[Asia Economy Reporter Lee Chun-hee] Ostem Implant, which is rapidly growing in China, has completely denied the sudden recall rumors within China. The company explained that a minor mistake during the product replacement process related to the implant surgery engine they import and sell was exaggerated.
On the 6th, a media outlet reported that the National Medical Products Administration (NMPA) of China judged that Ostem Implant's dental implant device failed to meet the 'no-load rotational speed standard requirements,' resulting in the related products being deemed non-compliant. It also added that the NMPA would announce a recall plan regarding this matter.
As a result, Ostem Implant's stock price fell sharply during trading, dropping 18.4% from the previous closing price of 131,800 KRW to 107,500 KRW, and eventually closed down 4.0% at 126,500 KRW.
However, Ostem Implant completely denied these allegations. The company stated, "There is absolutely no recall order," and explained, "The product in question is not an 'implant' but an 'implant surgery engine.'" They clarified that the issue was only a specification error during the replacement of the engine used in implant surgery devices they import and sell, and there is no problem with the implant product itself.
Ostem Implant has continued steady performance growth, supported by increased sales in the Chinese market. The market expects that last year's sales will exceed 1 trillion KRW for the first time, growing 28.8% from 2021 to 1.0616 trillion KRW. In terms of sales proportion by country as of 2021, China ranks second with 27.3%, following South Korea at 39.1%. The company expects that sales in China will surpass domestic sales around next year.
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