WORCESTER—A Chinese pharmaceutical company that has paused construction of a $300 million biomedical facility on Belmont Street said Tuesday it is not a threat to the United States.
“Our company does not pose a risk to U.S. national security or business interests, and should not be included in the bill,” a statement from WuXi Biologics to the Worcester Guardian reads.
The statement refers to legislation filed in Congress last week that would place heavy restrictions on Chinese biotech.
The bill, called the Biosecure Act, mentions WuXi Biologics by name, and states that it “prohibits federal contracting with certain biotechnology providers connected to foreign adversaries, with exceptions.”
A company spokesperson told the Worcester Guardian that WuXi Biologics remains committed to the Worcester project.
She said the pause in construction was due to a design review “in order to optimize space utilization.”
The spokesperson did not provide a timeline on when construction would resume.
The Biosecure Act would set a Jan. 1, 2032, deadline for U.S. companies to detach from some Chinese biotech companies, including WuXi Biologics.
The WuXi Biologics statement says it is “a publicly listed company that maintains its own management team and shareholders and is not controlled nor influenced by a government or political party.”
The statement continues, “We remain committed to supporting our clients globally and to continuing to operate with the highest standards of compliance in the regulated industry in which we operate.”
The Biosecure Act would impose restrictions on executive agencies, preventing them from acquiring biotechnology equipment or services from designated “biotechnology companies of concern,” and in addition to WuXi, names BGI, MGI and Complete Genomics.
These restrictions extend to contracts that involve the use of such equipment or services and apply to agencies’ use of loan or grant funds. Biotechnology companies of concern are defined as entities subject to the jurisdiction of a foreign adversary and involved in activities that pose a risk to U.S. national security.
While the bill allows for waivers under specific conditions, it aims to safeguard national security interests by limiting the involvement of certain biotechnology firms in government procurement and contracting activities.
An earlier version of the Biosecure Act sponsored locally by U.S. Reps. Jake Auchincloss and Seth Moulton specifically mentions that “Chris Chen, CEO of WuXi Biologics, was previously an adjunct professor at the PLA’s Academy of Military Medical Sciences.”
A spokesperson for Auchincloss told the Worcester Guardian, “The congressman is reviewing the new version introduced last Friday” before deciding if he will sign on. Moulton remains a sponsor of the bill.
Meanwhile, the WuXi Biologics spokesperson said the company is proud of its work in Worcester and touted the 400 jobs it has created at other sites in the U.S.
“We remain fully committed to this facility and to our presence in the City of Worcester, where we are proud to be a part of the region’s growing biomanufacturing and life sciences community,” the statement reads.
The facility, when fully operational, is expected to add 200 new jobs on the campus of The Reactory, which was developed by the Worcester Business Development Corporation.
With the expansion, the project’s cost is expected to reach $300 million, an increase from the original $60 million investment.
The news of WuXi Biologics’ construction stoppage in Worcester comes on the heels of several efforts to limit U.S. business relations with China, including the forced sale of the popular social media platform TikTok.
That law, passed by Congress and signed into law by President Joe Biden, is the subject of a lawsuit from TikTok alleging it violates free speech among other issues.
WuXi Biologics bills itself as “a leading global Contract Research, Development and Manufacturing Organization (CRDMO) offering end-to-end solutions that enable partners to discover, develop and manufacture biologics – from concept to commercialization – for the benefit of patients worldwide.”
WuXi Biologics negotiated a 20-year tax increment financing agreement with the city of Worcester in 2020 that would save the company millions in property taxes.
Kim Ring fell into journalism in the 1980s as a correspondent at the Telegram & Gazette and eventually left her initial career to pursue reporting full-time. In her years of writing, she has penned articles for several Massachusetts-based publications, taking a brief hiatus to work as chief of staff for a state representative. She can be reached at Kimringwrites@gmail.com
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