Japan to Create Drug Development Hub to Attract Foreign Startups, Strengthening Domestic Drug Innovation

The‌ Health, Labor and Welfare Ministry has made‌ the decision to‌ establish a ⁣hub complex dedicated to the⁣ development of ​new drugs. This complex will⁣ cover all stages of drug development, from basic ⁤research ⁣to⁤ manufacturing and clinical​ trials. The aim is to strengthen Japan’s capacity in drug development, ⁤with plans for⁤ construction of the hub to begin in fiscal 2027.

One of the main ‍goals⁢ of this initiative is to​ attract overseas​ startups that specialize ⁣in drug development. By doing so, the ministry hopes to ⁤foster the creation of groundbreaking new drugs. Additionally, they aim to address the current situation where many new drugs⁢ from ⁤overseas are not available for use ‌in Japan.

In July, the government identified the medical drug industry as a key sector for ​national development. As part of their efforts​ to boost Japan’s capacity for ‍developing new drugs, they have⁣ designated this hub as a central ‍component.

According to ​the ministry’s plan, there will be one hub established in Japan that will be operated by a medical institution. This complex will include ‍facilities such as a hospital for conducting clinical trials on new drugs and facilities for drug ‌research and manufacturing specifically tailored for clinical trials.

The ministry intends to include expenses related to this‌ project in their budgetary request for fiscal 2025.

Startups have been at⁣ the forefront ‍of new drug development in recent years, particularly in countries like the United States. However, many⁤ of these ⁣companies do not have branches or affiliates in Japan. To address ⁢this​ issue and lay a foundation​ for domestic drug development, generous support will be ⁢provided by offering startups access to laboratories⁢ and office spaces within the planned hub.

Furthermore, special support will be ⁤given by organizing‌ systems that​ can handle unexpected side effects during​ early-stage clinical trials held within Japan. ‌The manufacturing facility at this ⁣hub ​will also possess advanced‍ technology capabilities necessary⁢ for producing various trial drugs.

As part of creating an environment ⁣conducive to ⁣collaboration and networking opportunities between startups from both Japan and⁤ abroad with pharmaceutical ⁣companies, universities, ⁢and⁤ venture capital firms; these entities⁢ will be invited into close⁢ proximity around this hub complex area.

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