In a significant move to deepen economic ties, British pharmaceutical leader AstraZeneca has pledged a substantial $15 billion investment into China by the year 2030. The announcement was made public on Thursday during Prime Minister Keir Starmer's official visit to Beijing, marking the most substantial commercial agreement of his diplomatic trip as the United Kingdom actively seeks to fortify its relationship with China.
Starmer Hails 'Productive' Trade Talks and Major Investment
Prime Minister Keir Starmer welcomed the colossal financial commitment, emphasising its positive implications for the United Kingdom. "AstraZeneca's expansion and leadership in China will help the British manufacturer continue to grow - supporting thousands of UK jobs," Starmer stated. This strategic investment in China, which serves as AstraZeneca's second-largest global market, proceeds despite recent corporate challenges, including the 2024 arrest of its China president. It also follows a separate, massive $50 billion manufacturing agreement in the United States last year, underscoring the company's ambitious worldwide strategy.
Biggest Investment in China Yet
AstraZeneca's Chief Executive Officer, Pascal Soriot, confirmed this represents the company's single largest investment in China, where it has maintained operations for over three decades, establishing itself as the biggest foreign drugmaker in the country. China contributes approximately 12% to AstraZeneca's total revenue. Under Soriot's leadership since 2012, the firm has channelled billions into the Chinese market, including a $2.5 billion research and development hub in Beijing launched last March, complementing a Shanghai site opened in 2024.
The pharmaceutical giant clarified that this new $15 billion deal is designed to significantly enhance its capabilities in pioneering therapeutic approaches, notably cell therapy and radioconjugates, areas where China is acknowledged as a global leader. Building upon its 2024 acquisition of Gracell Biotechnologies, AstraZeneca announced it will become the first global biopharmaceutical entity with comprehensive, end-to-end cell therapy capabilities within China.
The investment will also accelerate the development of novel treatments targeting cancer, blood disorders, and autoimmune diseases. Furthermore, it will facilitate the expansion of key manufacturing sites located in Wuxi, Taizhou, Qingdao, and Beijing. These facilities currently supply medicines not only across China but also to an impressive 70 international markets worldwide. This expansion is projected to increase AstraZeneca's workforce in China to more than 20,000 employees.
AstraZeneca Partners with China's Booming Biotech Sector
China's escalating role as a vital source for new drug assets has become a central focus for the global pharmaceutical industry, as noted by executives at the recent JPMorgan Healthcare conference. AstraZeneca has proactively engaged with this trend, signing more than a dozen collaborative agreements with innovative Chinese biotech firms. These partnerships, involving companies such as AbelZeta, CSPC, Harbour BioMed, Jacobio, and Syneron Bio, are focused on developing early-stage experimental drug candidates.
Aradhana Sarin, AstraZeneca's Chief Financial Officer, remarked in November that the company's growth in China has remained "strong throughout the year." This steadfast commitment contrasts with the actions of some rival drugmakers, who have divested Chinese assets in response to challenges including supply chain disruptions, an economic slowdown, and intense competition within China's centralised drug procurement programme.
