Johnson & Johnson announced its Q1 2022 earnings report, which achieved $23.426 billion, up 5% year-over-year and net profit was $5.149 billion, down 16.9% year-over-year. Cosmetics, including the consumer health division Q1 revenue of $3.586 billion, down 1.5% year-on-year, is the only Johnson & Johnson performance decline in the quarter. On April 19, Johnson & Johnson (JNJ.US) announced its Q1 2022 earnings report, which showed that Johnson & Johnson's Q1 revenue was $23.426 billion, up 5% year-over-year and net profit was $5.149 billion, down 16.9% year-over-year. For the decline in net profit, Johnson & Johnson mentioned that the main reason was the global overcapacity of COVID-19 vaccine and the existence of uncertain demand, so the company stopped the production of vaccines, resulting in the decline of the company's vaccine revenue. According to the data, Johnson & Johnson has three major divisions: Consumer Health, Pharmaceuticals and Medical Devices. During the reporting period, cosmetics, including the consumer health division Q1 revenue of $3.586 billion, down 1.5% year-on-year, is the only Johnson & Johnson performance decline in the quarter. In this regard, Johnson & Johnson said: due to supply chain issues resulting in capacity constraints on goods, can not meet consumer demand in a timely manner, the division's skin health / beauty, oral care, baby care and other businesses has seen a decline and the loss of some market share. The cosmetics-related businesses in the Consumer Health segment include the skin health/beauty business, oral care business, baby care business, and women's health business, involving brands such as NEUTROGENA, Dr. Ci:Labo, AVEENO, DABAO, CLEAN & CLEAR, and JOHNSON 'S Adult. According to the earnings report, in the fiscal year 2022 Q1, the skin health/beauty business revenue was $1.012 billion, down 13% year-on-year and oral care business revenue was $366 million, down 12.2% year-on-year and the baby care business was $355 million. The women's health business was $288 million, up 2.6% year-over-year. Combined with the financial data for Johnson & Johnson's Consumer Health segment between 2019 and 2021, it can be seen that the segment's revenue shifts from growth in 2019 to a downward trend in the first quarter of 2022. While three of the four businesses within the division related to the cosmetics industry (skin health/beauty business, oral care business, and baby care business) all shift from growth to decline in this reporting period, only the women's health business still maintains some level of growth from 2020. By region, sales in the Asia Pacific and Africa were $4.506 billion, up 3.1% year-over-year. Finally Joaquin Duato, CEO of Johnson & Johnson, said, "Given the company's healthy financial position, I am confident about future growth." Indeed, Johnson & Johnson has had negative information exposed in recent years. In 2018, Johnson & Johnson was awarded $4.69 billion in damages in the Johnson & Johnson talcum powder cancer case, and the truth surfaced that Johnson & Johnson concealed that its products contained carcinogens such as talc and asbestos for more than four decades, sparking global concern about cosmetic safety. On July 15 (July 14 local time), Johnson & Johnson officially recalled all batches of five NEUTROGENA and AVEENO aerosol sunscreen products to consumers in the U.S. region voluntarily due to internal testing that found samples containing certain levels of benzene. Meanwhile, on July 16, 2021, NEUTROGENA also issued a recall of two sunscreen spray products on its official website in China: After investigation, two spray-type sunscreen products were available in the Chinese market, NEUTROGENA Light Refreshing Sunscreen Spray SPF 50+ PA ++++ and NEUTROGENA Light Sunscreen Isolation Spray SPF 35. The company decided to voluntarily recall these two products and stop selling them, while the rest of the product line is not affected. Although NEUTROGENA's sunscreen is not considered hot seller in China, the brand's other products, such as the A-alcohol night cream, are among the A-alcohol category's hot selling, making NEUTROGENA highly visible in China. Leveraging its hot sales momentum in China's e-commerce platforms, NEUTROGENA became one of Johnson & Johnson's brands with annual sales of more than $1 billion by 2020. As for the incident of the test containing carcinogenic substances, although some experts said that the use of these products involved in the probability of no adverse health consequences, but out of caution for the products have been sold through retailers nationwide in the United States, Johnson & Johnson decided to recall all sunscreen products in the United States and two Chinese products that may contain benzene, and urged relevant consumers to stop using them.

