Summary
China is making more deals to provide its drugs and medical products, suggesting a shift in global biotech leadership from the U.S. to China. Chinese biotech companies have increased their share of global licensing deals significantly, and this trend comes as the U.S. cuts funding for biomedical research. This shift is raising concerns about maintaining U.S. leadership in the biotech industry.
Key Facts
- China has been developing its biopharmaceutical industry for the past ten years.
- Chinese drugs now make up nearly 40% of licensing deals, up from less than 3% five years ago.
- Major companies like AstraZeneca and GSK have invested over $150 billion in Chinese biotech deals in the past five years.
- GSK has about 10% of its drug research focusing on Chinese sources.
- The U.S. is cutting federal funding for biomedical research, including potential reductions to the National Institutes of Health's budget.
- The Biosecure Act could limit Chinese biotech companies from U.S. government-funded research.
- The U.S. might miss out on advances if it doesn't keep up with global biotech progress, especially in light of upcoming patent expirations.
