical products

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442 Michigan Telecommunications and Technology Law Review [Vol. 15:417<br />

NDC. 142 This similarity demonstrates that China has adopted an approach<br />

similar to many o<strong>the</strong>r developed countries, such as <strong>the</strong> United States,<br />

where <strong>the</strong> importation of drugs is generally subject to <strong>the</strong> same controls<br />

as <strong>the</strong> marketing of domestic drugs. 143 For convenience, I refer to this<br />

approach as <strong>the</strong> “reassessment procedure.”<br />

In contrast, o<strong>the</strong>r countries adopt an alternative approach to <strong>the</strong> reassessment<br />

procedure: developing countries in particular “tend to be<br />

guided by registration decisions made in <strong>the</strong> country where <strong>the</strong> drug is<br />

manufactured or in countries where <strong>the</strong> drug is used.” 144 Under this approach,<br />

<strong>the</strong> importing countries base <strong>the</strong>ir <strong>licensing</strong> decisions on <strong>the</strong><br />

in<strong>for</strong>mation supplied by <strong>the</strong> <strong>licensing</strong> authority in <strong>the</strong> exporting countries<br />

concerning <strong>the</strong> safety, efficacy and quality of <strong>the</strong> drugs, ra<strong>the</strong>r than<br />

on clinical trials or o<strong>the</strong>r tests carried out in <strong>the</strong> importing countries. I<br />

refer to this approach as <strong>the</strong> “recognition procedure.” A typical example<br />

of <strong>the</strong> recognition procedure is <strong>the</strong> World Health Organization (WHO)<br />

Certification Scheme on <strong>the</strong> Quality of Pharmaceutical Products Moving<br />

in International Commerce. 145 Ano<strong>the</strong>r example is <strong>the</strong> harmonization and<br />

mutual recognition of drug <strong>licensing</strong> decision-making among EU member<br />

states. 146<br />

Because China has adopted <strong>the</strong> reassessment procedure, <strong>the</strong> analyses<br />

regarding <strong>licensing</strong> procedures to obtain an NDC can also be generally<br />

regarded as applying to <strong>the</strong> procedures to obtain an RCID. My analysis<br />

142. RCIDs and NDCs have two main distinctions. First, <strong>for</strong> imported drugs, <strong>the</strong> SFDA<br />

is responsible <strong>for</strong> <strong>the</strong> initial inspection of <strong>the</strong> application, supporting documents, data, and<br />

samples; and <strong>the</strong> China Pharmaceutical Biological Products Testing Institute or an appointed<br />

testing institute initially examines <strong>the</strong> samples and issues a report. In contrast, <strong>for</strong> new domestic<br />

drugs, a provincial branch of <strong>the</strong> SFDA is responsible <strong>for</strong> <strong>the</strong> initial inspection of <strong>the</strong><br />

application, and its appointed testing institution initially examines <strong>the</strong> samples and issues a<br />

report. Second, unlike imported drugs, new domestic drugs are subject to a second on-site<br />

inspection and sample test organized by <strong>the</strong> DCC of <strong>the</strong> SFDA.<br />

143. See 2001 Drug Administration Law, supra note 5, art. 39; SFDA Commentary,<br />

supra note 5, art. 39.<br />

144. D. C. Jayasuriya, Regulation of Pharmaceuticals in Developing Countries:<br />

Legal Issues and Approaches 55 (WTO 1985).<br />

145. “The WHO certification scheme is an international voluntary agreement, devised to<br />

enable countries with limited drug <strong>regulatory</strong> capacity to obtain partial assurance from <strong>the</strong><br />

exporting countries concerning <strong>the</strong> safety, quality and efficacy of <strong>the</strong> <strong>products</strong> <strong>the</strong>y plan to<br />

import. The voluntary agreement requires that <strong>the</strong> <strong>regulatory</strong> authorities of exporting countries<br />

issue Certificates when requested by <strong>the</strong> importing countries . . . . [The Certificate at least can<br />

attest] whe<strong>the</strong>r a specific product is approved <strong>for</strong> use in <strong>the</strong> exporting country, or if not, why<br />

not.” World Health Organization, WHO Certification Scheme on <strong>the</strong> Quality of<br />

Pharmaceutical Products Moving in International Commerce (2000), available at<br />

http://whqlibdoc.who.int/hq/2000/WHO_EDM_QSM_2000.2.pdf. At present, China has not<br />

participated in <strong>the</strong> WHO certification scheme.<br />

146. See generally John Abraham & Graham Lewis, Europeanization of Medicines<br />

Regulation, in Regulation of <strong>the</strong> Pharmaceutical Industry 42, 42 (John Abraham &<br />

Helen Lawton Smith eds., 2003).

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