GE Healthcare Technologies Inc., one of the world’s leading medical technology firms, is reportedly weighing a significant strategic move in China. According to Bloomberg, the US-based company is exploring options that could include selling a stake in its China unit—a decision that could reshape its presence in one of the globe’s most vital healthcare markets. The news comes at a time of mounting challenges for foreign businesses in China, as economic headwinds and political complexities test the patience and optimism of multinational corporations.
People familiar with the matter, who requested anonymity due to the private nature of the deliberations, told Bloomberg that GE Healthcare has been working with advisers to evaluate a range of possibilities for the China business. While the process is still in its early stages, and no final decisions have been made, a potential transaction could value the China assets at several billion dollars. That’s no small sum, especially given the company’s storied history and long-standing investments in the region.
Reuters echoed Bloomberg’s reporting on September 18, 2025, confirming that GE Healthcare (traded as GEHC.O) is indeed working with advisers to explore such options. The company has not issued a formal statement outlining the specifics of its plans, and when asked for comment, a spokesperson for GE HealthCare demurred, saying, “The company does not respond to market rumors.” However, the spokesperson did add, “GE HealthCare remains committed to supporting patients in China, which is one of the largest healthcare markets globally.”
This assurance comes at a critical moment. For years, China has represented both a lucrative growth opportunity and a complex operational challenge for US medical device makers. But in recent times, the landscape has shifted. Political tensions between Washington and Beijing have intensified, trade barriers have become more pronounced, and local competition has grown fiercer. On top of these issues, China’s economic growth has slowed, further eroding the confidence of foreign firms hoping to expand or even maintain their market share.
According to a survey published just last week by the American Chamber of Commerce in Shanghai, optimism among US companies regarding their five-year China business outlook has plummeted to a record low of 41%. This figure underscores a dramatic shift in sentiment, reflecting both immediate operational difficulties and longer-term strategic uncertainties. For a company like GE Healthcare, which has operated in China for decades, these pressures are not just abstract—they’re showing up in the numbers.
The company’s revenue from China declined by about 15% in 2024, a drop attributed to weakened sales and the impact of tariffs. This is a significant hit for a firm that once counted on China as a reliable engine of growth. In July 2025, GE Healthcare’s chief financial officer acknowledged these challenges, stating that the company would “continue to work with its suppliers to move capacity to more tariff-friendly geographies.” This move is seen as an attempt to mitigate the impact of ongoing trade disputes and to protect the company’s global supply chain.
Despite these headwinds, investors seemed to react positively to the news of a potential stake sale. On September 18, 2025, GE Healthcare’s shares were up 1.4% in premarket trading. This uptick suggests that markets may view the company’s willingness to reconsider its China strategy as a prudent and potentially value-enhancing step. After all, unlocking capital from a partial sale could allow GE Healthcare to invest in other growth areas, strengthen its balance sheet, or simply weather the ongoing turbulence with greater resilience.
But what’s driving GE Healthcare to consider such a move now? Several factors appear to be converging. First, the broader macroeconomic environment in China is less favorable than it was just a few years ago. Slowing GDP growth, persistent deflationary pressures, and a property sector mired in crisis have combined to dampen demand for high-end medical equipment. Second, domestic competitors in China have become more sophisticated, offering products that increasingly match or even surpass the capabilities of foreign brands—often at lower prices.
Third, the geopolitical climate has become markedly more fraught. US companies operating in China face the constant risk of new tariffs, regulatory hurdles, and even informal pressure from local authorities. These uncertainties make long-term planning difficult and have led many firms to reconsider their exposure to the Chinese market. For GE Healthcare, which must also contend with the highly regulated nature of medical technology sales, these risks are particularly acute.
It’s worth noting that GE Healthcare is not alone in facing these challenges. The American Chamber of Commerce in Shanghai’s recent survey highlights a growing sense of unease among US firms across a range of industries. Many are re-evaluating their China strategies, weighing the benefits of continued investment against the risks of political fallout and economic instability. Some have already begun to shift production or sourcing to other countries in Asia, seeking to diversify their supply chains and reduce their vulnerability to future shocks.
Yet, despite these challenges, the Chinese healthcare market remains enormous. With a population of more than 1.4 billion people and a rapidly aging demographic, demand for advanced medical technologies is expected to remain strong over the long term. GE Healthcare’s statement that it “remains committed to supporting patients in China” suggests that, whatever the outcome of its current deliberations, the company is unlikely to abandon the market entirely.
Instead, a partial stake sale could represent a pragmatic compromise—allowing GE Healthcare to maintain a foothold in China while sharing risk with local partners or investors. Such a move might also help the company navigate the increasingly complex regulatory environment, as joint ventures or minority partnerships are sometimes viewed more favorably by Chinese authorities.
For now, the process remains in its early stages. As Bloomberg reported, “the considerations are preliminary and no final decisions have been made.” Still, the very fact that GE Healthcare is exploring these options speaks volumes about the shifting dynamics of global business in 2025. Companies must remain nimble, balancing short-term pressures with long-term opportunities in a world that feels less predictable by the day.
As the situation develops, all eyes will be on GE Healthcare to see how it adapts to these new realities—and what its next move will mean for the future of US-China business relations and the global healthcare industry at large.
