Pentagon Adds Wuxi AppTec to BIOSECURE List; Could Lead to Share Loss if Designa

研报英文原文证据摘录

Pentagon Adds Wuxi AppTec to BIOSECURE List; Could Lead to Share Loss if Designa

Flash Note Health Care | Healthcare Technology & Distribution

June 09, 2026

Charles River Elizabeth Anderson Ayush Vyas 212-446-5632 646-551-8512

CRL | $186.26 elizabeth.anderson@evercoreisi.com Ayush.Vyas@evercoreISI.com

Outperform | Target Price/Base Case: $220.00 Joanna Zhou Amir Farahani, CFA

Company Update 212-446-5659 646-551-8518

joanna.zhou@evercoreisi.com Amir.Farahani@evercoreisi.com

Pentagon Adds Wuxi AppTec to BIOSECURE List; Could Lead to Share Loss if

Designation Sticks this Time

Yesterday evening (June 8), Wuxi AppTec was added to the Pentagon’s 1260H list that designates the

company as a “Chinese military company.” This list is part of the BIOSECURE Act, which bars US

government agencies and federal grant recipients from contracting with organizations on the 1260H list

(purely commercial use remains legal).

Wuxi AppTec said that its inclusion on the list was a mistake and it would challenge the designation.

Our Take: As we highlighted in our recent note on Chinese CROs, Wuxi AppTec’s inclusion on this list is

a sign of heightened geopolitical tensions (it was previously briefly put on the list last year before being

removed) given the US Government’s goal of decoupling the US biopharma industry from Chinese

suppliers.

The Rule goes into effect in 60 days, and with the BIOSECURE Act there is no formal process to remove

a company from the list, though political pressure can be influential as we saw in February 2026 when

Wuxi AppTec was briefly added and then removed.

Overall, we will keep an eye on political negotiations to see if this decision too is reversed, but if it holds,

we would expect Wuxi to see some share loss from US biopharma companies and manufacturers who