looking beyond covid-凯发国际真人

shanghai, june 1, 2020 —— according to cushman & wakefield’s recent report, looking beyond covid-19: the healthcare sector – a prescription for future business growth in china, over recent years, the healthcare sector in china has enjoyed favourable industry growth off the back of a growing economy, an ageing population and escalating healthcare spending. when examining economic growth, according to standard chartered, 10 years ago, china’s nominal gross domestic product (gdp) was worth $ 14.9 trillion in purchasing power parity (ppp) terms using current international dollars. in 10 years’ time, standard chartered estimates that this figure will grow to $ 64.2 trillion.

population demographics in china are also moving in a favourable direction for healthcare companies. as people age, more often than not, an increase in the level of individual healthcare is required. according to eastspring china, by 2035, china’s aged population (aged 60 and above) is predicted to reach 409 million, representing a 28.5% share of the country’s total population.

along with china’s economic growth and ageing population, healthcare spending growth has also benefitted healthcare sector businesses in china. spending as a percentage of gdp has been consecutively increasing on an annual basis in the country from 2010. according to statista, in 2018, healthcare expenditure in china equated to 6.57% of the country’s gdp.


given the importance of the healthcare sector and the evident expanding market opportunities, to secure and service new business, over the years, healthcare companies have also steadily grown their organisations in china. most healthcare companies now have a very established business footprint in the country. today, however, even though the business presence has been established, many healthcare companies are still seeking to expand their commercial activity, and this is evidenced when examining office leasing activity rates in city markets around china.


during the covid-19 outbreak in china, much experience from the sars epidemic in 2003 was leveraged, with actions at both the local and national level being implemented. technology also played a key role in containing the virus and in supporting personal health consultations. the public interest in online personal health consultation was so strong during the early part of this year that jd health, for example, said that during the outbreak period, monthly online consultations rose ten-fold to 2 million.

naturally, many healthcare companies in the pharmaceutical sector and the traditional chinese medicine (tcm) sector also saw an increase in demand for anti-viral medicines during the outbreak period. what’s more, companies associated with medical devices, such as ventilators, virus testing kits and protective equipment and clothing used to mitigate the virus, also realised increased demand for their products during the outbreak period. additionally, other items that saw an increase in demand during the outbreak period in china were nutritional supplements to strengthen the immune system and healthcare insurance policies.
the covid-19 outbreak has the potential to change china’s healthcare market, which according to mckinsey, and its pre-outbreak estimate, is expected to be worth us$ 2.3 trillion by 2030. moving forward, once the virus is fully mitigated and overcome in china, there is likely to be greater investment and spending channelled into disease prevention infrastructure in china. other enhancements are likely to concentrate on improved patient-centric products, equipment, systems and processes, community healthcare, healthcare insurance and healthcare technology.

shaun brodie, head of occupier research, greater china, cushman & wakefield, said: “given the impact of covid-19 and also the long-term healthcare sector-related macroeconomics and policy in china, many new business opportunities will emerge. accordingly, healthcare company executives and corporate real estate practitioners will have to rapidly reassess the situation and formulate new real estate portfolio stratagems to ensure their companies have a prescription for future business growth in china for the years to come.”

please click to download the report.

about cushman & wakefield
cushman & wakefield (nyse: cwk) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. cushman & wakefield is among the largest real estate services firms with approximately 53,000 employees in 400 offices and 60 countries. across greater china, there are 22 offices servicing the local market. the company won four of the top awards in the euromoney survey 2017 and 2018 in the categories of overall, agency letting/sales, valuation and research in china. in 2019, the firm had revenue of $8.8 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. to learn more, visit www.cushmanwakefield.com or follow @cushwake on twitter.

for further information, please contact:
mandy qian
director, marketing & communications, greater china
tel: 86 10 8519 8040
mandy.qian@cushwake.com