'China has leapfrogged the US': Aussie biotechs urged to look beyond the west
Melbourne-based VC Boson Ventures has raised $10 million of a target $30 million fund and is positioning itself as a bridge between Australia and China.
Venture capital firm Boson Ventures is betting that Australian biotechnology startups are missing out on one of the world's fastest-growing pharmaceutical markets by overlooking China's rapid transformation into a global innovation hub.
The Melbourne-based firm, which recently received a $300,000 grant from LaunchVic to establish its Victorian operations, is positioning itself as a bridge between Australian deep tech companies and China's burgeoning biotech ecosystem – a sector that has evolved dramatically from dependency on Western drugs to becoming a major player in global pharmaceutical innovation.
"Just five years ago, China was dependent on Western companies for access to leading drugs. Today, it's investing heavily in research and development to create its own therapeutics," said Betty Zhang, invetment manager at Boson Ventures.
The numbers tell a compelling story. China's R&D spending as a percentage of GDP rose to around 2.7% in 2023 from 0.9% 20 years prior, and the country has approached parity with the United States in gross domestic spending on R&D. China surpassed the United States in total clinical trials in 2021 and continues to widen its lead.
