For Chinese biotechs, the out-licensing business is scorching hot. Could geopolitics rain on their parade?

Last year was the first time that the number of out-licensing deals in China exceeded in-licensing deals, indicative of a burgeoning innovative biotech scene that’s attracting cross-region interest. Chinese biotechs executed 63 cross-region out-licensing deals in 2023, a record for the industry and an 80% increase compared to 2022, according to data from China-based life science advisory firm YAFO Life Sciences. In-licensing deals fell by 56% over the same period, from 59 to 26, the data show.