Guotai Haitong: Recognized for China's domestic R&D capabilities and market, providing cutting-edge treatment solutions for patients in China and worldwide

Guotai Haitong releases a research report stating that during the UK Prime Minister’s visit to China, AstraZeneca announced plans to invest $15 billion in China to provide cutting-edge treatment options for patients in China and around the world. The bank believes that this investment once again demonstrates that, under the continued validation of China’s engineering talent dividend and biopharmaceutical capabilities, MNCs are interested in and recognize China’s domestic R&D capabilities and the Chinese market.

Guotai Haitong’s main points are as follows:

During the UK Prime Minister’s visit to China, AstraZeneca announced plans to invest $15 billion in China

Recently, UK Prime Minister Rishi Sunak embarked on a four-day visit to China, accompanied by over 50 corporate executives and institutional representatives. Among them, AstraZeneca’s Global CEO Pascal Soriot and GSK Chairman Emma Walmsley visited China as representatives of the UK pharmaceutical industry. This investment aims to expand drug manufacturing and R&D. The investment will leverage China’s outstanding scientific strength, advanced manufacturing capabilities, and the China-UK healthcare ecosystem collaboration advantages to provide cutting-edge treatment options for patients in China and around the world.

The $15 billion investment mainly focuses on cell therapy + RDC drugs

Given China’s advanced scientific level in the field of new modalities, this investment will significantly enhance the company’s capabilities in cell therapy and radioligand drugs, promoting its extensive and diversified R&D pipeline to help patients with cancer, blood diseases, and autoimmune diseases. These investments cover the entire value chain, from drug discovery and clinical development to manufacturing, and through collaborations with leading biotech companies (including AbelZeta, CSPC Pharmaceutical Group, Luye Pharma, Gacera, and Shengnuo Biotech), will bring Chinese innovation to the world. Based on the acquisition of Gracell Biotechnologies in 2024, AstraZeneca will also become the first global biopharmaceutical leader with end-to-end cell therapy capabilities in China.

Specific uses of the investment

1. Global strategic R&D centers in Beijing and Shanghai; 2) Expansion of existing manufacturing bases in Wuxi, Taizhou, Qingdao, and Beijing, along with the establishment of new manufacturing bases; 3) Expand the high-skilled workforce in China to over 20,000 people.