The policy and business landscape in China is constantly evolving, creating new opportunities and avenues. However, navigating the complexities of these news and separating the signal from the noise can be challenging, with risks of following the wrong trends or missing relevant updates. At MRL Advisors, our dedicated teams on the ground in China stay on top of the latest developments and bring deep expertise to help you focus on what matters most. We believe that understanding these shifts is essential to understanding China, which is why we provide a bi-annual summary highlighting the most significant regulatory, investment and market developments.
Investments: Western Firms’ Long-Term Commitment to China
Gaggenau launches flagship store in Beijing
Mar, 2025 – China Daily
German luxury kitchen appliance brand Gaggenau, part of BSH Home Appliances, opened a new flagship store in Beijing, its second in China after Shanghai. The company plans to expand further with stores in Hangzhou (2025) and Shenzhen (2026). Leveraging China’s rising demand for premium products, policy support, and innovation strength, Gaggenau will roll out new, tech-driven appliances tailored to Chinese consumers. The company also sees strong opportunities from China’s appliance trade-in policy, which boosted the home appliance market with over 240 billion yuan in sales in 2024.
Zeiss expands its innovative footprint in China
Apr, 2025 – China Daily
German optical giant Zeiss is deepening its commitment to China with $82.4 million expansion of its Shanghai HQ and continued investment in innovation, AI, and digital transformation. Leveraging China’s speed, talent, and manufacturing strength, Zeiss is driving growth in key sectors like medicine, microscopy, and lenses. Its operations in Guangzhou and pilot AI projects, like an eye care chatbot, reflect a strategy focused on customer-centric solutions and global rollout from China. The company sees China as a key innovation hub and critical to its international success.
Siemens Healthineers expands Made-in-China product line for 2025
Apr, 2025 – China Daily
Siemens Healthineers plans to launch 20 Made-in-China products in fiscal 2025, highlighting its deep localization strategy and growing investment in China’s healthcare market. With over ¥1 billion invested in a new Shenzhen R&D and production base, the company is expanding its footprint and showcasing cutting-edge technologies like AI-powered imaging and innovative MRI systems at CMEF. Siemens aims to integrate China into the global high-end medical device value chain.
Swiss drugmaker to build new manufacturing facility in Shanghai
May, 2025 – Xinhua
Roche is investing ¥2.04 billion (≈ $283 million) to build a new 35,300 m² biologics manufacturing facility in Shanghai’s Zhangjiang High Tech Park for Vabysmo production, set to be completed by 2029 and operational by 2031 to enhance its localized biopharma capabilities in China.
Tesa, Adhesives firm doubles down on energy storage
Jun, 2025 – China Daily
German adhesive solutions company tesa is intensifying its focus on China’s rapidly growing energy storage sector. With an annual R&D investment accounting for 6% of global revenue, tesa aims to leverage its expertise in heat-activated tapes and sealing technologies to support battery safety in electric vehicles and energy storage systems. The company has established a partnership with Soochow University to advance the development of advanced materials, aligning with China’s emphasis on innovation and sustainability. As China leads the world in energy storage capacity, tesa is committed to meeting the evolving demands of local customers and contributing to the country’s green transition.
Regulatory Reforms: Easier Access for Foreign Investors in China
China deepens comprehensive reform to strengthen drug, medical device regulation
Jan, 2025 – Xinhua
China has issued a guideline on comprehensively deepening the reform of regulation of drugs and medical devices to promote the high-quality development of the pharmaceutical industry.
China: Strategic Importance for Global Growth
BMW to integrate DeepSeek AI in new vehicles in China
Apr, 2025 – Xinhua
BMW will integrate Chinese startup DeepSeek’s AI-powered large language model into its new vehicles in China later this year to enhance its Intelligent Personal Assistant and expand in-car intelligent capabilities
German firms plan to invest more in China
May, 2025 – China Daily
German companies, especially small and medium-sized „hidden champions,“ are increasingly interested in investing in China. Over half plan to boost their investments there in the next two years, focusing on research, development, and innovation. The China-Germany industrial parks help both sides leverage their strengths, and experts say not investing in China means missing out on access to the large Asian market.
Bayer and Tsinghua agree latest installment of pharmaceutical partnership
Jun, 2025 – China Daily
Bayer and Tsinghua University have launched the sixth phase of their collaboration—strengthening joint research on drug discovery in oncology, cardiovascular, neurology, immunology, and rare diseases, with continued funding and knowledge-sharing through 2028Bayer and Tsinghua University have launched the sixth phase of their collaboration—strengthening joint research on drug discovery in oncology, cardiovascular, neurology, immunology, and rare diseases, with continued funding and knowledge-sharing through 2028.
