US House Probes AbbVie, Merck Over China Military Hospital Trials

A bipartisan House committee is investigating hundreds of clinical trials conducted by AbbVie (ABBV) and Merck (MRK) at Chinese military hospitals and in Xinjiang, according to a report from Quartz.

Details of the Investigation

The committee, comprising both Republican and Democratic members, has requested detailed documents from both companies regarding clinical trials conducted at hospitals affiliated with the People's Liberation Army and in the Xinjiang Uyghur Autonomous Region. The requests include information on patient numbers, study types, and ethical approvals obtained.

Company Response

Neither AbbVie nor Merck have issued official statements on the investigation. However, sources indicate that both companies are cooperating with the committee to provide the requested information.

Precedents and Context

The investigation comes amid escalating tensions between Washington and Beijing over human rights and national security issues. Other U.S. pharmaceutical companies have previously faced criticism for conducting trials in China without adequate ethical standards.

Potential Financial Impact

The probe could result in fines or restrictions on the companies' operations in China, though the immediate financial impact remains unclear. Investors are closely watching developments, as China represents a significant market for both firms.