EIA Report Exposes Widespread Use Of Endangered Species In Chinese Medicines

An investigation by the Environmental Investigation Agency (EIA) UK has unveiled a disturbing trend in the traditional Chinese medicine (TCM) industry. According to the newly released report, titled 'Investing in Extinction - How the Global Financial Sector Profits from Traditional Medicine Firms Using Threatened Species,' the body parts of endangered leopards and pangolins are being used in at least 88 TCM products, in clear defiance of international regulations.

EIA's extensive research has exposed the involvement of 72 Chinese companies, licensed by the National Medical Products Administration of China, in the manufacturing of these products. To make matters worse, some of these products also contain parts of tigers and rhinos, further violating recommendations made by the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES).

Leopards and pangolins are among the world's most trafficked mammals and are on the brink of extinction. They are listed on CITES Appendix I, which strictly prohibits international commercial trade in these animals, as well as their parts and derivatives.

What is even more alarming is the involvement of major international banks and financial institutions. EIA has identified 62 such institutions, including well-known names like AXA SA, BlackRock Inc, BNP Paribas SA, Citigroup Inc, Deutsche Bank, HSBC, Legal & General, the Royal Bank of Canada, and UBS AG, among others. These financial giants have invested in three publicly listed Chinese pharmaceutical groups responsible for manufacturing nine of the TCM products that contain leopard and pangolin parts.

Many of these investors are signatories to the Principles for Responsible Investment and are members of the International Corporate Governance Network, both of which have expressed concerns about biodiversity loss and species extinctions. Seven of these institutions are also members of The Royal Foundation's United for Wildlife (UfW) Financial Taskforce, a group launched in 2018 to combat wildlife trafficking. The UfW was likely unaware of the extent of these investments in products derived from endangered species.

EIA's investigation revealed that there is no publicly available or verifiable information about the source of the leopard, pangolin, rhino, or tiger derivatives used in the identified TCM products. This lack of transparency raises serious questions about the legality and ethics of these products.

The report highlights a pressing need for stricter regulations and oversight within the TCM industry to prevent the use of endangered species. It also calls for increased vigilance among international financial institutions and investors to ensure they are not inadvertently supporting the illegal wildlife trade.

The findings from the EIA report emphasize the urgency of addressing this critical issue. The continued demand for traditional Chinese medicine products containing parts of threatened and endangered species is driving these animals closer to extinction.