Recently, the new raw material of "hydrolyzed zinc hyaluronate" of global hyaluronic acid giant Bloomage Biotech was successfully filed. Bloomage Biotech uses patented technology to develop "Hydrolyzed Zinc Hyaluronate", which has the effect of moisturizing and protecting the skin and can be used in personal care products such as masks, essences, creams, toothpaste, mouthwashes, shampoos and so on. On April 23, Beijing time, the record of cosmetic raw materials of the National Medical Products Administration showed that the new raw materials of Bloomage Biotech "Hydrolyzed Zinc Hyaluronate" that can be used for various skin cosmetics were successfully filed. This is the eighth new cosmetic raw material approved by the National Medical Products Administration in 2022. Since the promulgation of the Regulations on the Supervision and Administration of Cosmetics and the Regulations on the Administration of Registration and Filing Data of New Cosmetic Raw Materials in 2021, 14 new cosmetic raw materials have been filed so far. As a leading biotechnology enterprise in China, Bloomage Biotech has actively laid out the development of "hydrolyzed zinc hyaluronate" products in the early years. The successful filing of "hydrolyzed zinc hyaluronate" is the first approved "HA+zinc" new raw material for hyaluronic acid in China's cosmetics industry, and its approval means that the production and operation of "hydrolyzed zinc hyaluronate" raw materials and cosmetics in China are compliant. Zinc (Zn) is an essential trace element of the human body, widely distributed in the tissues of living organisms and plays an important role in skin diseases, immune function, wound healing, growth and development, hair growth and so on. "Hydrolyzed zinc hyaluronate" is the perfect combination of HA and zinc, which combines the effects of HA and zinc, while hyaluronic acid also increases the bioavailability of zinc. Bloomage Biotech has developed "hydrolyzed zinc hyaluronate" by patented technology, which has high zinc content, low sodium ion residue and high purity of the product. It has the effect of moisturizing and protecting the skin and can be used for personal care products such as masks, essences, creams, toothpaste, mouthwashes, shampoos and so on. It is worth noting that Bloomage Biotech has been adhering to the methodology of scientific and technological development for raw material research and innovation, long-term deep ploughing of basic research and applied basic research. In addition to hyaluronic acid and its derivatives, it also has developed dozens of bioactive substances such as Ectoin, ergothioneine, gamma-aminobutyric acid, Biobloom™ ME-1 and so on. Since the beginning of this year, there have been several Chinese enterprises applying for the record of new raw materials. There are still many instabilities in Chinese raw materials and the basic research can not be completed at once, but it takes many years of accumulation. Now, quality and efficacy are more concerned as the use of high-quality raw materials can produce high-quality cosmetic products. At present, with the global epidemic coupled with the Russian-Ukrainian war, some imported raw materials are stuck in the customs, resulting in certain production being interrupted, which needs to wait for one or two months until the supply recovers, so the current situation can indeed give China raw material enterprises a certain opportunity for development. The implementation of China's Regulations on the Supervision and Administration of Cosmetics has given China's new raw materials more room to compete with international raw material giants and they are expected to transform the situation that cosmetic raw materials are "monopolized" by international companies. On the one hand, the international tension and the shortage of raw materials, and on the other hand, China's policies encourage technological innovation and promote the high-quality development of China's cosmetics industry. Cosmetic raw material innovation is an indispensable foundation for industrial development and the landing of the new regulations has encouraged the enthusiasm of Chinese enterprises for R&D and innovation and set a direction for the innovation of Chinese cosmetic raw materials.

Since April this year, the sales of imported baby and child sunscreen products on Tmall Global, a cross-border e-commerce platform in China, have increased by more than 900% compared with February. In the past four years, the number of imported brands in the baby and child sunscreen category on Tmall Global has increased by more than 140%, with the sales volume of the category increasing by nearly 10 times. With the enhancement of their own sun protection awareness, young Chinese parents have also begun to pay great attention to their babies' sun protection needs. China has seen a growing trend in sales of children's sunscreen products in recent years as the skin of babies and children is especially delicate and often exposed to the outdoors. According to the data, since April this year, the sales of imported baby and child sunscreen products on Tmall Global, a cross-border e-commerce platform in China, have increased by more than 900% compared with February. Among them, the sunscreen products developed by international brands for infants and young children with simple ingredients and safe formulas are the most popular. Baby and child sunscreen brands from Japan, South Korea, Europe, and the United States have succeeded in testing on China's cross-border e-commerce platform Tmall Global. It is reported that in the past four years, the number of imported brands in the baby and child sunscreen category on Tmall Global has increased by more than 140%, with the sales volume of the category increasing by nearly 10 times. In 2020, Japanese maternal and infant care brand Alababy opened Albaby's overseas flagship store on Tmall Global. In 2021, the mosquito repellent sunscreen spray was quickly introduced into China and it entered the Hot Sale List of Mosquito Repellent on Tmall Global that year. South Korean baby and child care brand GOONGBE also entered Tmall Global in 2020 and it maintains an annual growth of more than 50% in its annual sales. This year saw a three-digit increase in the star single product of baby and child sunscreens compared with 2021. According to the New Product Trend Report on the Global Maternal and Infant Industry released by Tmall Global and Mintel, a global independent market research consulting company, parents pay great attention to the natural cleanness of product ingredients and the upgrading of scientific research technology behind them and are willing to pay for products that can solve specific skin problems for babies in the field of a Chinese baby and child care represented by sunscreen. Whether it is the focus on natural and clean ingredients or the pursuit of professional skin research technology, it reflects the higher autonomy and rigor of China's new generation of parents in product purchases, which not only rely on the efficacy of the product advertised by the brand but also conducting a more scientific and detailed examination of the product. It is worth mentioning that on April 11, Beijing time, the National Institutes for Food and Drug Control issued a notice on the public solicitation of opinions on the Technical Guiding Principles for Children's Cosmetics (Draft for Comments) (hereinafter referred to as the Draft Opinions). Among them, children's sunscreen products may become the focus of monitoring. The Draft Opinions stipulates that children's sunscreen products shall not claim "high-power sunscreen", and do not encourage sun exposure content (such as effective resistance to xx hours of ultraviolet radiation, effective reduction of xx% ultraviolet damage, provide xxx protection capacity, etc.). If more than 3 kinds of chemical sunscreens are used in products, the dosage of formulas is similar to adults and the SPF value is higher than 30, the research data of the formula optimization process should be submitted as evidence support. In this regard, some Chinese cosmetics industry insiders said that children's sunscreen products need to be specially developed according to the skin characteristics of their specific populations. In addition, the difficulties in the development of children's sunscreen products lie in the narrow range of optional sunscreen ingredients, the need for adequate protection, and product testing. "All aspects of consideration and research need to be made before product development. Although the requirements for the development of children's sunscreen products are relatively strict, the ultimate goal is to be able to effectively develop high-quality sunscreen products. " The above-mentioned person suggested.

