US biotech M&A surges as Chinese licensing deals dominate 2026 market

Locust Walk reports that China now accounts for 58% of global licensing deal value in 2026, while the United States share has dropped to 26%.

Despite the licensing shift, US biotech companies are experiencing a surge in mergers and acquisitions, with total deal value reaching $173 billion through the third quarter of 2026, already exceeding the full‑year total for 2025.

American firms captured 91% of the M&A value and 78% of the deal volume, compared with just 1% of value and 6% of deals for Chinese companies.

The data suggest US biotech firms are using M&A as a key growth and exit strategy, reshaping the debate about whether the US is losing ground to China.