Big Pharma’s Bet on China Biotech Is a Rare Trade Bright Spot

At a time when geopolitical tensions are hitting industries from semiconductors to electric vehicles, pharmaceutical dealmaking has become a rare bright spot for collaboration between China and the West. Industry watchers are holding their breath to see how the incoming Trump administration changes that.

So far this year, seven major pharma companies have licensed or acquired molecules for new drugs originating from China, spending a total of at least $3.15 billion in upfront cash and equity, according to DealForma. Others are boosting their on-the-ground presence in the hope of finding diamonds in the rough.

Every major drugmaker’s head of ...