U.S. medical device manufacturer GE HealthCare is discussing options for its China business with advisory teams, including the possibility of selling the entire business unit. Sources say the valuation of GE HealthCare's China operations could reach several billion dollars, but the discussions are still in the early stages and the specific amount has not been determined. A GE HealthCare spokesperson told the media on Thursday that the company remains committed to serving patients in China.

China is GE Healthcare's second-largest market globally. According to its latest annual report, the company employs approximately 7,000 staff in China and operates six manufacturing facilities. In 2024, GE Healthcare's revenue in China reached $ 2.4 billion, a 15% year-on-year decline. The company attributes the performance decline mainly to delayed orders and sales disruptions caused by China's anti-corruption campaign in the healthcare sector. The company's Q2 2024 financial report further shows a 3% sequential revenue decrease in the Chinese market.

GE Healthcare's China business is facing multiple challenges. On one hand, the ongoing domestic medical anti-corruption campaign is continuously affecting the procurement pace of high-end medical equipment. On the other hand, global supply chain adjustments and tariff policy changes are also prompting multinational enterprises to reassess their regional. GE Healthcare's Chief Financial Officer stated in July this year that the company will continue to cooperate with suppliers to transfer production capacity to regions with more favorable tariff policies.

It is worth noting that GE Healthcare, the former medical division of General Electric (GE), completed its spin-off and listed independently in 2023. Since the beginning of this year, affected by factors such as performance fluctuations and market environment, GE Healthcare's stock price has累计dropped by 2%, with its current market capitalization at approximately $ 35 billion. The recent rumors about its China business disposal may serve as an important signal of the company's strategic adjustment and global resource allocation optimization.

Source: China Nuclear Technology Network