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Drug regulator ends Alibaba partnership after pharmacy firm files suit

The China Food and Drug Administration will end cooperation with Alibaba Group Holding’s e-commerce subsidiary Alihealth on a project for authenticating medicines, Caixin reported, citing unnamed sources from an industry meeting with Sun Xianze, vice director of the administration. Sun told industry representatives that the administration would continue to push new system, which uses bar codes linked to an official database to verify drug origins, but that it would seek a non-profit institution as a partner instead. On January 26, Yangtianhe Pharmacy had filed a lawsuit against the administration, arguing that it had broken the law by partnering with a for-profit company.

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