In July, authorities searched an illegal and unlicensed Chinese-owned biolab containing deadly viruses and lab animals in California.

Beginning in March, federal and local authorities had been investigating a warehouse in Reedley, Fresno County, California, which they believed housed an illegal and unlicensed biolab. They discovered the lab contained bacterial, viral, and parasitic agents, mice, medical waste, over 800 different chemicals, and other hazardous materials. The 900 mice were found to have been genetically engineered to catch and carry COVID-19. Among them, 178 were already dead, while the remaining 773 had to be euthanized.

The illegal biolab raid entangled a labyrinth of geographic and legislative jurisdictions requiring cooperation among various law enforcement and health agencies. Local officials called for assistance with the investigation, eventually involving the Center for Disease Control and Prevention (CDC), the FBI, the State Department of Toxic Substances Control (DTSC), the State Department of Health, the California Department of Public Health (CDPH) and the Fresno County Department of Public Health (FCDPH). Cataloging and classifying the biological and chemical agents discovered on site demanded a synchronized effort between multiple federal and state entities.

The warehouse was divided into rooms, some containing thousands of samples of human blood, tissue, and other bodily fluid samples and serums. Authorities discovered biological agents such as coronavirus, HIV, hepatitis, and herpes. Additional vials were found containing chlamydia, E. coli, streptococcus pneumonia, hepatitis B and C, herpes 1 and 5, rubella, and samples of malaria.

They also found medical devices, including COVID-19 and pregnancy test kits, that were believed to have been manufactured on-site. It is unclear at this point if these test kits were real or if they were sold in the United States.

The warehouse belongs to a Nevada-registered company called Prestige BioTech. It was not licensed to do business in California. The company’s president, Xiuquin Yao, claimed that the contents of the warehouse were the result of the acquisition of a now-defunct Fresno company called Universal Meditech Inc. Prestige BioTech did not have a California address. The addresses linked to their business registration were empty offices in the United States or addresses in China that could not be verified.

Authorities believe the lab had been operated illegally since October 2022. Company representative David He was contacted by the authorities demanding he explain why the company was conducting this type of research. He claimed Prestige BioTech was developing disease test kits. The company became evasive when asked to provide copies of licensing and documentation regarding the disposal of biological waste materials.

Biolabs, including biological weapons, are one of the areas where the FBI warns that the Chinese Communist Party (CCP) poses a threat to the United States. Beijing is pushing for primacy in the fields of biology and biological research by utilizing talent acquisition programs to attract American scientists to work on CCP-funded projects.

Last year, LianBio and Meihua International Medical Technologies (MHUA) became the latest Chinese bio companies to list on U.S. exchanges. The companies can now use the investment capital of American workers to fund their research and development activities. Other Chinese bio companies whose registrations were being reviewed for securities listing last year were BeiGene and Zai Lab.

In addition to manufacturing dangerous diseases, Chinese laboratories in the United States are collecting genetic data on Americans. This data can be used for tracking purposes as well as to develop bioweapons that would be more effective against people with certain genetic characteristics. BGI Genomics-Global is a prominent Chinese company that has helped the CCP build a massive genetic data repository. BGI has also purchased some genomics companies in the United States and now has access to American genetic data. In 2020, U.S. authorities blocked a Chinese company's acquisition of a U.S. fertility clinic to protect genetic data.

U.S. laws generally do not discriminate based on country of origin, so foreign nationals can register businesses, including biolabs and research facilities in the United States. The investigation into Prestige BioTech is ongoing, but so far, there are violations in registration, licensing, and proper storage and disposal of hazardous and biological material.

It is unknown if criminal charges will be brought against Prestige BioTech or if ill intent can be determined. This incident raises the question of how many of these labs exist across the United States and how long they will operate before finally being shut down.