AstraZeneca invests $2.5 billion in Beijing's drug research

AstraZeneca announced it will invest $2.5 billion in research and manufacturing in Beijing. This investment will take place over the next five years as part of a partnership with the local government. The deal also includes collaborations with three biotech companies in China. The investment comes after AstraZeneca faced challenges, including backing out of a planned factory expansion in the UK and the detention of several employees in China, including the company's president in the country. Authorities were looking into data privacy issues and the importation of unlicensed medications. AstraZeneca aims to enhance early-stage research and clinical development, supported by a new AI and data science lab. The company has a history of investment in China, having spent nearly $10 billion on acquisitions there, including Gracell Biotechnologies last year. CEO Pascal Soriot emphasized the importance of Beijing’s life sciences ecosystem and the talent available for collaboration. The new research and development center will be AstraZeneca's sixth globally, joining other centers in the US and Europe. Additionally, the company mentioned that the investigation concerning its president involved unpaid import taxes, which could result in significant fines. This situation echoes past issues within the pharmaceutical industry in China, such as a notable bribery case involving AstraZeneca's UK rival, GSK.