Go Global Or Stay Home? Geopolitics, Funding Crunch May Force China Biotechs To Choose

Having been used to navigating across the Pacific with few obstacles, biotech companies taking advantage of Chinese resources and US innovation now face ballooning tensions between the two countries, which along with narrowing funding channels will increasingly force them to decide where to place their bets in the world’s largest economies.

USChinabalance
'Dual Nationality' biotechs face increasing need to balance factors in US and China • Source: Shutterstock

Located strategically in hubs of innovation in the US, meanwhile stationing most of their development and regulatory personnel in central cities in China, dual-headquartered China-US biotechs have been riding high thanks to their marriage of American innovation and funding with Chinese speed and cost of development.

The strategic approach started around 2015, when Chinese biotechs began flocking to the US to raise funds through initial public offerings on Nasdaq, while around 2018 such firms kicked off the filing of US marketing approvals for

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