Global pharmaceutical giant AstraZeneca will open a new regional headquarters and a manufacturing and supply base in Qingdao, eastern China's Shandong province, the company announced during the ongoing third Qingdao Multinationals Summit on Monday.

As part of a Memorandum of Understanding (MOU) with the Qingdao municipal government, the company plans to build an innovation center focusing on the diagnosis and treatment of rare diseases, a life science innovation campus (iCampus), a research academy, and an industry fund.

At the summit, AstraZeneca also unveiled its investment plan in Qingdao High-Tech Industrial Development Zone to build a manufacturing and supply base that produces Budesonide, Glycopyrronium Bromide, and Formoterol Fumarate Inhalation Aerosol.

The announcement came as China continues to cope with the risks of a COVID-19 resurgence caused by flare-ups of the Omicron variant, raising concerns around the world that lockdown measures may hurt the world's second largest economy. 

Speaking on the sidelines of the summit, Leon Wang, executive vice president, international and China president of AstraZeneca, said China remains one of the world's most attractive markets and provides favorable business environment through continued efforts to open up its economy.

"We are confident that China's economy is resilient enough to withstand the pandemic and is on course to bounce back with a strong performance," Wang said. 

Latest statistics have shown that China's economy has gradually overcome the negative impacts of the pandemic, with main indicators showing marginal improvements in May.

Fixed-asset investment rose 6.2% in the first five months. Industrial output grew 0.7% in May from a year earlier, after falling 2.9% in April. China's exports jumped 15.3% year on year in May, beating expectations, as factories restarted and logistical snags eased.

Apart from Qingdao, AstraZeneca has five other regional headquarters in Beijing, Guangzhou, Wuxi, Hangzhou, and Chengdu that work closely with its China headquarters in Shanghai to establish a strategic presence in China.

Qingdao was one of China's first 14 coastal cities to open up to the world, Wang said. "It enjoys a favorable business environment, a sophisticated medical foundation, relaxed market access in rare disease diagnosis and treatment, and has a huge appeal to foreign investment and talent."

Wang said AstraZeneca is very honored to renew its relationship with Qingdao and will work together with the city to promote the rapid development of the local bio-pharmaceutical industry.