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Richmans' Trade and Taxes Blog
Pfizer moving R&D from Connecticut to China
Pfizer may be the first American company to respond to China's demand that they move their R&D to China in order to do business with the Chinese government. The following is an excerpt from an article (Western Firms move R&D and other Assets to China) in the February 25 issue of China Daily:
New York-based Pfizer said last month it's expanding R&D operations in Wuhan, China. At the same time, it's closing a big R&D center in New London, Conn., and consolidating research at its Groton, Conn., lab. Pfizer is also sharply expanding its R&D facility in Shanghai and raising drug output in Dalian, in Liaoning Province.
In December (see Obama Giving U.S. R&D to China), China issued new rules requiring that American companies move their R&D and patents to China. President Obama's response was to take a "tougher tone" with China. Nicholas Lardy of the Peterson Institute said Obama was “trying to head off critics in Congress who think the administration is lying down in front of the Chinese.”
Comment by Zbigniew Mazurak, 2/29/2010:
I guess you gentlemen didn't need to wait long for your prediction to be proven correct.
Stripping America of its industry would basically mean downgrading the US economy to its pre-1800 status.
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