04.15.15
Chinese trade officials said recently their country will streamline regulations involving the entry of medical devices and pharmaceutical products from the United States. Officials also promised to improve transparency in anti-trust cases involving American firms.
The commitments come as a result of Joint Commission on Commerce and Trade bilateral talks held between Chinese and U.S. trade officials.
"They agreed to cut red tape for imports of new and innovative pharmaceuticals and medical devices and to deal with the backlog," U.S. Commerce Secretary Penny Pritzker told Reuters.
China also agreed to publish the results of administrative proceedings of anti-trust cases involving American companies. In addition, it will allow those companies to consult with their own legal counsel, which now will be able to attend those proceedings under certain conditions, Reuters reported.
Pritzker said the promises from Chinese regulators about the medical device and pharmaceutical industries “should lead to (an) increase in U.S. exports and U.S. jobs in these two important sectors,” according to a Fox Business report. Industry statistics indicate the trade between the United States and China amounted to $617 billion in 2013.
American medical device companies are pouring investments into China in attempts to strengthen their presence. Johnson & Johnson entered the Chinese market 28 years ago, and it recently was granted approval to produce and market trauma products from its Suzhou plant. Similarly, Medtronic plc has secured approval from Chinese antitrust regulators in regards to its purchase of Covidien. The Advanced Medical Technology Association (AdvaMed) also received permission from China to establish an office in Shanghai in 2014.
Despite these moves, however, U.S. companies are still worried that China is reneging on past assurances to open up the market by leaning towards protectionist policies that could favor Chinese companies.
According to the Fox, “business groups have expressed concern about a wave of Chinese anti-monopoly investigations, suggesting Beijing is improperly using those probes to pressure foreign companies to cut prices or change business practices.”
A top Chinese official has said the government wants to boost the local medical device sector ‒ a significant move that could threaten the dominance of foreign companies in the country. In June 2014, investigators also started an anti-dumping probe into foreign dialysis kit manufacturers, although that investigation was cancelled, according to various published reports. Moreover, the government has tightened medical device regulations, updated clinical and device registration requirements, and imposed heftier fines for corrupt practices in the sector.
The commitments come as a result of Joint Commission on Commerce and Trade bilateral talks held between Chinese and U.S. trade officials.
"They agreed to cut red tape for imports of new and innovative pharmaceuticals and medical devices and to deal with the backlog," U.S. Commerce Secretary Penny Pritzker told Reuters.
China also agreed to publish the results of administrative proceedings of anti-trust cases involving American companies. In addition, it will allow those companies to consult with their own legal counsel, which now will be able to attend those proceedings under certain conditions, Reuters reported.
Pritzker said the promises from Chinese regulators about the medical device and pharmaceutical industries “should lead to (an) increase in U.S. exports and U.S. jobs in these two important sectors,” according to a Fox Business report. Industry statistics indicate the trade between the United States and China amounted to $617 billion in 2013.
American medical device companies are pouring investments into China in attempts to strengthen their presence. Johnson & Johnson entered the Chinese market 28 years ago, and it recently was granted approval to produce and market trauma products from its Suzhou plant. Similarly, Medtronic plc has secured approval from Chinese antitrust regulators in regards to its purchase of Covidien. The Advanced Medical Technology Association (AdvaMed) also received permission from China to establish an office in Shanghai in 2014.
Despite these moves, however, U.S. companies are still worried that China is reneging on past assurances to open up the market by leaning towards protectionist policies that could favor Chinese companies.
According to the Fox, “business groups have expressed concern about a wave of Chinese anti-monopoly investigations, suggesting Beijing is improperly using those probes to pressure foreign companies to cut prices or change business practices.”
A top Chinese official has said the government wants to boost the local medical device sector ‒ a significant move that could threaten the dominance of foreign companies in the country. In June 2014, investigators also started an anti-dumping probe into foreign dialysis kit manufacturers, although that investigation was cancelled, according to various published reports. Moreover, the government has tightened medical device regulations, updated clinical and device registration requirements, and imposed heftier fines for corrupt practices in the sector.