YSL Beauty announced a global initiative called "REWILD OUR EARTH" to further made a commitment on sustainable development. Another beauty giant such as P&G and Unilever also have their own vision of contribution on green development. In celebration of The World Earth Day, YSL Beauty announced a global initiative called "REWILD OUR EARTH", a partnership between the brand and the international NGO Re: wild, which is a further commitment by YSL Beauty to make a positive impact on people and the planet. "The aim of the Re: wild initiative is to protect and restore 100,000 hectares of woodland by 2030 (an area 10 times the size of Paris) and to prioritize biodiversity conservation in areas affected by climate change, where YSL Beauty ingredients originate. The brand is pursuing its sustainability goals through the creation of an innovative Orlyka Community Garden in Morocco's Orlyka Valley, which is also part of the brand's new sustainability platform, "Change the Rules, Change the Future". The platform consists of three pillars: 1) Reduce Impact; 2) Return the Earth to Nature; 3) Intimacy with Boundaries Love without Boundaries. To further communicate this commitment in an open and transparent way, YSL Beauty also launched the brand's first sustainability report, which aims to highlight the brand's sustainability efforts in all areas of its business operations. Stephan Bezy, General Manager of YSL Saint Laurent Beauty, said, "YSL Beauty believes in the principle that not taking, but giving; not consuming, but restoring. Most importantly, empowering the world around us. To put this philosophy into practice, we have made a bold commitment to work towards promoting a radical shift back to nature. In short, our ambition is to return the planet further to nature by 2030." YSL Beauty is committed to making a positive difference in the world by focusing on the situation of people and the planet. The brand recently released its first sustainability report, while rebranding its sustainability platform called 'Change the Rules, Change the Future'. The platform consists of three pillars. In addition to 'Bringing the Earth back to Nature', it also includes 'Reducing Impact' and 'Intimacy with Boundaries Love without Boundaries'. "Impact Reduction" aims to transition to a low-carbon and circular economy and set goals that are aligned with the latest climate science. From sourcing and formulating formulas to packaging, manufacturing, shipping, point of sale and finish of use, YSL Beauty is committed to significantly reducing its environmental footprint. "Reducing our impact" targets all aspects of its business to ensure it reaches its goals: prioritizing the use of bio-based ingredients (70% by 2023), investing in recyclable, refillable materials and adopting lighter packaging (100% eco-designed and recyclable, with the aim of completely removing virgin plastics from production by 2030), and reducing its environmental footprint by 2022. By 2022, it will transform its French factories into 100% carbon-neutral factories, and it will continue to take practical actions to fulfill its sustainability philosophy by achieving full team training and improving the knowledge and skills of our employees in sustainability, social impact and consumer transparency. It will also ensure that its retail and merchandising displays are 100% eco-designed. YSL Beauty works with non-profit partners to prevent and combat intimate violence. The program has now reached 20 countries and educated more than 130,000 people on the 9 red flags of intimacy. By joining forces with international and non-profit partners, it hopes to further expand the reach and impact of "Intimacy with Boundaries, Love without Boundaries" and reach at least 2 million people by 2030 with a common understanding of intimate relationship violence (IPV). Most importantly, beauty brands have been contributing to sustainable development. At the 5th The China International Import Expo presentation held on April 22, which coincided with World Earth Day, the heads of Unilever and P&G both presented their vision for sustainability. Unilever's vision is to be a global leader in sustainable business, with the goal of making sustainable living the norm. Two years ago Unilever updated its sustainability strategy to help the company drive sustainable and responsible growth while achieving superior performance. Unilever is committed to improving the health of the planet and playing its part in creating a fairer and more inclusive world. Unilever and Alibaba Group jointly launched Waste Free World during The China International Import Expo in 2020 and released a White Paper on China Plastic Recycling and Sustainability with the department of Shanghai Jiaotong University, and an Ai-empowered recycle system with Alibaba Group. The action won the certification of the United Nations Department of Economic and Social Affairs 2030 Sustainable Development Goals best practices. Procter & Gamble, another global household chemical giant, has also demonstrated his commitment to sustainable development. In The China International Import Expo of 2021, P&G made the Net Zero 2040 development goal inviting industry experts, beauty influencers to participate. It also developed the world premiere of its self-developed innovative e-commerce packaging air capsule, which is made of a single material and reduces material prep by 40%. The packaging attracts more than 120 government representatives and more than 300 media coverage.

LVMH Beauty has inked a multiyear capacity reservation agreement to buy sustainable, carbon-negative materials for fragrance and cosmetics packaging from Origin Materials Inc. The frequent introduction of eco-friendly packaging in recent years, not only by LVMH but also by major beauty groups, means that green packaging is increasingly being taken seriously by cosmetics brands. LVMH Beauty, a division of LVMH Moët Hennessy Louis Vuitton, has signed a multi-year strategic partnership with Origin Materials, Inc., the world's leading carbon-negative materials company. The deal will see LVMH Beauty purchasing sustainable, carbon-negative PET (polyethylene terephthalate) materials from Origin Materials for its fragrance and cosmetics packaging. PET produced using Origin technology is functionally identical to petroleum-based PET, but with a dramatically lower carbon footprint as it is made from sustainable wood residues which capture carbon. Claude Martinez, executive president and managing director at LVMH Beauty, said in a statement: "Origin's bioplastic technologies are playing a crucial role in helping LVMH achieve our sustainability targets without any compromise on quality. LVMH Beauty is happy to collaborate with Origin, supporting innovative technologies." Origin will work with LVMH Beauty on sustainable packaging solutions across its brands, including Parfums Christian Dior, Parfums Givenchy, and Guerlain. Rich Riley, co-chief executive of Origin Materials, added: "LVMH is a powerhouse of luxury brands, with a high standard of excellence for the environmental performance of its products. "Our mission of enabling the world's transition to sustainable materials as fast as possible is completely aligned with LVMH's ambitious environmental initiatives. We look forward to helping LVMH reduce its carbon footprint and achieve its sustainability goals while continuing to deliver superior product experiences to its customers." The frequent introduction of eco-friendly packaging in recent years, not only by LVMH but also by major beauty groups, means that green packaging is increasingly being taken seriously by cosmetics brands. Last year, Estée Lauder announced that it had joined the partnership alliance with sustainable packaging technology company Pulpex, making it the first high-end beauty company in the alliance. Estée Lauder Group will help promote the upgrade of Pulpex's pioneering paper bottle technology to contribute to the enhancement of sustainable packaging solutions in the beauty industry. L'Oréal Group stated the launch of the first cosmetic bottle made entirely from recyclable plastic, made possible by biotech company Carbio's enzyme technology, scheduled to go into production in 2025, with its brand Biotherm being the first to use this packaging. Another paper-based cosmetic tube packaging developed by L'Oréal Group in collaboration with beauty packaging supplier Albéa would be used for the first time in the products of L'Oréal Group's cosmeceutical brand La Roche Posay. The paper packaging contains 45% less plastic than ordinary cosmetic