German sci-tech giant Merck is very optimistic about its prospects in the Chinese market and will continue to strengthen its presence in the world's second-largest economy through increasing investment and fostering closer collaboration with local partners both on research and manufacturing, said a senior executive of the company.

Marc Horn, president of Merck China, expressed confidence in the company's ability to capitalize on emerging opportunities in China as the country transits towards higher-quality growth and boosts the development of new quality productive forces.

He made the remarks as the company participated in the 7th China International Import Expo with its three business sectors, Life Science, Healthcare and Electronics. The company was one of the first exhibitors in the newly established new materials exhibition section of the annual event.

Horn highlighted the importance of new quality productive forces for the development of China and foreign companies operating in the country. He noted that China remains a significant contributor to the global economy and offers numerous opportunities for businesses like Merck.

"China is still a growing market with a lot of opportunities for us. And when you think about the new quality productive forces, this is really to create a new sustainable future by tapping into the new mega trends we have globally and locally," Horn said.

For multinational companies like Merck, there will be immense potential in contributing to and growing alongside China's evolving markets, he added, citing the advancements in artificial intelligence-based drug discovery as an example of how data and digitalization can revolutionize traditional processes and lead to faster, more efficient outcomes.

Horn also said China's unwavering opening-up and reforms will present new opportunities for foreign companies. For instance, the aging population and the need for personalized healthcare solutions will offer a major frontier for growth.

Additionally, he sees potential in the integration of new e-mobility technologies and renewable energy sources, which could enhance cost competitiveness and operational efficiency.

Regarding Merck's strategic plans in China, Horn outlined the company's focus on bringing its global research and development pipeline to China and partnering with local innovators. In healthcare, the company aims to strengthen its presence through collaborations and licensing-in of local innovations, while in life science, it seeks to support biopharmaceutical companies in China with breakthrough technologies in areas like mRNA, antibody-drug conjugates (ADCs) and gene therapies.

In electronics, Merck intends to localize its operations further to meet the demands of the Chinese market and support local customers in advancing sensor and chip production technologies, he said, adding that the company will also explore new materials which are greener and have less carbon emissions to produce.

The company signed a green power purchase agreement with Envision Group during the 7th CIIE, which was recently held from Nov 5 to 10 in Shanghai. The three-year agreement involves the purchase of a total of 30 Gigawatt hour of green electricity, which is expected to increase the proportion of green electricity used in Merck's production and operations in China to 80 percent.

Reflecting on the broader context of global industrial and supply chain transformations, Horn reiterated Merck's belief in globalization and China's pivotal role in globalization.

"We still strongly believe in globalization. While globalization is certainly not perfect, our CEO Belén Garijo says ‘there is no global world without China'."

Data from the Ministry of Commerce showed that a total of 42,108 new foreign-invested firms were established across China in the first nine months, up 11.4 percent year-on-year.

Foreign direct investment in the Chinese mainland in actual use totaled 640.6 billion yuan ($88.97billion) during the same period. The high-tech manufacturing sector attracted 77.12 billion yuan, or 12 percent of the total FDI inflow, up 1.5 percentage points from the same period last year.

Zhou Mi, senior researcher at the Chinese Academy of International Trade and Economic Cooperation, which is affiliated with the MOC, said China has a very firm and very clear signal that it wants to open the market to the rest of the world.

liuzhihua@chinadaily.com.cn