WuXi AppTec shares rise after Pentagon drops it from military blacklist
WuXi AppTec's stock gained after the US deputy secretary of defence removed the Chinese biotech group from the Pentagon's list of alleged "Chinese military companies".
The delisting was confirmed in a notice published in the Federal Register. Its shares jumped in Tuesday trading.
WuXi AppTec had been named on the list of firms Washington alleges have ties to China’s military, a designation that weighed on investor sentiment given the company’s heavy reliance on US customers; about 72% of its revenue came from the US market in 2025.
The reversal is being seen as a relief for a company caught in broader US-China friction over biotechnology, and it may encourage other mainland firms contesting similar US blacklist designations.
Why it matters for markets: The decision removes a regulatory overhang that had pressured WuXi AppTec and related China biotech names, and could ease concerns weighing on Hong Kong-listed and Shanghai-listed Chinese healthcare stocks more broadly, as investors reassess the risk of US restrictions on firms seen as linked to the Chinese military.
Sources: SCMP Business; Nikkei Asia