Photo: VCG

Germany-based Boehringer Ingelheim,MK sports one of the world's largest pharmaceutical companies, will use a recently established partnership to further expand operations in the Chinese market, the head of the company said in Shanghai on Tuesday, showing confidence in the Chinese market.

Chen Jining, secretary of the Shanghai Municipal Committee of the Communist Party of China, met with Chairman Hubertus von Baumbach and Eric Tse, CEO of Sino Biopharmaceutical Co, in Shanghai, according to an official statement.

During the meeting, Chen praised a recently established partnership formed by Boehringer Ingelheim and Sino Biopharmaceutical, and introduced the latest developments in Shanghai's biomedicine industry.

Shanghai regards biomedicine as one of three key industries to focus on, and offers support in the entire chain from research and development to production, as well as technological innovation and industrial development, Chen said, while extending a welcome to Boehringer Ingelheim and Sino Biopharmaceutical to establish more operations in Shanghai.

In April, Boehringer Ingelheim and Sino Biopharmaceutical announced a new strategic partnership that will focus on bringing innovative cancer therapies to the Chinese market, according to media reports.

During the meeting on Tuesday, von Baumbach and Tse offered an introduction to their companies' operations in Shanghai and their future cooperation and development plans.

For his part, von Baumbach said that Shanghai's innovative efforts to promote the development of the pharmaceutical industry and its enthusiasm and efficiency in supporting businesses is encouraging and has further enhanced the company's determination and confidence in expanding in China and in Shanghai, according to a statement from the Shanghai Municipal Government.

The German executive said that the company will take the strategic partnership with Sino Biopharmaceutical as an opportunity to further expand various operations in the Chinese market, according to the statement.

In addition to the partnership deal with Sino Biopharmaceutical, Boehringer Ingelheim has also been increasing investment in the Chinese market in other ways. Also in April, the company announced plans to invest 4 billion yuan ($556 million) in research and development for human medicines and animal health in China, according to media reports.

The increased investment in China by Boehringer Ingelheim is part of a larger trend of German businesses expanding operations in the Chinese market, even as some European politicians have been seeking to undermine economic and trade cooperation with China under the pretext of "de-risking."

In the first five months of 2024, investment from Germany in China grew by 24.2 percent year-on-year, even though overall foreign investment in China fell during the period, according to data from the Chinese Ministry of Commerce (MOFCOM).

German officials have also been actively seeking to boost economic and trade cooperation with China, even though China-EU trade tensions have been rising amid the EU's increasing protectionist actions targeting Chinese businesses and products, including new tariffs on Chinese electric vehicles (EVs). German officials have repeatedly voiced opposition to the additional tariffs.

While visiting China at the end of June, German Vice Chancellor Robert Habeck said the German government is deeply concerned about the EU's anti-subsidy investigation into Chinese EVs, which will negatively impact Europe's green transition and consumer interests, according to a statement from MOFCOM.

Global Times