Trade association survey shows 79% of US biotech companies contract with Chinese firms

(Reuters) - A recent survey carried out by a Washington-based trade association representing biotechnology companies found that 79% of 124 respondents have at least one contract or product agreement with a manufacturer based in China or owned by China.

More than two-thirds of the survey respondents are small, emerging biotechs with fewer than 250 employees, according to the survey by the Biotechnology Innovation Organization (BIO) detailed to Reuters on Wednesday.

The group conducted the survey as bills move forward in both the U.S. Senate and House of Representatives that could restrict business with Chinese biotech companies like BGI and WuXi AppTec on national security grounds.

BIO earlier this year had come out against the legislation and then later softened its stance, saying it wanted to work with legislators on the bills. WuXi AppTec, a China-based contract manufacturer whose business is largely from the United States, dropped out of BIO earlier this year.

The trade group said 74% of the survey respondents have contracts with Chinese companies for pre-clinical and clinical services.

Thirty percent have contracts with China-linked companies for manufacturing approved medicines.

BIO said respondents estimated it would take up to eight years to switch manufacturing partners, with the most advanced programs taking the longest time.

The trade group said millions of U.S. patients would be harmed unless there is "a comprehensive and thoughtful decoupling from China-based or China-owned biomanufacturing."

BIO declined to provide further comment.

(Reporting By Deena Beasley in Los Angeles and Karen Freifeld in New York; Editing by Chris Reese)