ChemLinked, a resource on regulatory information in China, has reported that the change is set to come into full effect in the near future, with some brands having already been stopped from repackaging cosmetics by China’s FDA.
The change is likely to have an enormous impact on the production of cosmetics in China, which currently makes full use of the process of repackaging to cut losses and costs.
Third party companies, OEMs, involved in the packaging of products in China are set to be hit the hardest by the upcoming changes.
The change comes as part of the ongoing move in the country towards a new licensing system for cosmetics products.
Until January, brands were required to obtain two licences to be eligible for product registration (the National Industrial Manufacture Licence and the Hygiene Licence for Cosmetics Manufacturers): under the new system, they will require just one, the Cosmetics Manufacture Licence.
Once accredited with the new licence, brands will no longer be able to repackage cosmetics, the FDA has said, though the industry is still awaiting clear guidelines and any official announcement to be released by the regulatory body.
As a result of the currently unconfirmed nature of the regulatory change, those brands which have not yet applied for the new licence are now hesitant to do so, ChemLinked reports.
The regulation news outlet notes that brands and third party service providers may need to hold fire with any repackaging plans, and await clear guidelines from the FDA.
“For the OEMs that obtained the new license and cosmetic brands that intend to continue or start subcontracting repacking, for now it may be advisable to suspend repacking projects and wait for clear provisions made by the CFDA,” the outlet reports.