packaging, and the cardboard used is FSC certified. A L'Oréal spokesperson further emphasized that this was not the only application of paper-based cosmetic tubular packaging and that it will be applied to more of the L'Oréal Group's brands in the future. To solve the problem of plastic and glass packaging materials that are difficult to degrade and pollute the environment, major cosmetic brands have embarked on the recycling of empty bottles and the application of environmentally friendly materials. Kiehl's and Lancôme have teamed up with TerraCycle to launch the "Empty Bottle Recycling" program. Chinese chain shopping mall Intime Department has also teamed up with Zhangyu Recycling to launch the "Empty Bottle Recycling Program" for cosmetics. Empty bottle recycling can not only prevent unscrupulous businesses from using empty bottles for secondary profit but also establish the brand's environmental image in consumers' minds. Public information shows that P&G has committed to reducing fresh plastic packaging by 50% by 2030. Unilever has committed to reducing the absolute use of plastic packaging by more than 100,000 tons by 2025 and accelerating the use of renewable plastic, thereby halving the use of new plastic. In 2018, L'Oreal developed a "100% eco-friendly product packaging by 2020" sustainability commitment, and the promotion and application of paper-based packaging is an important part of it. Ye A’min, general manager of the international business unit of Bai Xing Long Enterprise, said that one of the trends in cosmetic packaging is environmental sustainability and packaging should be both culturally rich and environmentally sustainable. The cosmetic giants are already taking action, but whether it's empty bottle recycling or research on environmentally friendly materials, there are application levels that are difficult to practice. Take glass bottle recycling, for example, the environmental benefits of glass bottle recycling are obvious. Even so, China's glass bottle recycling rate is much lower than that of developed countries due to technical factors. "The most difficult thing is still the establishment of the entire recycling system." the chairman and general manager of 3 Star Glass Limited Company said. On the one hand, domestic recycling habits have not yet formed, and the front-end waste classification system is not perfect to increase the difficulty of post-processing. On the other hand, due to the late start of Chinese recycling, the overall recycling technology is still relatively backward, resulting in the high cost of recycling. Some industry insiders also believe that even when costs can be cut down, the selection of cosmetic packaging materials needs to undergo rigorous testing of multiple indicators such as light-blocking, compatibility, and hardness. This means that not all environmentally friendly materials are suitable for application in the field of cosmetics, which undoubtedly increases the threshold for the application of environmentally friendly materials in the field of cosmetics. It is worth mentioning that some Chinese brands have taken on this role, such as CHANDO, which has gradually implemented sustainable development strategies, including clean production, energy conservation, and emission reduction. It also launched the public welfare for bottle packaging some years ago.

As of April 14, Chinese skincare brand INOHERB has donated nearly 18,000 pieces of anti-epidemic materials worth nearly 1.5 million yuan (about $232,700) to universities, communities, medical institutions, and volunteer service teams through the Shanghai INOHERB Charity Foundation. After the outbreak of the epidemic in Shanghai, on March 25, the INOHERB Foundation donated 200 masks to the Baoshan Women's Federation, and on March 28, donated 428 personal care products to the Putuo District Volunteer Association. In April 2022, the INOHERB Foundation purchased 2,230 sets of protective clothing and shoe covers to donate to the Baoshan Industrial Park Epidemic Prevention Office and other institutions and donated 7,000 hand creams to the Shanghai Women's Federation. Founded in 1999, INOHERB is one of the earliest enterprises in China to enter the field of Chinese herbal skincare, always adhering to the concept of safe and effective beauty skincare and fully exploring the essence of traditional Chinese medicine. Since the establishment of the company, a total of more than 20 Chinese herbal medicine invention patents have been authorized, with a total of about 30 patents. The brand's early positioning was "mask expert". Due to the grasp of the supermarket channel that is in the initial stage, the brand has seen rapid growth and completed the early original accumulation. In 2007, INOHERB received the investment from CAPITAL TODAY and reached $33.68 million of sales revenues in the following year and then increased at a growth rate of nearly 100% for four consecutive years. With the blessing of capital, since 2009, the brand positioning of INOHERB has been adjusted from "mask expert" to "herb skincare expert", developing patented Chinese herbal medicine technology and expanding the product line. By its peak in 2013, INOHERB reached 2.3 billion yuan (about $357 million) of sales revenue. In 2014, INOHERB began to decline after experiencing multiple storms such as IPO failure, president Yan Ming's departure, and market misjudgments. At the same time, with the rapid development of China's skincare market, skincare products with the advantages of Chinese herbal medicine and herbal skincare are emerging in an endless way and the concept of skincare around traditional Chinese medicine, herbs, and plants is no longer novel. In addition, the lack of chain channels and the failure to follow e-commerce channels such as live streaming in time is also another mistake of INOHERB. In 2017, Yan Ming returned to INOHERB and launched a rebranding schedule, saying that he hoped that INOHERB would be in the top three in domestic cosmetics in the next 3 to 5 years. To this end, INOHERB repositioned itself as a "Chinese herbal skincare expert" and decided to concentrate its energy and resources on the Chinese herbal skincare segment and tried to differentiate itself from other brands. INOHERB began the road to self-help. In terms of products, INOHERB concentrated on promoting the skincare line with "Rhodiola Rosea" as the main ingredient and created a star product " INOHERB RADIANT ESSENCE", which is also the most well-known product of INOHERB on various social platforms. In addition, INOHERB has also laid out 11 series of product lines including men's skincare, sunscreen, masks, etc., and launched a high-end line "INOHERB Tang" in May this year. The series was first released exclusively on Sephora's e-commerce platform on June 24, whose prices range from $34 to $137, which is much higher than the price of $5 to $45 of conventional INOHERB products. In terms of marketing, INOHERB has adopted a variety of methods, including cooperation with intangible cultural heritage, The Summer Palace IP, and even with WUFANGZHAI which is a Chinese time-honoured food brand. In addition, INOHERB has also made efforts in product innovation and quality improvement. In 2020, INOHERB used freeze-dried technology to create a series of Long Dan An Xin, which was deeply loved by consumers. The GMV of the series reached 12 million in two weeks on the market, topping in the category of 99 cost-effective masks on Tmall. In May 2021, INOHERB signed a strategic cooperation agreement with WEIBO HI-TECH to carry out in-depth cooperation in the fields of Chinese herbal skincare and freeze-dried product research and development. In June 2021, INOHERB reported a shopping guide competition. During the competition, the omnichannel performance of the 11 stores participating in the competition increased significantly, the performance of excellent shopping guides increased by 3.5 times and the omnichannel GMV increased by 60% year-on-year, an increase of 37% month-on-month. The new WeChat users of the participating shopping guides were nearly 7,000, with the GMV of the Mini Program increasing by 87% month-on-month and the cost of advertising being reduced by 30% compared with expectations. With the rapid development of China's cosmetics market, not only is the competition between local brands fierce, but also the impact of foreign brands. Although currently INOHERB has been improved through a series of measures and achieved success, INOHERB still has a long way to go considering how to outshine many brands and return to its peak.

