On July 30, 2021, the 7th China and Globalization Forum hosted by the Globalization Think Tank (CCG) was held in Beijing. Li Ye, Executive Director of CCG, Vice President of Merck Investment (China) Co., Ltd., and Vice President of the Association of Enterprises with Foreign Investment, expressed the following views at the roundtable forum with the theme of "Focusing on Mutually Beneficial Cooperation, Creating New Opportunities for Economic and Trade Cooperation and Development between China and the EU":
Thank you Director Gao, dear partners of the CCG Globalization Forum, although the current China-EU relations have been affected by geopolitics and the impact of the new crown pneumonia, many European companies have maintained a rapid growth momentum of development, and Merck and many other companies have witnessed the firm pace of the Chinese government's reform and opening up and continuously changing China's business environment. We hope that in the future policy, we can provide a fair, transparent and non-discriminatory business environment for the development of foreign-funded enterprises in China.
For future development, I would like to talk about the following three points in conjunction with the development of Merck.
First, in many high-tech fields of cooperation, especially in the field of integrated circuits, China and Europe cooperation space is very large, as a multinational technology company, Merck entered the semiconductor industry, in 2019 acquired the United States Huizhan Technology, the semiconductor industry has become one of Merck's fastest growing businesses in China. In China, Merck provides more than 150 kinds of materials to more than 100 chip manufacturing companies in China, and serves the purification technology, formulation process and solution of semiconductors, which meet the service requirements, cover every aspect of wafer processing, and help Chinese customer partners innovate. Semiconductor industry, especially China's semiconductor industry accounts for 50% of the global semiconductor materials market, European companies Chinese companies can play a very important role in the process of business transformation, Europe is also a highly developed region of global integrated circuits, with a strong foundation in various industries of integrated circuits are occupying a leading position. The production chain of the semiconductor industry is relatively long, the supply of products is relatively complex, and under the promotion of the industry, the industrial integration of various countries has played a key role. As a multinational enterprise from Europe, we will devote ourselves to localization development in the next step, continue to fully support Chinese customers, and promote mutual understanding and trust between the two sides and strengthen communication and cooperation through channels such as the China Globalization Think Tank and the European Union Chamber of Commerce in China.
Second, the two sides should strengthen cooperation in the field of medicine and health and work together to fight the epidemic. Pharmaceuticals & Health is Merck's traditional business segment. Benefiting from the new policy of accelerating the review and digitization of drugs, the new policy of accelerating the approval and review of drugs by the state has reduced the cost of enterprises, saved the time of drug research and development and marketing, and helped patients to enjoy innovative drugs faster, so our business in China in the field of cardiovascular disease, diabetes, infertility and other diseases has grown rapidly. Together with many international partners, Merck has provided many raw material products in the development of ribose, nucleic acids and vaccines in recent years, especially the mRNA vaccine has played a key role in the response to the epidemic. At present, the NEW CROWN vaccine based on messenger ribonucleic acid (mRNA) has been approved in more than 50 countries and regions, and liposomes (Lipids) are critical to the effectiveness of human vaccines based on mRNA therapy. Only a handful of companies in the world, such as Merck, are able to customize production to the highest quality required for vaccine production, a global supply chain. In Germany, Merck is actively cooperating with BioNTech to carry out vaccine production, in China, Merck production and technology also supply the main domestic vaccine production enterprises, in the field of biomedicine, the comprehensive strength and advantages of Europe and the United States are more obvious, in the relevant scientific and technological fields, cross-border extensive cooperation can not be separated from Europe, can not be separated from the United States is also inseparable from China, so in the production and research and development of vaccines, international mutual recognition has become very important, we hope to achieve international mutual recognition of vaccines as soon as possible in vaccine approval.
Thirdly, there is broader cooperation on the topic of sustainable development. In recent years, ESG and other sustainable development issues have become increasingly important in the development of China-EU cooperation, in terms of addressing climate change, China has made carbon peaking and carbon neutrality commitments to the international community, and the EU is an advocate of global sustainable development, a leader in the United Nations 2030 Agenda, and a firm promoter of the Paris Agreement. The European Union has just unveiled a climate package that sets an ambitious target of reducing net greenhouse gas emissions by at least 55 percent by 2030 compared to 1990 levels. Merck strongly supports the economic and clean energy targets of the UN Sustainable Goals SDGs and has introduced initiatives to reduce greenhouse gas and waste emissions to reduce its impact on the climate. Recently, Merck once again won the highest honor award from the International Chemical Manufacturers Association AICM in China, as well as in recognition of Merck's outstanding performance in social responsibility and chemical management. Merck began developing the Merck China Sustainability Strategy in China this week, with the goal of continuing best-in-class management with the strictest environmental and technical standards. We will continue to carry out our production and operation activities with the strictest environmental protection and technical standards, and look forward to continuing to cooperate with our domestic partners on a wide range of issues in terms of sustainable development.
In short, there are many opportunities for new high-tech fields in China and europe, such as semiconductors, biomedicine, vaccine development, and sustainable development, to carry out new dialogues and promote new development, and we feel that the opportunities are greater than the challenges, and win-win cooperation is a new theme of China's high-quality, high-level innovation and development.
Thank you.
Review of past sessions
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A Global Community of Shared Destiny and New Ideas for the Development of Chinese Enterprises - 2015 China and Globalization Roundtable Forum
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