Chinese Biopharma Stocks Rise Amid U.S. Consideration of Continued Drug Licensing Deals
Chinese biopharmaceutical stocks rose on Monday, with Innovent Biologics and Akeso seeing gains of around 7% and 8%, respectively. The rise followed a report that the U.S. is considering rules allowing most drug licensing deals between American companies and Chinese firms to continue, excluding those involving pathogens or weaponizable biotechnology. The proposed approach would differentiate pharmaceuticals from sectors like AI and semiconductors, where China faces tighter restrictions. In 2025, nearly half of U.S. overseas drug licensing deals were with Chinese companies, according to GlobalData. Nomura also reported that $110 billion in out-licensing deals occurred between Chinese firms and foreign partners in the first half of 2026. Despite geopolitical tensions, investors appear increasingly confident in China's biopharma sector due to its strong value proposition for novel drug development. The Hang Seng Biotech Index rose over 5%, reflecting broader optimism.
Tickers: $PFE
Topics: biopharma stock market reaction U.S.-China trade relations