Key facts
- Chinese biotechs have been involved in approximately 6 out of 26 major pharma licensing and acquisition deals over the past 16 months.
- These deals involving Chinese firms accounted for nearly one-third of the total headline value.
- Merck has signed two separate deals worth up to $2 billion each with Chinese firms Hansoh Pharma and Hengrui.
- Pfizer licensed 3SBio’s cancer candidate SSGJ-707 for $1.25 billion upfront and up to $4.8 billion in milestones.
- AstraZeneca has engaged in two significant deals with China-based CSPC, one for chronic disease research worth up to $5.3 billion and another for obesity drugs worth up to $18.5 billion.
- More drugs made their market debut in China than anywhere else in 2025, according to Citeline’s Pharmaprojects database.
Chinese biopharmaceutical companies are increasingly securing significant global partnerships, signaling a shift in the industry's R&D landscape. AstraZeneca's equity investment in Summit Therapeutics, which is advancing Akeso's cancer drug ivonescimab outside China, underscores this trend. This follows a pattern of major deals involving Chinese firms, with Merck alone signing two agreements worth up to $2 billion each for obesity and heart drug candidates from Hansoh Pharma and Hengrui, respectively.
Over the past 16 months, Chinese-domiciled biotechs have been part of roughly 6 out of 26 major pharmaceutical licensing and acquisition deals, contributing nearly one-third of the total headline value. These collaborations span various therapeutic areas, including oncology, cardiology, and obesity.
Recent significant deals include Pfizer's $1.25 billion upfront licensing of 3SBio's cancer candidate SSGJ-707, with potential milestones reaching $4.8 billion. AstraZeneca also entered into a chronic-disease research pact with CSPC worth up to $5.3 billion and a separate obesity drug deal with the same company valued at up to $18.5 billion. AbbVie licensed RemeGen’s RC148 for advanced solid tumors for up to $5.6 billion, while Sanofi licensed rovadicitinib from Sino Biopharm’s Chia Tai Tianqing unit for up to $1.53 billion. Lilly also expanded its collaboration with Insilico Medicine for up to $2.75 billion.
According to Citeline’s Pharmaprojects database, China surpassed the U.S. in 2025 for the number of drugs making their market debut. Fangning Zhang, a partner at McKinsey, noted that China now combines leadership in next-generation modalities with R&D velocity at lower costs than industry norms, calling Asia "biopharma’s emerging epicenter." Tom Barsha, head of Asia Pacific M&A at BofA Securities, predicts the total value of China licensing-out deals could double in the next 18 to 24 months.