Medtronic Strengthens Local Capabilities with Comprehensive Upgrade of Kanghui Changzhou Science Park

ChangzhouJuly 2, 2022PR Newswire -- Medtronic Kanghui and the Changzhou National High-tech Industrial Development Zone recently signed a strategic investment cooperation agreement to jointly build the "Medtronic Kanghui Changzhou Science and Technology Park." This initiative will comprehensively upgrade regional advanced medical manufacturing capabilities, establish a leading orthopedic industry hub, and unlock the high-quality development potential and technological innovation vitality of the Yangtze River Delta region. These efforts aim to drive the upgrading of China's medical innovation industry chain and support the comprehensive construction of Healthy China.

Relevant leaders from Jiangsu Province, Changzhou City, and the High-Tech Zone, as well as Brett Wall, Executive Vice President of Medtronic and President of the Neuroscience Portfolio; Skip Kiil, President of Global Orthopedics and Neurosurgery at Medtronic; Gu Yushao, Senior Vice President of Medtronic and President of Greater China; Yu Jing, Vice President of Medtronic and General Manager of China Orthopedics and Neurosurgery Business Group, attended the signing ceremony and witnessed the opening of a new chapter of cooperation.

Medtronic Kanghui Changzhou Science and Technology Park Project Signing Ceremony

Adhere to the Localization Development Pathway to Boost ChinaUpgrade of Domestic Innovation Industry Chain

Kanghui is a well-known local orthopedic brand born in Changzhou. In 2012, Kanghui Medical became a wholly-owned subsidiary of Medtronic. Since then, the Medtronic Kanghui Changzhou production base has played an important strategic role in Medtronic's orthopedic business segment, providing key support for Medtronic’s orthopedic operations in China and globally. Over the past decade, Medtronic has continuously invested in capacity building at the Changzhou base, which has now completed a full integration with Medtronic’s global quality system. More than 60% of the over a thousand sets of production equipment are internationally state-of-the-art machining devices, representing the leading level of orthopedic manufacturing in China.

This strategic cooperation with Changzhou National High-tech Industrial Development Zone marks a new round of strategic upgrade initiated by Medtronic based on its long-term investment in Changzhou. In the future, the Medtronic Kanghui Changzhou Science and Technology Park will serve as both a regional base for Medtronic's global supply chain and the global headquarters for Kanghui Medical, while also enhancing the functions of the four major centers.

First,Intelligent Manufacturing Center.Vigorously promote the联动cooperation and technology sharing between the "Medtronic" and "Kanghui" brands, forming a dual-center production base for implants and equipment, enhancing medical efficiency, and promoting the widespread adoption of advanced technologies.

Second,Center of Excellence for Research and Development.Accelerate the research and development and localization of high-quality innovative products with full effort, promote the cultivation of local R&D talents, explore diversified cooperation with domestic innovative enterprises, and assist in the functional enhancement of localized innovative equipment.

Third,Innovation Incubation Center.Establish a medical, engineering, production, and research alliance to jointly develop and validate new technologies and products, promote therapy innovation, and continuously empower the innovation and development of the science park.

Fourth,Customer Innovation Experience Center.Based on advanced display platforms and internet technologies, collaborate with medical research institutions and hospitals to establish a doctor training system and enhance the interactive experience between doctors and users.

"The life and health industry is one of the key leading industries prioritized for development in Changzhou and the High-Tech Zone. As an important leading enterprise in medical technology in Changzhou, Medtronic Kanghui has played a crucial leading role in regional economic development. Medtronic has maintained positive interactions with municipal governments at all levels in our city and carried out a series of in-depth cooperation initiatives, committing to jointly build a medical device industrial cluster in Changzhou."Chen Jinhu, Secretary of the Changzhou Municipal Committee, said,"To further implement the innovation-driven development strategy, strengthen enterprise innovation incentives, promote industrial upgrading and optimization, and truly make innovation the core new driver of high-quality development is an important task at present. It is hoped that through the strategic cooperation with Medtronic Kanghui, we can further jointly promote and build a sustainable regional innovation ecosystem, continuously stimulating the vitality of local medical innovation and the internal driving force of economic development."

