Merck to Collaborate with Donghao Lansheng to Pilot New Import Policy in China

Merck is first international company to pilot the new custom clearance process

SHANGHAI,Nov. 8,2020 -- On November 6,Merck,a leading science and technology company,announced the signing of a Letter of Intent with Donghao Lansheng (Group) Co.,Ltd. The agreement,which was signed at the 3rd China International Import Expo in Shanghai,will pilot a new process that facilitates custom clearance of research materials for biomedical innovation and analytical use. This means that Merck will be able to process shipments with fewer application and technical dossier requirements.

From left to right: General Manager of Shanghai Medicines & Health Products Mr. Xue Weibin; Merck China President,Managing Director of Performance Materials Merck China Mr. Allan Gabor; Managing Director of Merck China Life Science Mr. Steve Vermant; Director General of China (Shanghai) Pilot Free Trade Zone JinQiao Administration Mrs. Yang Ye.

"There are tremendous opportunities for scientific and medical advancement,especially in light of the Covid-19 pandemic," said Steve Vermant,managing director,Life Science,at Merck in China. "This new policy sets an important precedent for future collaborations building on the strong support from the Chinese government."

Keynote by Steve Vermant，Managing Director of Merck China Life Science

As the first and only company to be accepted by the Shanghai government to pilot this new process,Merck will be given priority to import,in collaboration with Donghao Lansheng,a certain number of research materials under the Q-license,a customs clearance permit for importing medicine. The new process will enable the license application and allow multiple shipments to China under a single license. This is an important new benefit,as each license previously allowed only one-time shipments,and a single license will now be permitted to make multiple shipments.

"We are extremely pleased to be partnering with Merck,a world leader in our industry,in piloting this new process," said Mr. Wang Qiang,chairman of Donghao Lansheng. "We look forward to collaborating with Merck to move our industry forward together and ultimately benefit Chinese customers."

This pilot process comes at a time when biomedical innovation is front and center,with the Covid-19 pandemic continuing to cause global challenges. The biomedical field was designated a strategic focus area in China's 13th Five-Year Plan and will continue to play a major role in the development of the country's 14th Five-Year Plan in 2021. The Shanghai government has prioritized initiatives such as this collaboration and continues to create partnership opportunities.

The success of this collaboration between Merck and Donghao Langsheng represents an important milestone in improving the availability of global research materials in supporting biomedical innovation in China,helping to significantly ease importation barriers on key materials needed for specialized research and ensuring more efficient flow of supplies critical to the development of life-saving therapies. The pilot further opens up the potential for Merck to propel Q-license exemption in the future,which would provide significant benefits to customers in China.

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About Donghao Lansheng (Group) Co.,Ltd

Donghao Lansheng (Group) Co.,Ltd. Is a large modern service industry state-owned key enterprise group in China. It ranks 129th among the top 500 of Chinese enterprises and 54th among the top 500 of the service industry. In 2019,the group's operating revenue reached 174.9 billion yuan. The group adheres to the direction of marketization and internationalization,highlights its professional advantages,focuses on the three core businesses of human resources service,exhibition & events service and international trade service,and equipped with property sector and financial sector,integrated resources,elevates energy levels,constantly enhances its core competitiveness,adheres to the enterprise mission of "Our Service,Your Success," and strives to become the "Pacesetter in the Modern Services Industry."

About Merck

Merck,operates across healthcare,life science and performance materials. Around 56,000 employees work to make a positive difference to millions of people's lives every day by creating more joyful and sustainable ways to live. From advancing gene editing technologies and discovering unique ways to treat the most challenging diseases to enabling the intelligence of devices – the company is everywhere. In 2019,Merck generated sales of €16.2 billion in 66 countries.

Scientific exploration and responsible entrepreneurship have been key to Merck's technological and scientific advances. This is how Merck has thrived since its founding in 1668. The founding family remains the majority owner of the publicly listed company. Merck holds the global rights to the Merck name and brand. The only exceptions are the United States and Canada,where the business sectors of Merck operate as EMD Serono in healthcare,MilliporeSigma in life science and EMD Performance Materials.