On the news front, on April 14, the General Office of the State Council issued &#34;Several Opinions on Improving the Price Formation Mechanism for Pharmaceuticals,&#34; which proposed to standardize the pricing behavior of pharmaceutical raw and auxiliary materials. It aims to promote the sharing of price information for pharmaceutical raw and auxiliary materials, guide raw and auxiliary material companies to supply directly to formulation companies, and support the integrated development of &#34;raw and auxiliary materials + formulations.&#34; It also seeks to prevent disorderly price increases of key pharmaceutical excipients and packaging materials. Strengthening the price guidance of traditional Chinese medicine materials, promoting high-quality and high-price traditional Chinese medicine based on improved quality evaluation.
Institutions pointed out that with market fluctuations and adjustments, the attention on high-dividend, low-volatility related assets has increased. Among pharmaceutical companies, traditional Chinese medicine companies have relatively low valuations, ample cash flow, and high dividend rates, making them favorable for undervalued, high-dividend, and stable-operating leading traditional Chinese medicine companies.
In addition, brand extension, channel expansion, strong pricing power, and actively promoting state-owned enterprise reform will gradually lead brand traditional Chinese medicine companies into a stage of high-quality development. Although some OTC companies are still in an adjustment phase, leading companies are operating steadily, and there is optimism for recognizable brand traditional Chinese medicine companies, while also suggesting attention to excellent traditional Chinese medicine OTC companies.
Overall, the state strongly supports the inheritance and innovative development of traditional Chinese medicine, with moderate declines in exclusive varieties; coupled with the imminent adjustment of the basic drug catalog, selected varieties are expected to further tap into the grassroots market, bringing incremental contributions to the performance of some companies. In addition, as the industry order gradually recovers and the adjustment of industry channels is basically completed, traditional Chinese medicine prescription drug companies continue to focus on innovation and academic leadership, and are expected to gradually achieve recovery.
As of April 15, 2026, 13:33, the CSI Traditional Chinese Medicine Index (930641) surged by 2.04%, with constituent stocks Kang En Bei rising by 10.09%, Zhong Heng Group rising by 5.98%, and Bu Chang Pharmaceutical rising by 4.69%. Stocks such as Zhong Sheng Pharmaceutical and Ya Bao Pharmaceutical also rose. The Traditional Chinese Medicine ETF Penghua (159647) increased by 1.83%, with the latest price reported at 0.95 yuan.
The Traditional Chinese Medicine ETF Penghua closely tracks the CSI Traditional Chinese Medicine Index, which selects the securities of listed companies involved in the production and sales of traditional Chinese medicine as samples to reflect the overall performance of listed companies in the traditional Chinese medicine concept.
Data shows that as of March 31, 2026, the top ten weighted stocks in the CSI Traditional Chinese Medicine Index (930641) are Yunnan Baiyao, Pian Zai Huang, Dong E E Jiao, Tong Ren Tang, China Resources Sanjiu, Jilin Aodong, Baiyunshan, Yiling Pharmaceutical, Zhong Sheng Pharmaceutical, and Da Ren Tang, with the top ten weighted stocks accounting for a total of 55.08%.
Traditional Chinese Medicine ETF Penghua (159647), off-market connection (A: 016891; C: 016892; I: 022881)

399933

165519

159647

161726

The Penghua CSI Chinese Medicine ETF rose by more than 1.8%, influenced by the opinions on the pricing mechanism for pharmaceuticals released by the General Office of the State Council. The opinion aims to regulate the prices of raw and auxiliary materials for medicines and promote the development of high-quality and high-priced Chinese medicinal materials. Institutional analysis suggests that Chinese medicine companies have low valuations and high dividend rates, and will benefit from policy support and market recovery in the future. The CSI Chinese Medicine Index rose by 2.04%, with many Chinese medicine stocks performing strongly. Overall, the state supports the development of traditional Chinese medicine, and the industry is expected to achieve high-quality growth

腾讯新闻 - 财经

800 Health Care

CITIC-Prudential CSI 800 Pharmaceuticals and Biotechnology Index Fund(LOF)-A

Penghua CSI Chinese Medicine ETF

China Merchants CNI BIOMEDICINE Index Fund-A

CONBA

Zhongheng Group

BUCHANG PHARMA

ZHONGSHENGYAOYE

YABAO PHARM.CORP

Yunnan Baiyao

ZZPZH

DEEJ

CR Sanjiu

JI LIN AO DONG

GYBYS

BAIYUNSHAN PH

YILING PHARMACEUTICAL

DRTG

TONG REN TANG

Penghua CSI Chinese Medicine ETF rose over 1.8%, as policies strengthen guidance on medicinal material prices, promoting a quality and price-oriented approach