The lobbying firm co-founded by former Labour minister Peter Mandelson was hired by Chinese pharmaceutical company WuXi AppTec to help manage geopolitical risks, following allegations of links to China's military and human rights concerns.
The $3 Million Contract
Global Counsel, established by Lord Mandelson, entered into a $3 million contract with WuXi AppTec in 2023 to address international fallout from security concerns. The agreement came months after the company was named in a US biosecurity drive targeting companies with alleged connections to foreign adversaries.
In May 2024, Global Counsel specifically offered assistance with geopolitical risk mitigation, shortly after WuXi AppTec featured in a US biosecurity bill over its supposed ties to the Chinese government. The contract aimed to soften the impact of the US crackdown on the company's global reputation, operational scrutiny, and supplier controls.
US Security Concerns and Response
WuXi AppTec found itself at the centre of significant US security concerns in January 2024, when it was named in draft legislation as having connections to a foreign adversary's military and security agencies. The following month, a group of US senators and congressmen wrote to government departments urging investigation into the company's ties to the Chinese Communist Party and military.
The company publicly refuted these claims, with chair Ge Li signing an open letter in February 2024 describing the bill as misguided and rejecting what he called blanket allegations and preemptive actions. WuXi AppTec's US and European president, Richard Connell, criticised what he termed unfounded allegations against the company.
Global Counsel's Role and Mandelson's Position
Global Counsel has emphasised that its work with WuXi AppTec focuses exclusively on European policy matters, not US issues, and has registered this limitation in the EU's transparency register. The firm's involvement with Chinese companies isn't isolated - its client roster has previously included TikTok and Shein.
Lord Mandelson's connections to China came under particular scrutiny when he was appointed UK ambassador to Washington in February 2025. Critics suggested his dovish stance and support for closer trade ties with China made him unsuitable for the position. However, Mandelson stepped down as Global Counsel chair in May 2024 and ceased advising the business entirely by December 2024.
Although he retains a minority stake according to October company filings, this has been ringfenced and is being divested. It's understood he now has no role in the business and won't participate in its future operations.
The work with WuXi AppTec is led by Global Counsel's chief executive Benjamin Wegg-Prosser, formerly head of strategic communications in Tony Blair's Downing Street. Wegg-Prosser was reportedly approached by the UK government last year for the role of investment minister but declined the position.
Legislative Developments and Business Impact
The proposed Biosecure Act sought to prevent adversary biotech companies from receiving US federal funding. Supporters argued the legislation was necessary to protect American citizens' health data and genetic information from foreign powers, expressing concerns about Chinese dominance in biotechnology supply chains.
The bill threatened WuXi AppTec's substantial US operations, where it supplies key drug ingredients and generates most of its revenue. Although the initial version failed to pass the Senate in 2024 after industry pushback, a new version was endorsed by the US Senate recently, adopting a softer approach and omitting specific mentions of WuXi companies.
Earlier this month, WuXi AppTec announced plans to establish its first European headquarters in Germany, signalling its continued international expansion despite geopolitical challenges.
