# Comprehensive promotion of drug traceability codes in China in 2025: challenges and solutions for tertiary outpatient pharmacists

## TL;DR

China is implementing drug traceability codes by 2025 to combat counterfeit medicines, but challenges in implementation have led to the development of a machine vision scanning solution.

## Contribution

A machine vision-based scanning prototype was developed and tested to address workflow challenges in drug traceability implementation.

## Key findings

- Manual scanning of traceability codes in high-volume hospitals has increased dispensing times and pharmacist workloads.
- A machine vision prototype showed workflow improvements in simulated dispensing scenarios.
- Regional disparities and infrastructure limitations hinder uniform implementation of traceability policies.

## Abstract

Medicines are a highly regulated category of commodities that demand strict oversight across their distribution chains and face numerous challenges in ensuring safety and authenticity. In response to concerns about counterfeit products, gray-market diversion, and pressures to protect public insurance funds, China has rapidly advanced a nationwide drug traceability policy, mandating unit-level digital identifiers and requiring point-of-dispensing scanning by 1 July 2025. However, given China’s vast territory, substantial regional disparities, and complex healthcare infrastructure, this accelerated policy rollout has posed considerable challenges for frontline implementation, placing significant pressure on outpatient pharmacy operations. In high-volume tertiary hospitals, where prescription volumes are exceptionally large, the manual scanning of traceability codes has markedly increased dispensing times, prolonged patient waiting, and heightened pharmacist workloads, further complicated by inconsistent barcode placement and hardware limitations. To explore potential solutions, our team developed and evaluated a machine vision–based scanning prototype under laboratory conditions. The system demonstrated meaningful workflow improvements in simulated dispensing scenarios and holds promise for future validation and adaptation in real-world settings. Drawing on our experiences as frontline pharmacists, this study provides practical observations from a tertiary hospital in Northwestern China, examining dispensing processes before and after traceability code integration. We hope these findings contribute to international dialogue on pharmaceutical management, helping to advance medication safety, governance, and equitable access in healthcare systems worldwide.

To combat counterfeit and diverted drugs, the Chinese government will mandate traceability code scanning for all reimbursed prescriptions beginning 1 July 2025. The visual illustrates the supervised traceability workflow: from manufacturing with code assignment, through distribution to hospitals and pharmacies, where pharmacists conduct prescription review, dispensing, and code scanning. Patients can verify authenticity via mobile applications. While this “one drug, one code” system enhances pharmaceutical safety and transparency, its implementation faces challenges in China’s large and unevenly developed regions.Flowchart illustrating pharmaceutical supervision. The top row shows processes from ingredient supplier to hospital/pharmacy, including manufacturing and assigning drug traceability codes. The bottom row depicts prescription issuance, review, dispensing, code scanning, and patient verification via app, overseen by a regulatory body.

To combat counterfeit and diverted drugs, the Chinese government will mandate traceability code scanning for all reimbursed prescriptions beginning 1 July 2025. The visual illustrates the supervised traceability workflow: from manufacturing with code assignment, through distribution to hospitals and pharmacies, where pharmacists conduct prescription review, dispensing, and code scanning. Patients can verify authenticity via mobile applications. While this “one drug, one code” system enhances pharmaceutical safety and transparency, its implementation faces challenges in China’s large and unevenly developed regions.