Sewoon Medical is showing strong performance. It is interpreted to be influenced by the news that the United States will raise tariffs on Chinese-made syringes and other products.
As of 1:53 PM on the 22nd, Sewoon Medical is trading at 3,295 KRW, up 4.44% compared to the previous day.
According to the industry, U.S. President Joe Biden recently announced plans to increase tariffs on Chinese-made syringes, needles, rubber gloves, and face masks. Within this year, the tariff rate on syringes and needles will be raised from 0% to 50%, and tariffs on certain respiratory devices and face masks will increase from 0~7.5% to 25%.
Additionally, the U.S. Food and Drug Administration (FDA) has issued import alerts on two Chinese syringe manufacturers. According to the FDA, plastic syringes from Zhejiang Longdi Pharmaceutical and Shanghai Kindly Enterprise Development Group fail to meet quality requirements and are therefore banned from import into the United States.
Thus, the FDA recommends that these syringe products should not be used unless absolutely necessary until they are replaced with non-Chinese products. The FDA added that it will continue to evaluate issues related to Chinese-made syringes going forward.
Meanwhile, Sewoon Medical sells about 100 related products, including pharmaceutical infusion catheters and medical suction devices.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
