‘We are optimistic’: Beiersdorf closing in on China’s approval for brightening ingredient

11-Mar-2024 - Last updated on 11-Mar-2024 at 02:15 GMT

Beiersdorf’s chief executive is “optimistic” about getting China’s regulatory approval for its hero ingredient W630. [NIVEA]

Beiersdorf’s chief executive is “optimistic” about getting China’s regulatory approval for its hero ingredient W630, which will allow it to launch a wider range of products in the lucrative market.

During Beiersdorf’s 2023 full-year results on February 29, chief executive Vincent Warnery, told analysts that the process has been going on smoothly.

“I can tell you that we are progressing well. I was myself in January meeting the local FDA, the NIFDC. We are also meeting last week also to finalise the submission of the file. And we will present the file officially to the NIFDC next week in Beijing. So, we are optimistic.

Warnery did not give a definite timeline of when the approval might come through if approved.

“The journey of regulatory approval of W630 in China is a long journey. The last time China validated a brightening ingredient was 10 years ago,” he said.

In 2022, CosmeticsDesign-Asia reported that the German personal care major was in the process of registering W630 in China.

Once the ingredient registration is signed off, the company will move to get regulatory approval for its formulation.

Currently, Nivea’s Luminous630 range, which features W630, is sold to China only through cross-border e-commerce, which does not require the same regulatory approvals.

Gaining approval would allow the company market entry in China “with several product ranges across our whole brand portfolio,” said Warnery.

Growth engine

W630 is an active ingredient that Beiersdorf claims to be “the most effective anti-spot ingredient in the world”.

It is a key ingredient in brightening products offered by Nivea as well as Eucerin.

Beiersdorf considers the active ingredient to be the “powerful engine” behind the growth of its facial care products.

In 2023, Nivea’s Luminous630 range recorded stellar results, especially in China.

“In China, our sales more than doubled, which is particularly impressive as we are currently only selling via cross-border e-commerce activities. On a global level, this translates to an organic increase of 51%,” said Warnery.

“This is all fuelled by an extremely successful expansion into new categories with the Luminous ingredient in the past year and high-performing launches, such as the Luminous Anti-Age Serum.”

In line with this, the company is set to launch new products with W630 across “various brands of the portfolio” in 2025 or early 2026.

“We still have huge opportunities to leverage [W630’s] impact across all of our brands, categories, and geographies,” said Warnery.