China's Pharma Industry Surpasses Trials, Threatens Western Drug Monopoly

China has become the leading global source of experimental medicines, especially in oncology, bispecific antibodies and gene‑therapy treatments. According to the Asian Pharmaceutical Industry Report 2026 by ING, the Asia‑Pacific region now generates half of all new drug molecules and accounts for 90% of growth in experimental therapies. State‑driven investment now represents 75% of biotech funding in Asia, and licensing agreements worth €43.3 billion were signed in the first two months of the year, a five‑year record.

China’s share of original compounds has risen from 4% in 2014 to 33% today, and it now leads in global first‑approval submissions at 39%, close to the United States' 41%. Analysts predict that the next dominant multinational pharmaceutical headquarters will be in Beijing, while Europe risks slipping to the third‑largest market globally.

The rapid expansion is driven by massive capital injection, talent repatriation and regulatory deregulation, positioning China as the world’s most dynamic clinical‑science incubator.