Top executives weigh in at CIIE (V)

A1: This is the fourth consecutive year for Herbalife Nutrition to participate in the CIIE. This platform provides a very good opportunity for us to listen to the voice of Chinese consumers, communicate with other industry players, and better understand the market and industry trends. We are very excited to showcase Herbalife Nutrition's best-selling overseas products to Chinese visitors at this event.

A2: The CIIE serves as a testimony that COVID-19 gets effectively controlled in China, and it represents a steady recovery and long-term momentum of the Chinese economy. Hosting of the CIIE itself also demonstrates China's sincere desire to share its market opportunities with the world and contribute to global economic recovery.

A3: We noticed that China's GDP grew by 9.8 percent year-on-year in the first three quarters. This again shows that China, as the world's second-largest economy, has become a major contributor to the global economy under the backdrop of the worldwide pandemic. China's opening-up and optimized business environment will present significant opportunities for foreign companies including Herbalife Nutrition, and we will continue to invest in the Chinese market.

A4: Over the years, Chinese people are attaching greater importance to nutrition and health. Statistics show that the market size of China's nutrition and healthcare products was less than 100 billion yuan ($15.6 million) in 2013, and is expected to exceed 320 billion yuan in 2023. China's efforts to boost domestic demand will absolutely drive up consumption in nutrition and the healthcare industry. All of these will bring huge opportunities to the industry and have firmed up the company's decision to keep investing in China. We are very optimistic about the future prospective of the Chinese market.

A5: It's true that the business environment in China is improving continuously. I believe the policy measures launched by the Chinese government, such as encouraging innovation and entrepreneurship, stimulating market vitality, simplifying enterprise registration, will surely support foreign enterprises to tap the potential of the Chinese market.

A6: In recent years, China has continued to expand its opening-up and create more development opportunities for foreign-funded companies. The optimization of the business environment is an important move. For instance, enterprise registration process is simplified in China, and the country has been continuously shortening the negative list for foreign investment. Besides, government officials have visited Herbalife Nutrition many times to understand the support we need and help us solve these problems. China's openness and welcoming attitude allow foreign-funded companies, including Herbalife Nutrition, to come to invest more conveniently and confidently.

A7: We are very glad to see China's efforts on broadening market access to foreign investors. In 2020, the country released a revised industry catalog that names 127 more items encouraging foreign investment. Moving forward, we expect more favorable policies to be released in terms of broadening market access for foreign investment, as China is comprehensively implementing the Foreign Investment Law and its supporting regulations.

A8: We noticed that China's overall tariff level has dropped from 15.3 percent at the time of joining the WTO to 7.4 percent, lower than that of all developing members and close to that of developed members of the organization. This is absolutely a demonstration that the country has been continuously expanding opening-up and promoting free trade.

Besides, holding the CIIE also demonstrates China's commitment to open up its market wider to the world. This is a significant measure in terms of upholding free trade and economic globalization.