BRIEF—China moves to lower VAT on orphan drugs

A recent meeting at the executive of China’s State Council reportedly detailed proposals to lower value added tax (VAT) on both domestically produced as well as imported orphan drugs.

According to a report in BioCentury, the move is aimed at boosting treatment options for rare diseases in the area of oncology.

The proposals are slated to be introduced from the start of March. At that time the Chinese government will lower VAT on 21 undisclosed rare disease therapies, as well as four APIs, slashing rates from 16% to just 3%.