Breaking Down Chongqing Taiji Industry(Group) Co.,Ltd Financial Health: Key Insights for Investors

Step into the world of Chongqing Taiji Industry Co., Ltd., a powerhouse in modern Traditional Chinese Medicine that combines heritage and industrial scale-employing approximately 14,000 staff and operating an annual manufacturing capacity of 100 million bottles of syrups and 2 billion bottles of oral liquids-driven by a clear mission and vision to become a world-class TCM enterprise that safeguards human health; with nearly 300 authorized patents and more than 1,200 drug approvals (including about 700 TCM approvals and over 500 chemical drug approvals), Taiji's core values-innovation, integrity, customer focus, social responsibility and excellence-anchor strategic growth, product development and its consecutive ranking among China's Top 100 Pharmaceutical Companies by the Ministry of Industry and Information Technology, making this chapter essential for understanding how measurable scale and principled values intersect in Taiji's global ambitions.

Chongqing Taiji Industry Co.,Ltd (600129.SS) - Intro

• Established as part of China National Pharmaceutical Group, employing approximately 14,000 staff.
• Annual production capacity: 100 million bottles of syrups and 2 billion bottles of oral liquids.
• Intellectual property and approvals: nearly 300 authorized patents and over 1,200 drug approvals (≈700 TCM approvals; >500 chemical drug approvals).
• Industry recognition: consecutively ranked among China's Top 100 Pharmaceutical Companies by the Ministry of Industry and Information Technology.

• Protect and promote human health by advancing modern TCM through intelligent manufacturing, rigorous quality control, and evidence-based innovation.
• Deliver safe, effective, and accessible TCM and pharmaceutical products to patients and healthcare systems worldwide.

• To become a world-class TCM enterprise recognized for combining traditional wisdom with advanced manufacturing, digitalization, and global regulatory compliance.
• To scale capabilities that enable Taiji to lead in TCM internationalization, interoperate with modern healthcare systems, and contribute to global public health.

• Patient-centered quality: uncompromising product safety and efficacy across all production lines and clinical claims.
• Scientific integrity: rigorous R&D, robust clinical evidence where applicable, and respect for regulatory standards.
• Innovation & digitalization: deployment of intelligent manufacturing, automation, and data-driven process control to improve yield, traceability and compliance.
• Heritage with modernization: preserving TCM principles while modernizing formulation, QA, and delivery for broader clinical applicability.
• Social responsibility: contributing to public health, industrial development, and employment at regional and national levels.

• Scale manufacturing output while reducing unit variability via intelligent lines-targeting continued utilization of 100M syrup and 2B oral liquid capacities.
• Expand the patent and regulatory portfolio-building on ~300 patents and >1,200 approvals to increase proprietary products and barrier-to-entry strength.
• Maintain and improve rankings through compliance, product quality, and strategic partnerships to support international approvals and exports.

Chongqing Taiji Industry Co.,Ltd (600129.SS) - Overview

• Chongqing Taiji Industry Co.,Ltd (600129.SS) is dedicated to becoming a world-class TCM enterprise to safeguard human health.
• The mission emphasizes advancing Traditional Chinese Medicine (TCM) practices while integrating modern scientific research and production standards.
• Taiji positions product safety, efficacy, and global regulatory compliance at the core of its mission-driven R&D and commercialization programs.

• To be recognized internationally as a leader in TCM pharmaceuticals and health products, delivering clinically validated, high-quality therapies and preventive solutions.
• To expand global reach through strategic partnerships, regulatory approvals in major markets, and evidence-based modernization of traditional formulas.

• Patient-centered innovation - prioritizing safety, efficacy, and measurable health outcomes.
• Heritage and science - preserving TCM knowledge while applying modern R&D, quality control, and GMP standards.
• Integrity and compliance - meeting domestic and international regulatory and ethical standards.
• Sustainability and social responsibility - ensuring supply chain resilience, responsible sourcing of raw materials, and community health initiatives.
• Collaboration - partnering with hospitals, universities, and overseas distributors to scale impact.

• Accelerate R&D pipelines transforming classical TCM formulas into standardized, clinically validated products.
• Invest in manufacturing upgrades to international GMP, cold-chain logistics, and digital quality systems.
• Pursue regulatory filings and market entry in targeted overseas regions to achieve "world-class" commercial footprint.

• R&D allocation: a material percentage of operating profit is directed to clinical validation and formulation standardization to translate TCM heritage into globally acceptable products.
• Quality investment: upgrades to manufacturing lines and certifications to lower batch variability and meet export requirements.
• Global expansion: targeted regulatory submissions and distribution agreements to increase international sales mix, aiming to lift overseas revenue share year-on-year.

• Patients - broader access to standardized TCM products with documented safety and efficacy.
• Healthcare providers - evidence-backed therapeutics integrating into clinical practice.
• Investors - revenue diversification and R&D-driven product pipeline supporting medium-term growth.

Chongqing Taiji Industry Co.,Ltd (600129.SS) - Mission Statement

• World-class positioning: commitment to international standards in manufacturing, clinical evidence, and regulatory compliance.
• Safeguarding human health: product portfolios and R&D directed at improving population health and therapeutic access.
• Strategic guidance: vision informs long-term objectives such as global market expansion, clinical validation, and sustainable growth.
• Stakeholder alignment: inspires employees, investors, partners and regulators toward a unified goal of global health enhancement.

How the Vision Translates into Measurable Targets

• Global market share ambitions: targeted export and overseas subsidiary growth to increase international revenue share.
• Quality and compliance benchmarks: adoption of WHO/ICH-aligned standards and GMP certifications across production lines.
• R&D and innovation metrics: increased clinical trials, new drug approvals, and patents to underpin 'world-class' status.
• Sustainability and access: programs to broaden product availability in emerging markets and strengthen supply-chain resilience.

Strategic Priorities Driven by the Vision

• Scaling international registration campaigns to accelerate overseas market access.
• Investing in evidence-generation: randomized controlled trials and real-world evidence to substantiate efficacy/safety.
• Upgrading manufacturing to meet global GMP and digitalization standards for supply-chain reliability.
• Talent and governance: building global leadership teams and strengthening ESG and compliance frameworks.

Chongqing Taiji Industry Co.,Ltd (600129.SS) - Vision Statement

• Innovation: Continuous R&D and process optimization to accelerate new product development and production efficiency.
• Integrity: Uphold transparency, compliance with regulatory standards, and ethical business conduct across operations.
• Customer focus: Prioritize client needs with market-driven product design, quality assurance, and responsive service.
• Social responsibility: Commit to community welfare, environmental stewardship, and safe occupational practices.
• Excellence: Maintain high-quality standards in manufacturing, supply chain, and corporate management.

• R&D scaling - target to increase R&D headcount and budget to accelerate pipeline commercialization.
• Manufacturing modernization - deploy advanced production lines for efficiency and lower emissions.
• Global expansion - grow export channels and overseas partnerships to raise export share of revenue.
• ESG integration - implement measurable environmental and social targets across business units.

• Increase R&D investment to ≥4% of revenue within 3 years.
• Raise export share to 25% by expanding international distribution.
• Reduce carbon intensity of manufacturing by 30% versus 2023 baseline within 5 years.
• Achieve annual product qualification rate ≥99.5% and customer satisfaction ≥92%.