Exclusive US lawmakers updated their links to Genscript and China
By Karen Freifeld
(Reuters) – The U.S. House of Representatives Committee on China sent a letter to directors of the FBI and the National Intelligence Agency on Tuesday, with greater concern about Genscript Biotechnology’s cooperation with U.S. companies, given its ties to China.
In a letter seen by Reuters, committee chairman John Moolenaar and ranking member Raja Krishnamoorthi asked for the latest intelligence and law enforcement information, including global biotech companies and branches Bestzyme, Legend and Probio.
Last year, lawmakers asked for a similar briefing to see if the Chinese Communist Party had an impact on Genscript’s actions and its role in advancing China’s biotechnology capabilities.
Genscript shares fell 25% in Hong Kong after a message from a letter sent by former President Joe Biden administration last June.
In recent years, U.S. lawmakers have highlighted the threat of contract development and manufacturing organizations operating in China. Legislators worry that companies that provide drug development and manufacturing services to pharmaceutical and biotech companies may steal intellectual property and help improve China’s capabilities and try to push our pharmaceutical and healthcare companies to reduce their reliance on them.
“Genscript has made significant new investments since the first letter,” lawmakers said in a letter to FBI Director Kash Patel on Tuesday. “In light of this and other recent developments, we will benefit from discussions on relevant national security issues.”
Genscript was founded in New Jersey in 2002, and the facility also operates in Nanjing, China. It provides customized gene synthesis and other services to companies and U.S. government entities. The letter noted that Genscript raised “the potential risks of intellectual property rights of American companies”, suggesting it could be stolen from American companies.
The company did not immediately respond to a request for comment for the re-examination. Last year, a Genscript spokesman told Reuters it “does not take any government direction.”
Representatives of Patel and Gabbard did not immediately respond to a request for comment.
Genscript has more than 5,500 employees and more than 200,000 customers in more than 100 countries and regions.
(Reported by Karen Freifeld in New York; Editors of Chris Sanders and Matthew Lewis)