A new national security law passed by China is expected to bring an uncertain future to many health companies eyeing a possible listing in Hong Kong.

More countries are joining the US to put national security interests over globalization, moving the production of medicines, medical supplies and protective equipment closer to home. The calls to repatriate manufacturing and reduce reliance on China will profoundly change how health products are supplied worldwide in the post-coronavirus era.

From requiring early notification to whole-process involvement, China is clearing a path for a far-reaching new biosecurity law, which if implemented will pose high hurdles for international firms planning to conduct clinical studies in the country, industry observers say.

In a bipartisan move, the US Senate is moving to impose new rules on companies - including those from China - seeking US initial public offerings, adding further uncertainty over such plans and further stoking trade tensions.

Developing some of the first coronavirus vaccines and antibody testing kits, venture-backed firms in China have responded fast and partnered actively in the fight against the pandemic, helping them to raise new funds and reach deals. But there have been cautionary tales in other sectors and some investors remain wary.

China has stepped up its support for the World Health Organization just as the US is ratcheting up its criticism of both the global health body and China, as policy observers watch closely for any signs the tense bilateral relationship may spill over to the health sector.