Pills, Power, and Politics: The Geopolitical Fight for Biopharma Dominance
Eric Rambeaux
Dec 4th, 2025
Over the last 12 to 18 months, China rising leadership in biopharma has triggered a lot of discussions and raised a lot of concerns.
This raise is clearly challenging the entire ecosystem. Money that support innovation may follow the silk route to Beijing away from Boston, Paris or London. Entrepreneurs and Biotech exec are concerned. Rightly so!
But, biopharma is not just a business. It is also a proxy for global influence. US lead. China seems to now be on the way to win this battle to.
Here are some facts:
Fact N°1: China’s biopharma ascent is a geopolitical playbook in action:
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2000s: Domination of the generic drugs and APIs (e.g., 40% of global API supply).
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2010s: Emergence of strong and efficient CROs/CDMOs to serve Western pharma (e.g., WuXi Biologics market cap).
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2020s: Out-innovation of the West with faster, cheaper R&D (e.g., 30% of global clinical trials).
Fact N° 2: Developing a new drug costs $2.6B on average (Tufts, 2024). In China? A fraction of that.
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Lab costs: 50-70% lower than the US (McKinsey).
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Clinical trials: Faster patient recruitment (e.g., 3 years vs. 8 in the West).
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Regulatory agility: Fast-track approvals for high-potential therapies.
Chinese biotechs can test more hypotheses, fail faster, and pivot cheaper. A Darwinian advantage in an industry where 90% of drugs fail.
Fact N°3: Western pharma companies are more and more inking deals with China
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AstraZeneca & CSPC Pharmaceuticals (2025)
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Novartis & Shanghai Argo Biopharma (2024)
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Boehringer Ingelheim & Duality Biologics (2023)
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And many more
China’s biopharma is rewriting the rules of drug development and innovation financing. While Europe and US focus on high-cost R&D,
Chinese firms are leveraging engineering-driven iteration, turning drug discovery into a puzzle to be solved. The result? 2-3x faster development cycles and costs that undercut global competitors.
This not about science.
This is not about innovation.
This is not even about patient outcomes.
This is a geopolitical shift. With 30% of global innovative drug candidates now in Chinese clinical trials (up from 4% in 2018), the balance of power in biopharma is tilting east.
China’s rise from generic API supplier to innovation powerhouse is a masterclass in strategy: leverage industrial policy, dominate the supply chain, attract global capital, and turn scientific excellence into strategic advantage. The next (current?) Cold War will be fought in petri dishes, rats and clinical trials.
In the US, we hear the sound of growing voices warning about China’s rise in biopharma even suggesting US companies to reduce reliance on China API, capabilities (e.g. CDMOs), or assets.
In Europe we also hear a sound: the sound of silence….
References:
https://www.aspi.org.au/report/aspis-two-decade-critical-technology-tracker/
McKinsey : vision 2028 how China could impact the Global biopharma industry
https://www.ft.com/content/3bfe96d3-593c-498a-9da4-0c1ed359ff74
#Healthcare #GlobalTrade #BiotechWars #Biotech #China #innovation