"This investment is another significant step in Medtronic's ongoing localization efforts, demonstrating its firm confidence in the Chinese market and further strengthening the foundation for Medtronic's sustainable development in China. We will continue to contribute to enhancing China's medical equipment manufacturing capabilities and the level of the innovation industry chain, fulfilling our commitment to the Chinese market and patients."Medtronic Global Senior Vice President and Greater China President Gu Yushao stated,"At the same time, we would like to express our heartfelt gratitude to the leadership teams of Jiangsu Province, Changzhou City, and the High-Tech Zone for their great trust and strong support in Medtronic. Medtronic will continue to pursue a localized development path, promoting the regional economic growth of Changzhou and Jiangsu as well as the sustainable development of China's healthcare industry."

PioneeringIntelligentA New Paradigm of Orthopedic Integration: Enhancing High-Quality and Affordable Orthopedic Medical Services in China

China's orthopedic medical industry is about to enter a brand-new stage of development, with intelligent integration being the future trend of the orthopedic industry. Medtronic, with its comprehensive product line covering implant consumables, intelligent orthopedic equipment, and robotic systems, a well-established professional education system, and strong innovative service capabilities, has launched SURGICAL SYNERGY.^™Integrated Intelligent Orthopedic Solution, serving clinical needs with a comprehensive intelligent solution. At the same time, it is committed to establishing itself as the new standard in the intelligent orthopedics industry, aiming to achieve the goal of "simplifying complex surgeries and standardizing simple surgeries," making orthopedic surgeries more precise, safe, efficient, and intelligent. This solution boosts doctors' confidence and patients' peace of mind while enhancing the level of medical services.

Medtronic SURGICAL SYNERGY™ Integrated Spine Surgery Solution

The comprehensive upgrade of the Medtronic Kanghui Changzhou Science and Technology Park will fully empower the research and production of implants and smart devices, customer experience, and training and education, supporting the integrated development of Medtronic Kanghui Orthopedics Intelligence. The technology park will provide stronger local innovation and production capabilities for implants. Over the past two years, Kanghui has launched 8 innovative implant products, and in the coming years, it will continue to maintain the momentum of new product launches. By integrating industry wisdom and collaborating with academia, research, and medical sectors, Kanghui will accelerate the rollout of multiple innovative products that are locally developed and produced to both the Chinese and global markets, contributing to reducing healthcare costs and increasing healthcare accessibility.

At the same time, Changzhou Science and Technology Park will gradually build comprehensive local design and manufacturing capabilities for intelligent equipment. Currently, related projects such as orthopedic surgical robots have entered the preliminary preparation stage. In the future, Medtronic Changzhou Science and Technology Park will offer a broader range of locally innovated products to enhance SURGICAL SYNERGY.^™Intelligent orthopedic integrated solutions create a more diversified product portfolio, expand surgical coverage, and promote the popularization and penetration of advanced therapies by collaborating with upstream and downstream industry partners. Serving the ever-increasing clinical demands, it provides more localized innovative medical solutions for doctors and patients in China, enhancing the overall service level of orthopedic care in China.

"Kanghui originated in Changzhou and will also take off from Changzhou. This year marks the 25th anniversary of Kanghui Medical's establishment and the 10th anniversary of Kanghui joining Medtronic. Over the years, we have deeply cultivated the local market and are committed to promoting the high-quality development of orthopedics in China and the innovative upgrading of the industry."Yu Jing, Vice President of Medtronic and General Manager of China Orthopedics and Neurosurgery Business Group, stated,"The completion of the Medtronic Kanghui Changzhou Science and Technology Park will usher in a new era of leapfrog development for Kanghui Healthcare and boost the implementation of Medtronic's localization strategy. Centered around the Medtronic Kanghui Science and Technology Park, it will attract related supporting enterprises and innovative industry partners to gather, contributing to the establishment of Changzhou as a highland for the medical industry. In the future, we will use local 'intelligence' manufacturing to better meet the demands and challenges of China's orthopedic market, lead the upgrading of industry standards, create a new pattern of integrated intelligent orthopedics, provide doctors and patients with high-quality and accessible orthopedic medical services, and contribute to the construction of Healthy China."