China’s In Vitro Test Makers Seek Growth Overseas as Domestic Demand Dwindles

Chinese manufacturers of in vitro diagnostic (IVD) tests are pivoting to new markets such as Southeast Asia for growth, as a period of pandemic-driven sales comes to an end.

Daan Gene Co. Ltd. (002030.SZ), a major Guangdong-based manufacturer of Covid test kits, has projected an up to 98.2% drop in net income for 2023, according to a filing to the Shenzhen Stock Exchange late last month. Sales in the third quarter slumped 88.5% year-on-year to 306 million yuan ($42.5 million) while losses stood at 50.2 million yuan in the same period, a separate filing shows.