China detains AstraZeneca staff over data privacy breaches
- Five AstraZeneca employees have been detained by Chinese police over data privacy and import breaches.
- The investigation is focused on the marketing of unlicensed cancer drugs and the collection of patient data.
- This incident reflects China's ongoing anti-corruption efforts in the pharmaceutical sector and may impact AstraZeneca's operations in the country.
Chinese authorities have detained five employees of AstraZeneca, including current and former staff, as part of an investigation into potential violations of data privacy and the importation of unlicensed medications. This investigation, which began earlier this summer, focuses on the marketing of cancer drugs by AstraZeneca's oncology division. The Shenzhen police are particularly scrutinizing the importation of a liver cancer treatment that has not received approval for distribution in mainland China. The investigation is part of a broader anti-corruption initiative by the Chinese government, which has intensified efforts to combat kickbacks and misuse of public funds within the pharmaceutical and healthcare sectors. AstraZeneca, which employs around 16,000 people in China and generates approximately $6 billion in revenue from the country, is facing scrutiny amid rising geopolitical tensions. The company has previously expressed interest in expanding its presence in China, identifying it as a key market for growth, especially after acquiring Alexion for $39 billion in 2020. However, AstraZeneca has also considered the possibility of spinning off its Chinese operations to mitigate risks associated with increasing tensions between China and the United States. As the investigation unfolds, AstraZeneca has stated that it is aware of the situation involving its employees but has not provided further details. The outcome of this investigation could have significant implications for the company’s operations in China and its overall strategy in the region.