 "Merck's pharma production plant in Nantong (China)")
Merck, the German science and technology company, is in process of augmenting production capacity of its pharmaceutical business in China by phase-wise investment of Euro 250 million (about $ 275 million) in its Nantong plant.
As part of this plan, the company on November 4, 2016 inaugurated its Euro 170 million Nantong pharmaceutical plant, which is dedicated to producing high-quality pharmaceuticals on China’s Essential Drug List. At the inauguration ceremony, Merck also announced a further investment of around Euro 80 million in a Life Science Center near the Nantong pharmaceutical plant to manufacture high-purity inorganic salts, cell culture media products as well as ready-to-use media.
The initial Euro 80 million investment in the pharmaceutical plant was already announced in 2013 and has been realised. The additional investment of Euro 90 million announced today represents the next phase of Merck’s pharmaceutical production plans for China to meet forecast increased demand for medicines to be produced at the site. The first drugs from the plant inaugurated last Friday are expected to be delivered to patients in the second half of 2017.
Along with the investment of around Euro 80 million by the Life Science business sector of Merck, this adds up to a total of investment of Euro 250 million in its production value chain in China to create better access to health. These strategic investments further support Merck's expansion in China, which is expected to become the world’s second-largest pharmaceutical market by 2018, and enables the company to support the goals of China’s 13th Five Year Plan by investing in technology and developing local talent.
“China is of strategic importance to Merck as a key driver of our sustainable growth. In line with our long-term commitment to China, Merck has always been dedicated to localising global expertise to make a meaningful difference to our patients and life science customers. Combining the strengths of our two business sectors Healthcare and Life Science, the Nantong site is a pioneering initiative to foster a comprehensive value chain that will create better access to health, enabling Merck to support China’s evolving developmental and healthcare priorities,” said Stefan Oschmann, chairman of the executive board and CEO of Merck.
Marc Horn, managing director of the biopharma business of Merck in China, added, “With our new state-of-the-art pharmaceutical production, Merck is transforming from an import-based company to a full-fledged local industry player in China. By dedicating the largest manufacturing plant outside of Europe to the production of pharmaceuticals to address widespread healthcare needs in China, Merck is connected with China more than ever. This is in line with our Healthcare vision for 2021 - transforming 25 million patients’ lives in China, for China.”
The Nantong pharmaceutical manufacturing site will focus on the production of Glucophage, Euthyrox and Concor, Merck’s leading brands for the treatment of the major chronic diseases diabetes, thyroid disorders and cardiovascular diseases. With the next investment of Euro 90 million announced today, the facility is designed to accommodate full production capacity of up to 10 billion tablets a year by 2021.
