Merck Serono, a division of pharmaceutical and chemical giant Merck KgaA, plans to establish a global research and development (R&D) center in Beijing, to strengthen its global R&D capabilities and expand business in China, said company executives yesterday.
The Geneva-based company will invest more than 150 million euros and create more than 200 new jobs over the next four years to set up the new center and conduct R&D activities in China.
Research conducted in the center will mainly focus on biomarker research including pharmacogenomics and bioanalytics activities.
"The creation of the China R&D center marks a new milestone in Merck Serono's commitment to China, where there is a rising demand for more healthcare options," said Elmar Schnee, president of Merck Serono.
According to Schnee, the investment will go to areas that help China to address some of its public health needs that currently are not met.
By 2011, the capacity of China's pharmaceutical market may exceed 310 billion yuan, the third biggest after United States and Japan, according to data from IMS Health.
"The new center will help us to deliver products to consumers in China three to four years ahead of schedule and also boost our business here," said Sui Chenghao, managing director of Merck Serono China.
During the first nine months of this year, Merck's sales in China surged 40 percent year-on-year. Sui said he expects sales to grow by 30 percent next year.
The R&D center will become one of the key hubs for Merck Serono worldwide, said the company. It currently has hubs in Germany, Switzerland and the United States.
According to the executives, the center will lead drug development for China and other Asian countries. It would also help in local clinical trials and participation in global clinical trials, and manage collaboration with local research institutions and companies.
Merck Serono currently employs more than 1,000 people in China. With an annual R&D expenditure of around 1 billion euros, its main brands focus on cancer, multiple sclerosis, infertility, endocrine and metabolic disorders, and cardio metabolic diseases.
