AstraZeneca invests in Shanghai’s cell therapy manufacturing hub

CHINA—AstraZeneca has announced its plans to establish a commercial cell therapy manufacturing facility and innovation center in Shanghai, marking a key milestone in the British pharmaceutical company’s expansion strategy in China.

 The facilities will position AstraZeneca as the first multinational pharmaceutical firm in the country to operate comprehensive cell therapy capabilities, covering from early research stages to large-scale commercial manufacturing.

The announcement fulfils part of a USD15 billion investment pledge that AstraZeneca outlined earlier this year during CEO Pascal Soriot’s visit to China with UK Prime Minister Keir Starmer.

The investment commitment, which runs through 2030, includes enhancements to cell therapy and radioconjugate capabilities, new manufacturing facilities, and an expanded research and development footprint.

Dual-facility approach

The new production hub will be located in the Lin-gang Special Area of the Shanghai Free Trade Zone, where it will supply autologous CAR-T therapies to China and other Asian markets.

The facility will produce AZD0120, a BCMA and CD19 dual-targeting CAR-T therapy that AstraZeneca acquired through its USD1 billion purchase of Gracell Biotechnologies.

A complementary research and development center in the Zhangjiang High-Tech Park will focus on early research, development of viral vector and plasmid constructs, analytical testing, clinical batch production, and registration support.

Iskra Reic, AstraZeneca’s executive vice president of international, highlighted Shanghai’s position as a leading biopharmaceutical hub with a robust pathway from foundational research to advanced manufacturing.

Strategic timing

AstraZeneca’s expansion comes as China recently included several CAR-T products in its first government-led formulary, recommending high-cost innovative drugs for commercial insurance.

While not part of the state-funded national insurance scheme, the new reimbursement list is expected to facilitate broader commercial coverage of costly but high-clinical-value treatments.

Additional manufacturing investment

AstraZeneca also announced plans to build a factory in Guangzhou to produce radioconjugates, including a radiopharmaceutical based on actinium-225 for treating prostate cancer.

The drug, acquired through AstraZeneca’s 2024 purchase of Fusion Pharmaceuticals, is expected to report phase 2 data in previously treated metastatic castration-resistant prostate cancer this year.

Growing presence

With nearly USD6.7 billion in local revenue in 2025, AstraZeneca is the largest foreign pharmaceutical company in China, where it already operates two global research and development centers and four manufacturing bases.

The company has actively invested in Chinese innovation, including its 2023 acquisition of Gracell, the first full acquisition of a Chinese biotech by a multinational pharma.