Valtero Canepa, CEO of Bracco China

Among the Italian pharmaceutical companies, Bracco has experienced the most significant growth in China in recent years.

This growth is largely due to the localization of production and high-quality product standards. Valtero Canepa, who moved to Shanghai with his family in 2013, has been a witness to this success. 

His journey within the Company began as a pharmaceutical representative and evolved as he took on roles in global marketing and management of the Italian market, eventually assuming the leadership of the Company's operations in China.

Q: What is Bracco's current presence in China?

A: We have three companies in China, one in Hong Kong and two in Shanghai. Since 2001, we have held a 70 percent stake in a joint venture with Sine, a subsidiary of Shanghai Pharma Group specializing in contrast media. Additionally, since 2016, we have had a second company in Shanghai, which is entirely owned by Bracco and dedicated to medical devices and providing services to the Group's companies and distributors in the Asian region.

Q: What are the figures?

A: We employ slightly over 400 people and achieved a turnover exceeding 200 million euros in 2023.

Q: What has been the growth in recent years?

A: In 2012, our turnover was below 50 million euros. In recent years, by broadening our product portfolio to include medical devices previously distributed by Chinese operators, we are able to regain our market share. 

Q: What are the strategic priorities in an economy experiencing slower growth and tighter public spending?

A: Our sector has seen no slowdown. 

China's Diagnostic Imaging market, valued at over $2 billion and the world's second largest, continues to grow at double-digit rate. 

Moreover, healthcare spending in China is outpacing the country's GDP growth. 

Q: What about future?

A: The Chinese market will remain a crucial driver of global growth for our Group for many years to come.

Q: What is the primary focus?

A: Our main focus is to adapt to the evolving market, where competition from local companies is intensifying. In some cases, they may be competitors, but in others, they can also become partners.

Q: How do you plan to intervene?

A: We plan to diversify our product portfolio and enhance our value-added services, leveraging the fact that the Group's history is characterized by innovation.

Q: What other strategic challenges do you anticipate?

A: We aim to localize our operations even further.

Q: Specifically?

A: In the past, we introduced products in China that had already been approved in other markets. Now, we aim to initiate the entire process in China, starting with clinical trials, shortening the time to market, and developing products "in China for China."

Q: What else does localization entail?

A: It involves significant investments. We are currently building a new factory because our existing facility, which exclusively serves the Chinese market, is no longer able to handle the growth.

Q: The joint venture with Sine, established in 2001, is considered a success. What were the key factors?

A: The interaction with the management of Sine and its parent company, which is the second largest company in the Chinese market, has been constant. It is a partnership based on mutual respect. We are united by our interest in providing Chinese patients with high-quality products and supporting the scientific growth of the Chinese medical community.