—— Visiting Mr. Zhao Fusi, Director of Merck Chemicals and General Manager of China In recent years, Merck Chemical has developed rapidly in China. China has become a key country in which Merck Group implements its global development strategy. A few days ago, the reporter visited Merck Chemical's China headquarters in Nanjing West Road, Shanghai, and had an in-depth exchange on the new development of Merck Chemicals in China with Dr. Zhao Fusi, the director of Merck Chemicals and General Manager of China.
Reporter: Please tell us about the company's achievements in China in recent years.
Zhao Fusi: The Merck Group attaches great importance to the Chinese market. In the past three years, Merck Chemical has succeeded in winning the Chinese market for three years. In accordance with Merck’s global strategy of “Continuing, Transforming, and Growingâ€, we have overcome the impact of the global financial crisis in these three years. In 2009, Merck acquired Suzhou Taizhu Science and Technology Development Co., Ltd. This made us one of the world's largest producers of effect pigments, and at the same time greatly boosted sales in China. In particular, in 2010, we have achieved comprehensive growth in the Chinese market. Three years ago, in the Merck Group's global chemical business rankings, Merck Chemical's total business growth in China was always around the 10th. By 2010, we have surpassed many branches and regions, and sales growth has jumped to second place.
Reporter: How do you look at the economic trend in 2011 and what are the favorable or unfavorable factors that Merck will face in its development in China?
Zhao Fusi: I believe that 2011 will be a year in which both opportunities and challenges coexist, both for Merck Chemical's business and for China's economy. How to achieve "perfect balance" is an important issue before us. Merck must have the ability to seek balance in "new and old, tradition and innovation, opportunities and challenges". This is the secret of Merck's 340-plus years of success. I personally have confidence in the future of the Chinese market and Merck.
We are more focused on how to turn the corner and find opportunities. Based on my personal work experience in China for more than 20 years, both in the Chinese market and globally, market access mechanisms and corresponding laws and regulations will become more and more stringent. This is a challenge for companies such as Merck, which is driven by innovation. It is a rare opportunity. We will take the initiative to communicate with relevant government departments, and we will also use industry associations to understand industry trends. At the same time, we are willing to contribute industry-valued information and experience to assist government departments in promoting and implementing laws and regulations.
Reporter: China has begun implementing the “Twelfth Five-Year Plan†this year and has included new materials, new energy, and biotechnology in strategic emerging industries that are focused on development. In this regard, Merck chemical how to see?
Zhao Fusi: Our adjustments and developments in some emerging industries are "matchable" with China. As I mentioned earlier, the functional materials division of Merck Chemicals is currently focusing on the transition from functional materials to new materials. The success of Merck's acquisition of Millipore last year also reflects our strategic commitment to the development of life sciences.
In the biological sciences, we have begun to deploy and implement the Merck Millipore Biopharmaceutical Process Technology China Laboratory. This laboratory is our third world-class R&D laboratory after North America and Europe. The purpose of setting up a laboratory is to help domestic pharmaceutical and biotechnology companies develop and produce safe and effective medicines, and provide small molecule chemical raw materials and macromolecular biological raw materials for the pharmaceutical and biotechnology industries.
Reporter: What are the investment projects of Merck Chemicals in China this year?
Zhao Fusi: This year, Merck will set up a liquid crystal material application laboratory base in Zhangjiang, Shanghai, and will be equipped with the world's top research and development technology and equipment liquid crystal materials application laboratory. We will implement comprehensive research and development in two phases. In the middle of this year, a phase 1 project will be completed, at which time the laboratory will be able to provide comprehensive technical support and excellent customer service to domestic flat panel display manufacturers. The second phase of the project is expected to be completed in 2012, will achieve a comprehensive development of liquid crystal material technology, including the development of liquid crystal material mixture, perfect technical support, failure analysis. Although the investment in this project is not large, it is technologically advanced and will lead the development of the flat panel display industry in the Chinese market.
Reporter: In the biotechnology industry, what are the actions of Merck Chemical?
Zhao Fusi: I mentioned Merck Millipore just now. I want to add something to the department. This is the new business unit of Merck Group. The division will be dedicated to the development of the life sciences and will provide a broad and integrated product platform for global life sciences partners. The new Merck Millipore division is made up of three businesses - life sciences, laboratory solutions and process technology solutions. After absorbing professional knowledge and professionals, we will quickly occupy high-growth, high-margin markets such as biological research and biomedical production.
