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NANJING, Aug. 22 -- U.S. leading supplier of biotechnology products and services, Thermo Fisher Scientific, will set up a new production base in the city of Suzhou, east China's Jiangsu Province, as part of its long-term investment in the China market.

The plan was unveiled when the company signed an agreement with the hi-tech development zone of Suzhou New District (SND) Wednesday to increase investment in China.

Despite the short-term challenges posed by the escalation of U.S.-China trade frictions, Thermo Fisher Scientific remains optimistic about the long-term growth opportunities in China, one of its most important markets worldwide, and will continue to invest in it, said Syed Jafry, the firm's senior vice president.

The Fortune 500 company plans to build a base in the SND manufacturing series products of single-use bioreactor bag, with the phase I project expected to be put into operation in 2024.

The production base will provide services to major biomedicine clients within and around the SND, according to the company.

Seizing the momentum of China's healthcare industry, the company has posted rapid growth in China since the establishment of its largest single manufacturing plant, Thermo Fisher Scientific (Suzhou) Instruments Co., Ltd, in 2011.

SND's medical device industry has seen an average annual growth rate of over 30 percent in recent years. Related firms, from both home and abroad, exceeded 300 in number at the end of 2018, up from 87 in 2011, according to SND director Wu Xinming.

In 2018, the SND's biotechnology and new pharmaceutical industries generated more than 10 billion yuan (about 1.41 billion U.S. dollars) in output value, added Wu.

During the January-June period, foreign investment actually utilized by Jiangsu Province ranked first nationwide to reach 15.25 billion U.S. dollars, as overseas companies showed confidence to further tap the market.