Korean botulinum toxin firms are experiencing delays in penetrating the competitive Chinese market due to increased regulatory scrutiny and intensified competition. Companies such as I-Maker Technology and Daewoong Pharmaceutical have postponed their launches, while new entrants are changing market dynamics. Amid this backdrop, the Chinese market is projected to reach $1.55 billion by 2025, highlighting its significance and the need for effective strategy adoption by new entrants.
Korean botulinum toxin manufacturers face substantial delays in entering the Chinese market, a significant global player for botulinum toxin products. Intensifying competition coupled with increasing regulatory scrutiny has shifted market dynamics considerably. In 2018, I-Maker Technology launched Huons’ botulinum toxin but has since postponed its commercialization from December 31, 2024, to December 31, 2025, citing regulatory delays.
Similarly, Daewoong Pharmaceutical has delayed the launch of its botulinum toxin “Nabota” until 2025 despite completing necessary regulatory inspections. The initial application for approval was made in 2021, aimed at gaining market entry by 2022. However, their launch has faced unforeseen challenges, implicatively due to stringent regulatory requirements, delaying the anticipated approval until as early as the first half of next year.
In 2023, the Chinese market witnessed considerable transformations with the approval of two new products, increasing the total of approved botulinum toxin products to six. The traditional market leaders, including Allergan and Merz, face stiff competition from Fosun Pharma, whose new product “DaxibotulinumtoxinA” has adopted a disruptive pricing strategy, thereby escalating market price competition.
Amidst rising competition and regulatory hurdles, other Korean and Chinese firms are also advancing through similar procedures to gain market entry. An industry expert remarked that the growing interest in K-beauty intensifies demand for domestic botulinum toxin, indicating that the market is a lucrative opportunity that cannot be overlooked. Increased competition in this sector is all but certain.
The allure of K-beauty continues to boost demand for Korean botulinum toxin products, marking the Chinese market as a high-priority target for Korean firms. Nevertheless, they must navigate complex regulatory environments and face established competition from existing market players. Goldman Sachs forecasts that the Chinese botulinum toxin market will reach $1.55 billion by 2025, highlighting its strategic significance and potential gains for successful entrants.
The article discusses the challenges faced by Korean botulinum toxin companies attempting to enter the lucrative Chinese market. This sector has seen increased competition and regulatory scrutiny, affecting the commercialization timelines of various products. Established foreign brands hold significant market shares, and new entrants must strategize effectively to navigate regulatory challenges. Furthermore, market analysts predict considerable growth in this market segment, making it essential for companies to expedite their entry processes.
In summary, Korean companies are finding it increasingly challenging to penetrate the Chinese botulinum toxin market due to delays from regulatory scrutiny and rising competition. Major players like I-Maker Technology and Daewoong Pharmaceutical have postponed their launches, intensifying competition among both domestic and foreign firms. As the market is projected to expand significantly, successful navigation through the compliance landscape will be vital for any prospective entrant.
Original Source: www.businesskorea.co.kr
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