In January of this year, Merck Group purchased 100% of Beijing Qingda Tianyi Technology Co., Ltd. in full. Qingda Tianyi is a leading provider of cell culture media, bioreactors, and large cell culture technology services for the Chinese biopharmaceutical industry. The acquisition enabled Merck to enter the cell culture market segment of China's biopharmaceutical industry quickly and directly. The excellent management team and high-quality products and services of TsingTai brought us closer to local Chinese customers. . This investment will enhance the competitiveness of Merck Millipore in the field of biopharmaceuticals and provide safer, more convenient products and services for upstream customers in the Chinese market.
Reporter: Will Merck Chemicals cooperate with scientific research institutes and universities in China?
Zhao Fusi: It should be. "Walking on two legs" is a strategy that Merck has been using. At present, we are implementing cooperation with Chinese universities and research institutes as well as interaction projects with the business community. We will continue to maintain liaison and contact with Shanghai Jiaotong University, Fudan University School of Pharmacy and Shanghai Life Sciences Research Institute, set up scholarships to support postgraduate students, establish ways for outstanding scholars to fund research projects, and encourage scholars from universities and research institutes in Shanghai. They are researching in biopharmaceuticals and biotechnology.
Reporter: Can you please briefly look into the future of Merck Chemicals in China?
Zhao Fusi: I think the development of Merck Chemical in China in the next five years will be very fast. Because we already have a solid foundation. I am very optimistic about the great potential of the Chinese market. I believe that in the next 10 years, China will have the largest flat panel display manufacturer in the world and become the largest flat panel display market in the world. Merck, as an excellent supplier of liquid crystal materials, will also It will surely grow together with this growing market.
In May of this year, Merck Chemicals China headquarters will be relocated to Shanghai Zhangjiang Hi-Tech Park. Moved into Zhangjiang Pharmaceutical Valley, a well-known pharmaceutical company at home and abroad, Merck Chemicals will be closer to pharmaceutical companies and research and development centers to provide customers with convenient and efficient services and support. The Chinese laboratory that Merck Millipore’s biopharmaceutical process has just mentioned will also be located in Zhangjiang Hi-Tech Park. This will be another new milestone in the development of Merck Chemicals in China.
Reporter: Please tell us about the company's achievements in China in recent years.
Zhao Fusi: The Merck Group attaches great importance to the Chinese market. In the past three years, Merck Chemical has succeeded in winning the Chinese market for three years. In accordance with Merck’s global strategy of “Continuing, Transforming, and Growingâ€, we have overcome the impact of the global financial crisis in these three years. In 2009, Merck acquired Suzhou Taizhu Science and Technology Development Co., Ltd. This made us one of the world's largest producers of effect pigments, and at the same time greatly boosted sales in China. In particular, in 2010, we have achieved comprehensive growth in the Chinese market. Three years ago, in the Merck Group's global chemical business rankings, Merck Chemical's total business growth in China was always around the 10th. By 2010, we have surpassed many branches and regions, and sales growth has jumped to second place.
Reporter: How do you look at the economic trend in 2011 and what are the favorable or unfavorable factors that Merck will face in its development in China?
Zhao Fusi: I believe that 2011 will be a year in which both opportunities and challenges coexist, both for Merck Chemical's business and for China's economy. How to achieve "perfect balance" is an important issue before us. Merck must have the ability to seek balance in "new and old, tradition and innovation, opportunities and challenges". This is the secret of Merck's 340-plus years of success. I personally have confidence in the future of the Chinese market and Merck.
We are more focused on how to turn the corner and find opportunities. Based on my personal work experience in China for more than 20 years, both in the Chinese market and globally, market access mechanisms and corresponding laws and regulations will become more and more stringent. This is a challenge for companies such as Merck, which is driven by innovation. It is a rare opportunity. We will take the initiative to communicate with relevant government departments, and we will also use industry associations to understand industry trends. At the same time, we are willing to contribute industry-valued information and experience to assist government departments in promoting and implementing laws and regulations.
Reporter: China has begun implementing the “Twelfth Five-Year Plan†this year and has included new materials, new energy, and biotechnology in strategic emerging industries that are focused on development. In this regard, Merck chemical how to see?
