HK Stock Market Move | WuXi AppTec (02359) opened more than 6% higher as the U.S. Department of Defense removed it from the list of Chinese military companies under Section 1260H.

WuXi AppTec (02359) opened more than 6% higher, up 6.06% as of press time at HK$210, with a turnover of HK$29.465 million. On the news front, on the morning of November 10, WuXi AppTec announced that on November 9, the company learned that the Department of Defense decided to remove WuXi AppTec from the CMC list under Section 1260H. The Deputy Secretary of Defense determined that the order granting the company's motion for a preliminary injunction should be complied with, removing WuXi AppTec from the Department of Defense's updated 1260H list. This decision shields the company from further adverse effects arising from the designation. The company will continue to be committed to serving customers and empowering them to develop life-saving and life-improving medicines for patients. It is understood that the "1260H list" refers to a list required annually by Section 1260H of the U.S. National Defense Authorization Act for Fiscal Year 2021, which includes entities determined to be operating in the U.S. and affiliated with the Chinese military or "military-civil fusion." Citi stated that the U.S. decision to remove WuXi AppTec from the 1260H list is a significant positive for the stock and may boost market sentiment across the Chinese executive segment.