Facebook Twitter 新浪微博 腾讯微博 Wednesday 3 June 2015

Johnson &Johnson chief optimistic on China future

(Xinhua)    17:22, March 26, 2015

BEIJING, March 26 -- Johnson &Johnson chairman Alex Gorsky has urged other multinational companies to "take a long-term view" on business in China, amid an economic slowdown and international perceptions of a toughening regulatory environment in the country.

"I really believe you need to take a long-term view. That's the way we approach it," Gorsky said.

His comments, in an exclusive interview with Xinhua, follow decisions by a number of multinationals to exit China. Microsoft recently announced that it will shut its China mobile phone production lines, Yahoo is closing its China office, and Japanese watch maker Citizen suddenly shuttered its Guangzhou branch in February.

Foreign-funded garment and shoe factories in southern China have also been packing up, according to reports.

The exits coincided with the government lowering its economic growth target for 2015 to 7 percent, below the 7.5-percent goal that was narrowly missed last year. After decades of breakneck growth, policy makers are adapting to a "new normal" of slower but more stable growth.

However, Gorsky seems happy to ride out the storm in return for China offering "tons of opportunities and a bright future for companies like Johnson &Johnson".

"China's economy is shifting gear to the pace of the new normal, and a new horizon is appearing at the same time. For example, we are seeing the emergence of a vibrant ecosystem for life sciences. We are investing to support China's development as a global innovation hub," said Gorsky, who was in Beijing earlier this week as part of a public health campaign.

He believes the growth target is "beneficial and reasonable". "With the streamlining of its economic structure and rationalizing of the development pattern, China is growing in a more scientific and smart way," said the Johnson &Johnson chairman.

Following a spate of Chinese regulatory probes into multinationals including Qualcomm, Microsoft and GSK, Gorsky said that Johnson &Johnson has an "appropriate and solid relationship" with the Chinese government and that "we are doing our best to work with them in all aspects, from regulatory to legal to commercial standpoints".

Questioned about his company's long-term strategy for China, Gorsky said, "We are optimistic about China's future and looking forward to the next 30 years in this important country."

"When you think about the investment we make in some of the pharmaceutical products we are working on, we may not see the benefits for another 15 years."

Specifically, he said, the company is working on integrating sensing and wireless technology into its devices and undertaking more research by social media, ambitions that coincide with what Chinese leaders have stressed, the need for more "high-end", high-tech industry in the country.

"I think the pace of innovation is going to pick up significantly, boosting Johnson &Johnson and business in China as a whole," Gorsky added.

(For the latest China news, Please follow People's Daily on Twitter and Facebook)(Editor:Du Mingming,Gao Yinan)

Add your comment

We Recommend

Most Viewed


Key Words