US committee sounds the alarm: GenScript under pressure over China connections

US committee sounds the alarm: GenScript under pressure over China connections

The US House of Representatives China Committee has sent a worrying letter to the directors of the FBI and national intelligence. This paper critically examines GenScript Biotechnology 1548's work with US companies given its ties to China. Committee Chairman John Moolenaar and Ranking Member Raja Krishnamoorthi are calling for up-to-date intelligence and law enforcement information on GenScript and its subsidiaries such as Bestzyme, Legend LEGN and ProBio. This request is not the first; There was a similar request last year regarding the Chinese Communist Party's influence on GenScript's operations.

The situation could have a significant impact on the company. The letter, sent during Joe Biden's presidency last June, has already caused GenScript shares to fall as much as 25% in Hong Kong. Politicians are warning about the threat posed by Contract Development and Manufacturing Organizations (CDMOs) in China. There are concerns that these companies could steal U.S. companies' intellectual property and bolster China's biotechnology capabilities.

Growing Concerns About Intellectual Property

US lawmakers are therefore urging pharmaceutical and healthcare companies to reduce their dependence on such companies. Particularly important is the current letter, which indicates that GenScript has made significant new investments since the initial letter. These developments raise questions as risks to U.S. companies' intellectual property remain. GenScript was founded in New Jersey in 2002 and also operates facilities in Nanjing, China. The company employs over 5,500 people and serves more than 200,000 customers in over 100 countries and regions.

GenScript is a leading provider of research and development (R&D) and manufacturing technologies and services in the life sciences. The company plays a central role in supporting the global gene and cell therapy community. To this end, GenScript offers a comprehensive portfolio of services, including DNA synthesis, oligonucleotide synthesis, peptide synthesis, and mRNA production as well as the development of non-viral carrier substances and antibodies.

Contributions to biotechnology

GenScript's solutions are specifically designed to support early research and discovery efforts in pharmaceutical, biotechnology and academic research. The company delivers reliable, high-quality and innovative tools that make significant contributions to the further development of gene and cell therapies as well as to broad life science research. GenScript itself has not yet responded to requests for comment on the current situation and the re-examination.