Although nucleot(s)ide analogues and pegylated interferon alpha 2a (PEG-IFN-␣2a) can suppress hepatitis B virus (HBV) replication, it is difficult to achieve complete HBV elimination from hepatocytes. A novel site-specific pegylated recombinant human IFN- (TRK-560) was recently developed. In the present study, we evaluated the antiviral effects of TRK-560 on HBV replication in vitro and in vivo. In vitro and in vivo HBV replication models were treated with antivirals including TRK-560, and changes in HBV markers were evaluated. To analyze antiviral mechanisms, cDNA microarray analysis and an enzyme-linked immunoassay (ELISA) were performed. TRK-560 significantly suppressed the production of intracellular HBV replication intermediates and extracellular HBV surface antigen (HBsAg) (P Ͻ 0.001 and P Ͻ 0.001, respectively), and the antiviral effects of TRK-560 were enhanced in combination with nucleot(s)ide analogues, such as entecavir and tenofovir disoproxil fumarate. The reduction in HBV DNA levels by TRK-560 treatment was significantly higher than that by PEG-IFN-␣2a treatment both in vitro and in vivo (P ϭ 0.004 and P ϭ 0.046, respectively), and intracellular HBV covalently closed circular DNA (cccDNA) reduction by TRK-560 treatment was also significantly higher than that by PEG-IFN-␣2a treatment in vivo (P ϭ 0.0495). cDNA microarrays and ELISA for CXCL10 production revealed significant differences between TRK-560 and PEG-IFN-␣2a in the induction potency of interferon-stimulated genes. TRK-560 shows a stronger antiviral potency via higher induction of interferon-stimulated genes and stronger stimulation of immune cell chemotaxis than PEG-IFN-␣2a. As HBsAg loss and HBV cccDNA eradication are important clinical goals, these results suggest a potential role for TRK-560 in the development of more effective treatment for chronic hepatitis B infection.KEYWORDS HBV, antiviral effect, gene expression, human hepatocyte chimeric mouse, pegylated interferon beta H epatitis B virus (HBV) infection is a serious global health problem. More than 500,000 people per year die due to HBV-related liver diseases, including chronic hepatitis, liver cirrhosis, and hepatocellular carcinoma (1). To prevent the progression of liver diseases, antiviral therapies based on interferon (IFN) and/or nucleos(t)ide analogues (NAs) have been used in the treatment of chronic HBV infection (2-4). Although