As the leading enterprise of The Oriental Beauty Valley, JALA took the lead in resuming work and production with the first batch of more than 400 employees arriving at work in an orderly manner, which has a symbolic significance and pioneers the relevant industrial chain to recover. On April 19, Beijing time, the first batch of enterprises in Shanghai began to resume work and production. On the first day of resuming work, more than 400 employees of China's cosmetics leading enterprise JALA lined up in an orderly manner to do the nucleic acid test for entering The Oriental Beauty Valley (1). The first day of work was mainly based on debugging equipment and restoring production lines, while the focus of production was also placed on the product line related to epidemic prevention. Zhang Xinxin, the chairman of the trade union of JALA, said in an interview that The Oriental Beauty Valley has won more than 400 employees for JALA to resume work and production, which can strive to achieve more than 60% of the normal output. JALA has 7 cosmetics brands: MAYSU, CHANDO, botanical wisdom, Spring Summer, Biorrier, COMO and ASSASSINA with more than 43,000 retail terminals and more than 42 million members nationwide. As a leading enterprise of The Oriental Beauty Valley, JALA took the lead in resuming work and pioneered the recovery of the Shanghai cosmetics-related industrial chain. It is reported that at present, the employees of The Oriental Beauty Valley who need to resume work have applied for work through the application of enterprise and issued a certificate of employment. The qualified personnel can be allowed to be in and out through review, file, and consultation. In addition to the JALA, there are companies in Shanghai involved in the cosmetics industry chain such as COSMAX and BASF SE also producing on a small scale. "Since late March, the company's production sites in Shanghai have been in closed-loop operations. Although the production load has decreased during the lockdown period, production activities have not been interrupted." BASF SE said. BASF SE also takes all necessary precautions in production and office premises to protect the health and safety of its employees and contractors, while trying its best to ensure the proper functioning of customer supply and business.” "Our factory now has people from the prevention zone coming out one after another and then resuming work in the factory. There are about 250 people, but they all leave the community, enter the closed-loop management of the factory and all of them eat and live in the factory. Shen Yingjie, the assistant general manager of COSMAX (China) Cosmetics Co., Ltd., said, "The truth is that it is still difficult to resume work on a large scale in the short term." On April 16, Beijing time, the Shanghai Municipal Commission of Economy and Information Technology issued the Guidelines for the Prevention and Control of the Epidemic in Shanghai Industrial Enterprises Resuming Work and Production (First Edition) (hereinafter referred to as the Guidelines). The Guidelines mentioned that the prevention and control of the epidemic in the closed-loop is the premise of resuming work and production and enterprises must bear the first responsibility for epidemic prevention. Enterprises should formulate epidemic prevention and control and closed-loop management plans, and adhere to the same prevention of people, things, and the environment so that the core key positions and links "people can go to the post, vehicles can move and epidemic prevention can be under control". The plan should be reported to the city/district epidemic prevention and control department for approval, and enterprises with imperfect epidemic prevention and control and inadequate safe production should be implemented "double veto" and resolutely cannot resume work and production. It is worth mentioning that after the release of the Guidelines, a "list of the first batch of work and production" began to circulate on the Chinese Internet. After investigation, the list is only the first batch of Shanghai key enterprises' "white lists" controlled by the relevant departments in Shanghai, and the list found that there are two cosmetics-related enterprises, Xiaowei (Shanghai) Biotechnology Co., Ltd. and SHANGHAI LEIYUNSHANG PHARMACEUTICAL CO., LTD., whose application for protection is that they are both enterprises of "operation guarantee", which produce hand sanitiser and anti-epidemic drugs respectively. Strictly speaking, this list is only a list of enterprises with prevention and control in place and production conditions. It will be adjusted due to changes in the situation, which is by no means the "first batch of resumption of work and production list" as circulated on the internet. paraphrase: (1) The Oriental Beauty Valley: The Oriental Beauty Valley is known as the "Capital of China's Cosmetics Industry", with a cosmetics scale of nearly $10.927 billion and many leading cosmetics companies like Shiseido, Melaleuca, NU SKIN, COSMAX and CHICMAX having gathered here.

