2024 is undoubtedly a challenging year for the IVD (in vitro diagnostics) industry. Whether it is the implementation of the centralized procurement policy or the capital market's indifferent observation of IVD enterprises, this once hot industry has felt unprecedented pressure. Some people say that 2024 was a difficult year for the IVD industry, but it has finally passed and 2025 may be even better. However, is reality really so optimistic? Or is it that the difficulties of 2024 are just the prelude, and 2025 may be even more difficult?

The impact of centralized procurement: from biochemistry to chemiluminescence, industry reshuffling accelerates

The implementation of the centralized procurement policy is undoubtedly one of the significant changes in the IVD industry in 2024. Taking biochemical testing as an example, the net profit of the old listed company Lidman in the first half of 2024 was only 600000 yuan, which made industry insiders doubt whether the unit was written incorrectly. According to relevant figures, the number of companies applying for biochemical centralized procurement in 2024 has decreased by 30% compared to 2023. These companies are either transforming or exiting the market, and the concentration of the industry is accelerating. The field of chemiluminescence is also not immune, and many companies' enthusiasm for chemiluminescence products is gradually fading.

The cold eye of the capital market: Narrowing exit channels and cooling investment enthusiasm

The attitude of the capital market is also not optimistic. Since 2023, no IVD company has successfully entered the A-share market, and the narrowing of capital exit channels has directly affected investors' enthusiasm. Many owners of small and medium-sized IVD companies are considering selling their companies to cash out, but there are too few buyers in the market and the landlord's wallet is tightly held. Although there have been several acquisition cases, they are far from solving the fundamental problems of the industry.

Uka Era: The Future of IVD Industry is Full of Uncertainty

We are entering a VUCA era, which is characterized by volatility, uncertainty, complexity, and ambiguity. For the IVD industry, this uncertainty is particularly evident. The implementation of centralized procurement policies, the ongoing anti-corruption efforts in healthcare, and the cold reception of the capital market have all made the prospects of the industry full of variables. Enterprises not only have to face rapid changes in the market, but also have to deal with policy uncertainty, industry complexity, and the ambiguity of competitive relationships.

However, it is precisely in this era of Uka that innovation and transformation are particularly important. Many companies have begun to adjust their strategies and shift their focus towards more promising areas. For example, some biochemical companies have begun to lay out chemiluminescence and immunofluorescence products, while others have turned their attention to the home self-test market. Although these transformation attempts are full of challenges, they also bring new hope to the industry.

Desheng New Materials: Injecting New Momentum into the IVD Industry

In such a challenging era, IVD companies need more support and innovation drive. As an upstream supplier in the IVD industry, Desheng New Materials has always been committed to providing high-quality raw materials and solutions for the industry. Whether it is the core components of biochemical reagents or the key raw materials for chemiluminescence, Desheng New Materials has won the trust of customers with excellent quality and stable supply.

Desheng New Materials is well aware that the future of the IVD industry cannot be separated from technological innovation and product upgrades. Therefore, we have continuously increased our R&D investment and launched a series of high-performance and highly stable in vitro diagnostic reagents, such as chemiluminescence reagents, colorimetric reagents, biological buffering agents, etc., to help IVD enterprises stand out in the fierce market competition and steadily move forward in the era of Uka.

2024 may be difficult, but 2025 may not necessarily be even more difficult. As long as we have hope and the courage to innovate, the future of the IVD industry is still full of opportunities. Desheng New Materials is willing to work together with industry colleagues to meet challenges and create a better tomorrow.