Trade tensions sink biotech shares as markets skid

While biopharma products have largely escaped Beijing and Washington’s tariff lists, biotech indexes were dragged down with the rest of the U.S. market Monday as the U.S. and China escalated their trade war. But industry observers do not expect the latest turmoil to derail the progress of IP reform in China.

The Chinese government said Monday it would increase tariff rates on U.S. goods to as much as 25% beginning June 1, after the Trump administration announced Friday that it increased tariff rates to 25% from 10% on $200 billion worth of Chinese imports. Washington followed China’s move by proposing Monday to raise tariffs on an additional $300 billion worth of Chinese goods, or "essentially all remaining imports from China;" however, the proposed list excludes pharmaceuticals and some pharmaceutical inputs and medical goods...