China's growing competence and investment in new technology will promote the transformation of the healthcare industry, according to the chairman and CEO of Johnson and Johnson (J&J).
"It's been remarkable to see the progress that's been made here over the last 30 to 40 years, but even over the last 10 years," Alex Gorsky, the company's chairman and CEO, said in an interview.
According to Gorsky, an increasing number of American companies are investing in the Chinese bio-pharmaceutical sector.
"This really is a testament to our belief in China and in the technology capability here," he said.
China, with its technological advances, is an important market for Johnson and Johnson, Gorsky told Xinhua, adding that the company has established multiple innovation and development centers to "bring innovation in manufacturing capabilities here in China."
Last year, J&J introduced its new Ethicon factory in Suzhou in east China's Jiangsu province. With a total investment of 180 million U.S. dollars, the factory covers 14,776 square meters and is expected to be put into operation in 2019.
While delivering a speech at the China Development Forum Summit over the weekend, Gorsky said one of the company's most prolific areas of innovation today is innovation centers, which brings together problem-solving scientists.
Last year, the company announced the launch of JLABS @ Shanghai, a science incubator, following the establishment of its Asia Pacific Innovation Center in Shanghai in 2014. It aims to support life science and healthcare startups and expand its biotech incubator system in Asia.
Gorsky said that China's shift to high-quality development is set to bring an "explosion of new technologies" in both bio-pharmaceuticals and medical devices, which "holds for an even more exciting future."
Praising the progress made in the healthcare industry, Gorsky observed that through reform, China has adopted a more globalized standard for reviewing the quality and safety of pharmaceutical products and medical devices.
"That is also planting the seeds for an innovative pharmaceutical industry and initiative in China," he said.
In 1985, J&J established its first joint venture in China, following the country's opening up in 1978, and was among the first foreign healthcare companies to do business in China.
The company produces a wide range of consumer, pharmaceutical, and medical device products, with nearly 10,000 employees in China.