Zhao Fusi: Our adjustments and developments in some emerging industries are "matchable" with China. As I mentioned earlier, the functional materials division of Merck Chemicals is currently focusing on the transition from functional materials to new materials. The success of Merck's acquisition of Millipore last year also reflects our strategic commitment to the development of life sciences.
In the biological sciences, we have begun to deploy and implement the Merck Millipore Biopharmaceutical Process Technology China Laboratory. This laboratory is our third world-class R&D laboratory after North America and Europe. The purpose of setting up a laboratory is to help domestic pharmaceutical and biotechnology companies develop and produce safe and effective medicines, and provide small molecule chemical raw materials and macromolecular biological raw materials for the pharmaceutical and biotechnology industries.
Reporter: What are the investment projects of Merck Chemicals in China this year?
Zhao Fusi: This year, Merck will set up a liquid crystal material application laboratory base in Zhangjiang, Shanghai, and will be equipped with the world's top research and development technology and equipment liquid crystal materials application laboratory. We will implement comprehensive research and development in two phases. In the middle of this year, a phase 1 project will be completed, at which time the laboratory will be able to provide comprehensive technical support and excellent customer service to domestic flat panel display manufacturers. The second phase of the project is expected to be completed in 2012, will achieve a comprehensive development of liquid crystal material technology, including the development of liquid crystal material mixture, perfect technical support, failure analysis. Although the investment in this project is not large, it is technologically advanced and will lead the development of the flat panel display industry in the Chinese market.
Reporter: In the biotechnology industry, what are the actions of Merck Chemical?
Zhao Fusi: I mentioned Merck Millipore just now. I want to add something to the department. This is the new business unit of Merck Group. The division will be dedicated to the development of the life sciences and will provide a broad and integrated product platform for global life sciences partners. The new Merck Millipore division is made up of three businesses - life sciences, laboratory solutions and process technology solutions. After absorbing professional knowledge and professionals, we will quickly occupy high-growth, high-margin markets such as biological research and biomedical production.
In January of this year, Merck Group purchased 100% of Beijing Qingda Tianyi Technology Co., Ltd. in full. Qingda Tianyi is a leading provider of cell culture media, bioreactors, and large cell culture technology services for the Chinese biopharmaceutical industry. The acquisition enabled Merck to enter the cell culture market segment of China's biopharmaceutical industry quickly and directly. The excellent management team and high-quality products and services of TsingTai brought us closer to local Chinese customers. . This investment will enhance the competitiveness of Merck Millipore in the field of biopharmaceuticals and provide safer, more convenient products and services for upstream customers in the Chinese market.
Reporter: Will Merck Chemicals cooperate with scientific research institutes and universities in China?
Zhao Fusi: It should be. "Walking on two legs" is a strategy that Merck has been using. At present, we are implementing cooperation with Chinese universities and research institutes as well as interaction projects with the business community. We will continue to maintain liaison and contact with Shanghai Jiaotong University, Fudan University School of Pharmacy and Shanghai Life Sciences Research Institute, set up scholarships to support postgraduate students, establish ways for outstanding scholars to fund research projects, and encourage scholars from universities and research institutes in Shanghai. They are researching in biopharmaceuticals and biotechnology.
Reporter: Can you please briefly look into the future of Merck Chemicals in China?
Zhao Fusi: I think the development of Merck Chemical in China in the next five years will be very fast. Because we already have a solid foundation. I am very optimistic about the great potential of the Chinese market. I believe that in the next 10 years, China will have the largest flat panel display manufacturer in the world and become the largest flat panel display market in the world. Merck, as an excellent supplier of liquid crystal materials, will also It will surely grow together with this growing market.
In May of this year, Merck Chemicals China headquarters will be relocated to Shanghai Zhangjiang Hi-Tech Park. Moved into Zhangjiang Pharmaceutical Valley, a well-known pharmaceutical company at home and abroad, Merck Chemicals will be closer to pharmaceutical companies and research and development centers to provide customers with convenient and efficient services and support. The Chinese laboratory that Merck Millipore’s biopharmaceutical process has just mentioned will also be located in Zhangjiang Hi-Tech Park. This will be another new milestone in the development of Merck Chemicals in China.
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