According to the data of O&O Consulting, the retail sales of China's all-internet makeup remover products were about $1.2 billion from April 2021 to March 2022, up 16.9% year-on-year, and the average transaction price was $12. Among them, the brand with the highest sales volume was the Chinese skincare brand ZHUBEN, with retail sales of more than 700 million yuan (more than $109 million). According to the data of O&O Consulting, the top 3 rankings of the top 20 brands in the whole network of makeup removal have changed. ZHUBEN surpassed BIODERMA to win first place in the makeup removal brand category on the whole network with retail sales of more than 700 million yuan (more than $109 million) and retail sales accounting for 9.1%. In addition, from the perspective of the best-selling stores in the makeup removal category of the whole network, ZHUBEN's flagship store won the best-selling store with sales of more than $73.24 million. Among the best-selling items in the retail sales of MAT makeup removal on Tmall in March 2022, the top three are ZHUBEN's cleansing oils with an average transaction price of about $15 and $14 and KIMTURE's makeup remover cream with an average transaction price of about $13. Founded in 2016, it is an aromatherapy skincare brand whose founder is Liu Qianfei with the star product being makeup remover oils. At the beginning of the establishment of ZHUBEN, 90% of China's makeup removal market was makeup remover products, and the remaining 10% was divided into makeup remover oil, makeup remover cream, and makeup remover milk. ZHUBEN grasped a point: skin and aromatherapy. Its cleansing oil products focus on avoiding excessive friction damage to the skin by makeup remover, reducing irritation, protecting the skin from sensitization, and other concepts. In the second half of 2016, the first cleansing oil product was launched by ZHUBEN. It is understood that the research and development of the first cleansing oil product took 8 months, the supply chain took 6 months, 5 kinds of vegetable oils with 7 kinds of plant essential oils, and 2 kinds of emulsifiers. All the prices are discussed from the source by reducing the cost. In addition, in the initial 20-person entrepreneurial team, formulators and supply chain personnel accounted for six. Liu Qianfei, the founder of the brand, said in an interview with the media that the raw materials used in the cleansing oil are imported from Japan, which is three or four times the unit price of some brands of cleansing oil raw materials in the industry. But the price of the makeup remover oil of 150ml remains at about $18, which is only 1/2 to 1/3 of the price of several big-name cleansing oils. After pursuing quality and cost performance, the brand chose the marketing strategy that now seems to be very far-sighted and also entered the live broadcast room of Li Jiaqi, the Chinese internet celebrity streamer and "Yi Ge" (pioneer) in promoting goods sales through live streaming on Taobao. In 2019, it cooperated with Li Jiaqi for 34 live streaming, selling 50,000 bottles of makeup removing oil in single live streaming in one minute. By the second half of 2020, the monthly sales of each makeup remover oil in Jiaqi's live streaming room can reach a single sales volume of more than 150,000. In addition to the cooperation with major streamers, ZHUBEN is also live streaming independently on TikTok and Taobao. The data shows that on TikTok China, the proportion of brand number (independent live streaming) contribution ranked first in the streamer contribution list from April 2021. Among these, its independent live streaming contribution accounted for more than 50% in May. On Taobao, the flagship store was squeezed into the top 3 of the streamer contribution lists for the first time in July 2021, accounting for 3.48% of the contribution. Taobao Live's annual GMV exceeded 500 million yuan (about $77.92 million). The year 2021 for ZHUBEN means a start to a long journey with the product and brand layout around "aromatherapy" carried out by ZHUBEN. In August 2021, its star product, the cleansing oil, was upgraded one by one, and the "ZHUBEN DREAM RIVER BOTANICAL REFRESHING CLEANSING OIL" was upgraded in terms of makeup removal, skin nourishment, and aromatherapy. At the same time, ZHUUBEN was also focused on brand marketing, inviting Li Jiaqi to shoot TVC, passing on the brand proposition of "unloading the chaos, just going to ZHUUBEN ". It created the first micro-variety show "900 seconds", inviting Li Jiaqi, Guo Caijie, and Fu Shouer as guests, through the mobilization of the five senses, leading the guests to experience the healing process. The official announcement of the first brand makeup removal ambassador Li Yitong, led users to start a new ZHUUBEN journey. All of this allows more people to understand who " ZHUUBEN " is and feel the value transmitted by the brand. Efforts eventually pay off. In 2021, it has achieved impressive results with the annual sales growth rate remaining at 400%, the sales volume of the whole network being nearly 1 billion yuan (about $156 million), and the cumulative sales of star product makeup remover oil exceeding 8.3 million bottles. It serves about 7.3 million users and winning the top 1 of the makeup remover oil category on Tmall for 7 consecutive times. During the Double Eleven shopping festival in 2021, the GMV of ZHUBEN in the whole network reached $43.63 million, of which the Tmall channel GMV reached $28.05 million, an increase of 468.5% year-on-year, ranking first in the new beauty brand on Tmall. the sales of the TikTok channel exceeded 53 million (about $8.26 million), an increase of more than 1900% year-on-year. It is worth mentioning that the total sales of makeup remover oil during Double Eleven shopping festival in 2021 totalled 2.8 million bottles and ZHUBEN won the championship again in the makeup remover category ranking on Tmall, selling a total of 1.764 million pieces. This means that 1 bottle for every 2.4 bottles of cleansing oil being sold is ZHUBEN. In addition to cleansing oil products, its products in the field of body care have also achieved remarkable results. During the 2021 Double Eleven shopping festival, the sales of the hair care essential oil reached 4 million yuan (about $620,000) and sold out after the first launch. The sales of the body oil reached 1.5 million yuan (about $230,000), the sales of body milk reached 3 million yuan (about $470,000) and the essence oil category No.2 on Tmall was rapidly promoted, with a total of 86,000 units. In March 2022, the makeup remover oil won the #Tmall Monthly Item#, dominating the top 14 days of the "Makeup Remover Hot List". As of April 20, 2022, the "ZHUBEN DREAM RIVER BOTANICAL REFRESHING CLEANSING OIL" has sold more than 100,000 units per month in its flagship store on Tmall, priced at $18 to $20.

