General Electric (GE), the global conglomerate whose businesses include consumer and business financing, power generation, household appliances, aircraft engines, medical imaging and media content, said it plans to invest more than $2 billion in China through 2012 in research and development, technology and financial services partnerships.

"China is the world's fastest-growing market for aviation, energy, transportation, health care and financial services," said GE Chairman and CEO Jeff Immelt in Beijing.

"These commitments represent GE's confidence in China's long-term economic prospects," added Mark Norbom, president and CEO of GE Greater China. GE sales in China have grown roughly 15% a year on average over the past 10 years, according to the company.

The Fairfield, Conn.-based company plans to commit $500 million to enhance China R&D capabilities in new centers in six cities. The centers will focus on development in key areas for China such as rural health care, renewable and clean energy, smart grid technology, energy-efficient lighting, rail and aviation.

Immelt also pledged to invest more than $1.5 billion to fund new joint ventures with Chinese state-owned enterprises in key high-technology sectors to help meet "growth challenges" in China. He unveiled a a series of partnerships with Chinese firms.

These 50/50 joint ventures cover a wide array of technologies, among them locomotive propulsion with Chengdu Locomotive & Rolling Stock Works; rail signaling with Beijing National Railway Research & Design Institute of Signal & Communication; and smart grid technologies with Wuhan NARI, which is owned by China's State Grid. GE also acquired a stake in Shanghai Tianling Switchgear for power distribution and metro solutions with Shanghai Electric Power.

Still, despite his apparent enthusiasm for the China, Immelt said he remained concerned about a Chinese industrial policy that favors and promotes homegrown technologies. The policy been widely criticized by foreign businesses as discriminatory, The Wall Street Journal reports.

"And we are worried about protectionism" in China and around the world, Immelt told reporters. But, as the WSJ notes, he added immediately that China's government also has "confirmed" to GE that it values foreign investment.


Increase your money and finance knowledge from home

Reading a Stock Quote

Learn to read the ingredients of a stock.

View Course »

What is Short Selling?

Make a profit when stocks prices fall.

View Course »

Add a Comment

*0 / 3000 Character Maximum

43 Comments

Filter by:
allisonisa39e

This what unions, taxes and pension plans are doing to the USA. A company must make a profit. If the company can not produce a cost competitive product in the USA it has two choices 1) Go broke and thus leave its employees all unemployed or 2) Move its production facilities to another Country. At least some of the employees in the US will still be employed and the company will still pay some taxes in the US.

November 10 2010 at 6:17 AM Report abuse +1 rate up rate down Reply
Richard

AOL, WHERE DID THE VOTES GO, ARE YOU PROTECTING GE??? I looked and there were all kinds of yes votes critizing GE. Now I look again and all those critical votes are gone. Whats the scoop on that slight of hand ??

November 10 2010 at 3:02 AM Report abuse rate up rate down Reply
Richard

Boycott GE..Play the same game as the liberals do. The libs boycott fox news advertisers so turn around is fair play. BOYCOTT THOSE SKUNKS AT GE, STANDUP FOR AMERICA. TWO BILLION COULD HAVE CREATED A LOT OF AMERICAN JOBS. GE YOU SUCK AND ARE UNAMERICAN. TRAITERS TO THIS COUNTRY !

November 10 2010 at 2:56 AM Report abuse +2 rate up rate down Reply
Richard

That makes sense to the people who own MSNBC the Communist news network. They are propagandizing to kill the dollar, and also are against the conservative American capitalist system. But they are eager to make a buck off the people who have one of the worst human rights records in the world. GE YOU SUCK, TAKE YOUR MONEY AND MOVE TO CHINA. And take those traitors to freedom with you. I refer to Pompous Keith Olberman, Maddow, Matthews, and the other ogres who work for you. Leave our Country now !!

November 10 2010 at 2:47 AM Report abuse +1 rate up rate down Reply
selene

If only GE would invest that money in the United States of America ... -- hmmmm ...... Enough of the incessant kow-towing to the Chinese. We need to focus on economic matters and jobs here at home. Perhaps the novel idea of a tax credit could be offered in this instance, to all companies that are American-job-friendly, and double taxes levied against those companies that export jobs overseas .... but where, oh where, is the great defender of our country when we need him? ... in China, of course!

November 10 2010 at 1:07 AM Report abuse +1 rate up rate down Reply
Mingo

GE and Obama have betrayed America. Obama YOU preach green and let GE off the hook Make them clean up their poison . How about paying back any bail-out money to the tax payer. Yep all up front Obama ???>???? Time we the People demanded that NO money from companies or special interest groups be used in electons That includes unions like in GM that got bailed out and put money back into Obamas election

November 09 2010 at 10:24 PM Report abuse +4 rate up rate down Reply
buckoffama

Labeled “climate revenues” and totaling $646 billion over eight years, this line item in Obama’s budget has inspired confidence in GE Chief Executive Officer Jeff Immelt. As Immelt put it in a letter this week, he believes that the Obama administration will be a profitable “financier” and “key partner.”

November 09 2010 at 9:55 PM Report abuse +2 rate up rate down Reply
buckoffama

No GOP takeover. Obama had GE reps with him in India - that trip was planned back in June - Republicans had nothing to do with it. GE took a $140 BILLION bailout from the Feds. You can also go to opensecrets.org and look at what GE dumped into the Obama campaign. Nice - they donated and got it ALL back and a box o rocks too. Did the American citizens really believe that was going to be pumped back into American jobs? Then Google "top toxic 100 polluters" and there sits GE. Labeled “climate revenues” and totaling $646 billion over eight years, this line item in Obama’s budget has inspired confidence in GE Chief Executive Officer Jeff Immelt. As Immelt put it in a letter this week, he believes that the Obama administration will be a profitable “financier” and “key partner.” Until Americans put their money where their mouths are, scum like GE, who makes one of the most inferior products in the world, will continue to prosper at the expense of the US citizens and jobs. See full article from DailyFinance: http://srph.it/ch1bDi

November 09 2010 at 9:44 PM Report abuse +2 rate up rate down Reply
1 reply to buckoffama's comment
selene

I, too, am of the impression that it's not the GOP and far beyond rational, predictive American thought as to the level of corruption and scathing, blatant piracy that's happening right before our trusting, unblinking eyes. Where do we pull the proverbial plug on this regime?

November 10 2010 at 1:29 AM Report abuse rate up rate down Reply
Mingo

GE has been in China for a long time. They were one of the first and for the most part hid their business inland there so no one see them, I'm sure they recieved many tax dollars to help them move there and i'm sure they gave many dollars back to those in office that supported them. This is a sin for them to do this . Why you ask ? well GE like many USA companies have lived all over the world at the protection of our military. Lots of young peope have died protecting USA companies interest. THANKS GE you were one company that did state we need to invest at home . YOU should be called on that

November 09 2010 at 7:09 PM Report abuse +8 rate up rate down Reply
bettyverret

keep it up China will own us before it is over.

November 09 2010 at 6:59 PM Report abuse +6 rate up rate down Reply
2 replies to bettyverret's comment
buckoffama

They already do. Go to the CIA's website - cia.gov > library > publications > theworldfactbook > rankorder. You will see every Nation listed by account balances - 190 of them. China is number one - USA is DEAD LAST. Y'all gotta start waking up, people.

November 09 2010 at 9:47 PM Report abuse +1 rate up rate down Reply
selene

done deal... they already do. When I worked at Dillard's Dept Store, I used to tell customers that "I" was the only thing in the store that wasn't made in China. We're there, baby!

November 10 2010 at 1:17 AM Report abuse +1 rate up rate down Reply