Summary of Key Points
In 2025, Astellas' business in China achieved a growth rate of 29.6%, leading the global performance and becoming one of the company's most critical drivers of growth. This success is backed by three key factors:
1. The introduction of innovative drugs that address unmet clinical needs in China, such as the CLDN18.2 monoclonal antibody for gastric cancer and non-hormonal therapies for menopausal women.
2. A cultural transformation focused on "win-win" collaboration, which has broken down departmental barriers and enhanced team effectiveness.
3. The localization of the entire value chain from research and development to production, including the establishment of China's first innovative R&D center and the world's first CLDN18.2 segmented production facility. This shift in strategy has evolved from treating China merely as a market to co-creating global innovation with Chinese partners.
In the future, Astellas will continue to prioritize innovation and collaboration, deeply integrating into China's pharmaceutical innovation ecosystem.
Detailed Analysis
1. Performance Explosion: Innovative Drugs Solving Patient Needs
Astellas' rapid growth in China is due to its focus on addressing specific medical challenges:
- Gastric Cancer: China accounts for 40% of global gastric cancer cases, yet treatment options were limited. The CLDN18.2 monoclonal antibody, approved at the end of 2024, is the first new targeted therapy for gastric cancer worldwide. It not only extends patient survival but has also been included in the highest-level recommendations of China's authoritative cancer treatment guidelines (CSCO), providing reassurance to both doctors and patients.
- Women's Health: Among China's 200 million menopausal women, 80% suffer from hot flashes and night sweats, yet the use of hormonal therapies is only 2%-7% due to concerns about side effects. Astellas has introduced non-hormonal therapies (NK3 receptor antagonists) through the "Hong Kong-Macao Medical Devices Access Program," which effectively alleviate these symptoms without relying on hormones. The company has also raised awareness about menopausal health, advocating for more inclusive workplace practices that help women manage their conditions scientifically.
These innovative drugs are not just additional offerings but solve real clinical problems, enabling them to quickly gain market traction.
2. Cultural Transformation: Moving from Siloed Departments to Teamwork
A common issue in large multinational pharmaceutical companies is the lack of communication between departments (e.g., R&D and sales). Astellas has addressed this by promoting a "patient-first" approach:
- Shared Goals: The new CEO, Zhao Ping, has fostered a culture centered on mutual benefit, encouraging frequent internal discussions to ensure all departments work towards the same goal of patient well-being. For example, R&D teams now collaborate with sales to understand patient needs, and sales feedbacks are integrated into decision-making.
- Immediate Results: This cultural change has been successful, with Astellas being named an "Outstanding Employer in China" for two consecutive years, enhancing team cohesion and enabling the company to maintain high growth despite industry trends of slowing growth.
3. Value Chain Localization: From Selling Drugs to Manufacturing in China for Global Use
Previously, Astellas merely brought foreign drugs to China for sale. Now, it has shifted to conducting R&D and production in China, with implications for the global market:
- First Chinese Innovative R&D Center: Established in 2025, this center complements those in Tokyo and San Francisco, allowing Chinese scientists to participate in early-stage research. For instance, 30% of the CLDN18.2 trial participants were from China, and Chinese experts served as the lead researchers for global trials, with local data directly used in global registration processes.
- World's First CLDN18.2 Segmented Production: By producing parts of the drug in China, Astellas can deliver treatments more quickly to patients and has pioneered a new model of cross-border CDMO (Contract Development Manufacturing Organization) collaboration, further localizing its operations.
These steps mark Astellas' completion of a comprehensive value chain from R&D to sales and trade, transforming it from an outsider to a local player with a deep presence in China.
4. Strategic Upgrading: From Profitting in China to Collaborating on Innovation
Astellas' strategy has shifted significantly:
- From a Global Market to Global Collaboration: China is no longer just a sales market but a key partner for innovation. For example, it invested $1.34 billion to acquire global rights (excluding Hong Kong, Macao, and Taiwan) for an antibody conjugate drug, enabling Chinese innovative drugs to reach international markets through Astellas.
- Increasing Corporate Attention to China: In 2025, four senior executives from the headquarters visited China; in 2026, three visited in just three months. This reflects the company's confidence in China's potential, as evidenced by its 29.6% growth rate, which has led to increased investment in initiatives like R&D centers and segmented production.
This change reflects China's growing capacity in pharmaceutical innovation, positioning Astellas as a leader in this field.
5. Future Directions: Innovation and Collaboration as the Way Forward
Astellas' future focus is clear:
- Innovation as the Core: China is a central market in the company's CSP2026 (five-year strategy). Zhao Ping emphasizes that innovation is essential for sustained growth by addressing unmet patient needs, with plans to expand into areas such as oncology, women's health, and ophthalmology.
- Deepening Collaboration: With Chinese policies supporting biomedicine as a strategic industry, there are increasing opportunities for licensing local innovative drugs. Astellas aims to streamline the process from patient need identification to product delivery, fostering closer partnerships with domestic companies and research institutions. Over the next three to five years, the integration of foreign and Chinese innovators will reach new heights.
In summary, Astellas' success in China is a result of aligning its strategies with China's pharmaceutical development momentum: addressing real clinical needs through innovation, improving efficiency through cultural transformation, and establishing a strong presence through localized value chain operations. This represents a significant milestone for both the company and China's pharmaceutical industry, suggesting that more innovative drugs will be available to patients more quickly, bringing tangible benefits.