L'Oréal reported on April 19 that it gained $9.82 billion with rise of 19% year on year. With double-digit growth in mainland China, L'Oréal continued to outperform the beauty market thanks to successful campaigns for Chinese New Year, Valentine's Day and Women's Day. The Group further strengthened its lead in the country, gaining market share online and offline. In Hainan, L'Oréal outperformed the Travel Retail market, which remained very dynamic. --More About LOreal Paris: How a Foreign Brand can Become TOP in China On April 19, local time, L'Oréal released financial data for the first quarter of 2022. The data showed that L'Oréal Group sales in the first quarter were $9.82 billion, reporting 13.9% at constant exchange rates and 19.0% based on reported figures. The group's performance significantly outperformed the market. By segment, all L'Oréal divisions achieved growth in the first quarter. The high-end beauty division reported sales of $3.58 billion, up 25.1% year-on-year. Luxe couture brands YSL, Armani Beauty, Prada and Valentino grew significantly faster than the market while Lancôme consolidated its leading position in mainland China and its top three position in the Western world. In the fragrance segment, collections such as Maison Margiela Replica and Armani Privé grew rapidly. The cosmetics business of Shu Uemura and Urban Decay grew strongly. The Professional Products Division reported sales of $1.13 billion, up 22.7% year-over-year. The division performed well in the U.S., Germany, India and mainland China, where e-commerce sales grew sharply. Haircare remained the main growth driver, largely thanks to Serie Expert by L'Oréal Professionnel and Prescriptions by Redken. Kérastase continued its impressive upward trend, with the successful launch of Chroma Absolu one of the main highlights. The Consumer Products Division segment reported sales of $3.58 billion, up 11.1% year-over-year. Notably, the division's sales in North Asia were slowed by the impact of some e-commerce businesses in mainland China. The main brands driving growth were L'Oréal Paris' hair care segment, Garnier, Maybelline New York and makeup brand NYX. The Active Products Division segment reported sales of $1.36 billion, up 22.4% year-over-year. Among them, the continued sales success of products under the La Roche Posay and Vyse's scalp care line Dercos and sunscreen products drove its sales to steady growth. In addition, L'Oréal's sales in all regions continued to grow. With double-digit growth in mainland China, L'Oréal continued to outperform the beauty market thanks to successful campaigns for Chinese New Year, Valentine's Day and Women's Day. The Group further strengthened its lead in the country, gaining market share online and offline. In Hainan, L'Oréal outperformed the Travel Retail market, which remained very dynamic. In terms of channels, on the one hand, offline sales recovered significantly, while on the other hand, e-commerce sales continued to grow, accounting for 25.8% of sales. According to L'Oréal Paris' annual report released at the beginning of 2022, it is vigorously developing the combination of online and offline channels in 2021. The new L'Oréal Paris flagship store in Shanghai, invite consumers to enjoy immersive high-tech experiences. The fully revamped Shanghai store attracts not only loyal customers but also the new, ultra-connected younger generations who particularly appreciate experiences that combine virtual and real-life aspects. Inside, they are offered a unique opportunity to dive into the world of L'Oréal Paris via livestreams filmed in stores and hosted by beauty advisors, along with interactive screens and mirrors, video games, in-store gifts and discount offers through social networks, digital skin "diagnosis" by ModiFace, and more. The level of digital interaction available at the Shanghai store is just one example of the wide range of innovations the brands have developed. They produce content at a studio specially designed for omnichannel creations and share them with consumers via online stores such as WeMall, which are linked to brick-and-mortar shops. Social network WeChat, with its inherent ability to spread attractive, easily shareable content, has become the most popular point of contact with consumers. L'Oréal also adheres to innovation and technology as its main growth driving. In 2021, L'Oréal used Beauty Tech to connect the world of beauty to the world of technology and kept pace with innovations: firstly, by perfecting its new services, like skin "diagnosis", personalization, virtual try-ons, livestreaming and social commerce, to provide unrivaled beauty experiences; secondly, by investing in new technologies to invent disruptive solutions which will underpin the new services of tomorrow. L'Oréal said it remains optimistic about the outlook for the beauty market, taking into account volatility and uncertainty, and is confident of outperforming the market and achieving further sales and profit growth in 2022.

