German medical device company continues investment expansion in China with confidence

Fresenius Kabi (Nanchang), a subsidiary of the German healthcare giant Fresenius Kabi, has been expanded five times since it first invested in east China's Nanchang City in 2002, driven by the sound development momentum of the Chinese market and the country's favorable business environment.

Located in the Nanchang Economic and Technological Development Zone, the subsidiary, with a workforce of only about 1,000 employees, reported sales revenue exceeding 534 million yuan (about 74.95 million U.S. dollars) in 2023.

As an important research, development and production base of medical devices for Fresenius Kabi, the Nanchang Subsidiary produces infusion and blood transfusion terminal equipment and medical consumables.

"Fresenius Kabi (Nanchang) has become the most important production base, research and development center and logistics distribution hub of the Fresenius Group in the Asia-Pacific region, with its products reaching over 60 countries and regions worldwide," said Zhang Guangzong, vice president of Fresenius Kabi MedTech China.

Since its investment in Nanchang in 2002, the company has undergone five expansions and three capital increases, with the total investment reaching nearly 600 million yuan.

"The Chinese market is very important for us, for our products. So, it is a second largest market in the world for med-tech products. So, it's good to be here local to understand the customers' requirements, customers' needs, and also be close from proximity to customers being easy to supply and deliver. China is a very competitive country when it comes to manufacturing, but also when it comes to R&D (research and development). So, we don't have here only manufacturing, but we also have a very strong R&D team here to do R&D work," said Christian Hauer, a member of the Fresenius Kabi management board and president of Fresenius Kabi MedTech.

Hauer expressed strong confidence in China's investment prospects, saying that the company plans to continue launching more R&D and production projects in the country.

"I think we are growing here in China usually a lower double digit, and we see that should continue the trend, and also the plant. We hear also from our customers good feedback, the market is strong, the market is growing. We see additional opportunities to drive our business here in the Chinese market," he said.

German medical device company continues investment expansion in China with confidence

Chinese goods are winning growing recognition worldwide, despite a complex and severe international political and economic landscape, Commerce Ministry spokesman He Yadong said at a press conference in Beijing on Thursday.

He said that since the beginning of this year, China's foreign trade has withstood the pressure of complex and severe international political and economic situations, maintaining a sound momentum of steady progress.

According to He, China's foreign trade in goods amounted to 20.68 trillion yuan (about 2.9 trillion U.S. dollars) in the first five months of this year, up 15.3 percent year on year.

"Chinese goods are stable in supply, reliable in quality, and advanced in technology, with growing global recognition. From January to May, the export of mechanical and electrical products increased by 18.4 percent, accounting for over 63 percent of China's total export value in the same period. The export of integrated circuits performed strongly, and the 'new trio' namely, electric vehicles, lithium-ion batteries, and photovoltaic products have continued to lead the global market," He said.

"China continues to deeply engage in the global market, and its trade layout has become more balanced and stable. From January to May, China's imports from and exports with Belt and Road partners increased by 13.6 percent, accounting for more than ‌51 percent‌ of China 's total foreign trade. Trade with ASEAN, Africa, and Latin America all maintained double-digit growth. China's 'circle of friends' for all-win cooperation continues to expand," said the spokesman.

Chinese products increasingly gain global recognition: commerce ministry