Chinese health ingredient firms seek bigger role in global markets-Xinhua

Chinese health ingredient firms seek bigger role in global markets

Source: Xinhua| 2026-10-31 16:34:30|Editor: huaxia

LAS VEGAS, Oct. 30 (Xinhua) -- Chinese companies are showcasing their health ingredients, innovative products and manufacturing capabilities at North America's leading dietary supplement expo in Las Vegas, seeking to move up the value chain and expand their presence in global markets.

At SupplySide Global 2026 that concluded Friday at the Mandalay Bay, more than 1,600 exhibitors and over 20,000 industry professionals gathered, including nearly 600 Chinese companies, a record high for Chinese participation, according to Chinese organizers.

A China Innovative Health Ingredients Brand Show is also being held alongside the expo, bringing together more than 60 Chinese companies to present their products and technological advances.

For many Chinese exhibitors, the focus is shifting from supplying raw materials to developing higher-value finished products and building their own brands.

Ganoherb Group, a major Chinese producer of organic lingzhi (or reishi mushroom) products, has long supplied raw materials and provided original equipment manufacturing (OEM) services to overseas clients. Facing intense price competition, the company is placing greater emphasis on finished products, showcasing reishi mushroom coffee and tea made with concentrated extracts at the expo.

Li Ye, the company's president and founder, told Xinhua that Ganoherb plans to focus more on branded products in the U.S. market, building on China's traditional strengths in lingzhi cultivation.

Changsha Huir Biological-tech Co., Ltd., based in central China's Hunan Province, is also seeking to move up the value chain. After more than a decade of supplying natural extracts and other health ingredients overseas, the company plans to build a U.S. processing facility to manufacture finished products for global distribution.

Yuan Zhi, the company's general manager, said China's advantages include diverse raw-material sources and increasingly automated, energy-efficient production equipment. The planned facility will extend the company's business beyond ingredient supply and create a more integrated supply chain.

Chinese suppliers remain essential to the global dietary supplement industry. Loren Israelsen, president of the United Natural Products Alliance, told Xinhua that China supplies roughly 80 percent of the industry's raw materials.

"Having good Chinese suppliers is fundamental to the success of the American marketplace and to serving consumers who want high-quality products," he said.

As Chinese companies expand overseas, cooperation with local partners is increasingly important.

The alliance is working with the China Chamber of Commerce for Import and Export of Medicines and Health Products and two Chinese companies to develop an AI-based system to improve supply-chain communication and quality management, Israelsen said. The initiative aims to reduce manufacturing and quality-control misunderstandings, improve product quality and keep costs within buyers' acceptable ranges.

International partnerships are also helping foreign producers explore China. Qualita Brasil, a Brazilian producer of organic yerba mate and plant extracts, is working with Chinese partners to enter the market.

Cesar Souza, the company's commercial director, told Xinhua that local partners can help the company understand China's growing health and wellness market and reach Chinese consumers.

Israelsen said more Chinese suppliers are moving beyond raw materials toward finished products and their own brands. Building consumer recognition in the United States, however, takes considerable time and investment.

"The Chinese companies are much higher on the value chain, and they're able to develop a better profit margin. I can see that this will be a very important change," he said. ■

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