Givaudan announced that it would increase its price to fully compensate for the increase in input costs it is experiencing this year. According to market research firm NPD, the average retail price of perfume in the U.S. market increased by 15% year-on-year in 2021, while it is found on Chinese social sharing platform Xiaohongshu that the perfume of first-line top brands experienced different degrees of price increases. Recently, Givaudan, the world's leading fragrances and flavors enterprise, said that it will continue to implement price increases in collaboration with its customers to fully compensate for the increase in input costs it is experiencing this year. Previously, on April 12, 2022, Givaudan released its financial report for the first quarter. In the first three months of 2022, Givaudan recorded sales of $1.874 billion, an increase of 4.6% on a like-for-like basis and 6.4% in Swiss francs. In this report, Givaudan stated that it started the year with good business momentum whilst maintaining its operations and global supply chain at a high level, despite the challenging external environment affecting many parts of the business. Sales grew 4.6 percent on a like-for-like basis as compared to the prior year period. Fragrance and Beauty sales hit $852.8 million, up 2.7% YOY on a like-for-like basis. Fine Fragrance sales soared 17.4 percent and Active Beauty put on 8.2 percent, while the Consumer Products unit dipped 2.3 percent. This continues the growth momentum of Givaudan in 2021. Givaudan's revenue grew by 7.1% year-on-year to $7.05 billion, with a 7.4% increase in the Asia Pacific and a strong double-digit growth in China. In fact, the growth of the perfume and fragrance category in China has been reflected in the earnings reports of many top beauty groups. The Puig Group, which owns niche high-end fragrance brands such as Penhaligon's and L'Artisan Parfumeur, said in its 2021 earnings report that the Chinese market has become Puig's most rapidly growing market with a 212% increase in sales. Meanwhile, another top beauty groups such as L'Oréal, Estée Lauder and Coty all pointed to the fragrance and scent category as the driver of their China growth in their latest earnings reports. Coty Group also said that China is expected to develop into the world's second largest fragrance market in the future. However, it is worth noting that both of Givaudan's earnings releases stated that price increases will be implemented for partner companies to cope with the cost increase due to the increase in input costs. And Givaudan's price increase measures may continue to be transmitted to the perfume retail market. The global fragrance market is currently very concentrated. According to Statista, a statistical agency, in 2021, the four companies, Givaudan, International Flavors and Fragrances IFF, Symrise, and Firmenich, occupy a 55% share of the global flavor and fragrance market. And along with the news of rising raw materials, perfumes have also responded to the price hike. According to market research firm NPD, the average retail price of perfume in the U.S. market increased by 15% year-on-year in 2021, while the increase in the two years before that was still 5%. Among them, the market share of high-end perfumes has grown greatly, with sales of perfumes priced at more than $175 doubling. It is found on the Chinese social sharing platform Xiaohongshu that the perfume of first-line top brands experienced different degrees of price increases. The price increase of luxury brands of perfume basically reached a hundred yuan(about $15.5). For example, the price of CELINE PARADE perfume 100ml rose from $271.5 to $325.9, Louis Vuitton Le Jour se Leve 100ml priced up from $325.8 to $356.9 and Chanel Edimbourg 50ml priced up from $121 to $141.2. Perfume or fragrance is just one of the manifestations of the entire beauty market. Since 2022, price increases in the beauty group has been disclosed many times. The price of raw materials for the cosmetics industry has been climbing due to the pandemic. The spike in prices of related raw materials was even more pronounced on the day the situation in the Russia-Ukraine war broke out. In early 2022, Estee Lauder, Procter & Gamble and other head international companies have also said that they will increase the prices of their products due to the continued rise in commodity prices and supply chain costs. However, many industry insiders said that since cosmetic raw materials account for no more than 10% of total costs, price increases are still largely due to increased marketing costs.

Recently, the Chinese skincare brand FulQun issued a follow-up announcement on the fake incident, saying that a large number of fake products of "Acne clearing and relieving essence" appeared on the market after receiving a report from users. FulQun has joined forces with law firms to collect evidence and will take up legal weapons to protect their rights. Founded in 2014, FulQun is a functional skincare brand under UNDERPROVED. FulQun put forward the slogan "If there is acne, use FulQun", and has been focusing on the development of effective care products for many years to improve acne skin. Since 2019, FulQun has ranked top 3 in the wound dressing category for four consecutive years. In the 2021 Double Eleven Shopping Festival on Tmall, FulQun was listed on the Top 3 of the flagship store category lists on Tmall and 57,000 hot-selling masks were sold. FulQun has passed the clinical authority verification of product efficacy and safety in dozens of large Grade-A tertiary hospitals across the country and has also been recognized by many dermatologists at industry conferences. In addition, in terms of consumer feedback, FulQun has won more than 20,000 recommendations on Xiaohongshu. The core ingredient of FulQun is an antibacterial peptide (cell-penetrating peptide), which has undergone clinical trials in PEKING UNIVERSITY FIRST HOSPITAL, Beijing Friendship Hospital, and JIANGSU PROVINCE HOSPITAL. Its star items are "Acne clearing and relieving essence" and "MEDICAL HEALING FUNCTIONAL DRESSING" and so on. The counterfeited product is one of FulQun's star items: the "Acne clearing and relieving essence", which was officially launched on October 15, 2021, selling over 130,000 units a week after going public. In November, it ranked 4th in TikTok's Product View List with 3.004 million views and 14.308 million sales. During the 2021 Double Eleven Shopping Festival period, the "Acne clearing and relieving essence" was sold in more than 10,000 bottles in just one hour. In addition, it also won the ELLE Beauty Star of the Year Beauty Star - Glory New National Trend - Purifying Skin Renewal Award. It may be the eye-catching performance of the "Acne clearing and relieving essence" that "good knockoff" appeared in the market only after about the essence's two-month going public. On December 30, 2022, FulQun's WeChat Official Account released an article titled "Fight counterfeiting! Spent 50 yuan in Pinduoduo as an undercover. Maddening!" The article said that FulQun received some user feedback that they bought fakes of FulQun's acne soothing serum in unofficial stores on some e-commerce platforms. In order to safeguard the rights and interests of the majority of FulQun consumers, the Staff of FulQun personally experienced the whole process from ordering and receiving goods to communicating with customer service and summarized the common traps of selling fakes in stores. The customer service of the fake store claims that the counterfeit products it sells are directly sold by the manufacturer, but they responded positively in the face of doubts after receiving the goods, only indicating that the use effect is the same. In order to dispel users' doubts, the customer service of the fake store even guides the user to scan the code to check the anti-counterfeiting. The QR code and the query website show that the purchased product is "genuine", but FulQun's side personnel found that the so-called query website is a counterfeit URL, not the official query address of FulQun. At this point, FulQun began to pay attention to the problem of products being counterfeited and recently formally took action to protect its rights. Cosmetics are counterfeited/plagiarized, which will bring a loss of interest to the brand, resulting in uneven product reputation, resulting in a lack of consumer trust, thus damaging the brand reputation and image. At the same time, counterfeit and shoddy products also infringe on the legitimate rights and interests of consumers. From January to December 2021, China reached 402.6 billion yuan in cosmetics retail sales, an increase of 14% compared with the same period last year. The huge market size and profit drive have led many lawbreakers and criminals to take legal risks and desperately risk the explosives of counterfeit brands, which has almost become a norm. If the cosmetics industry wants to develop benignly, it must ponder the following questions: how to protect the brand image, how to protect the legitimate rights and interests of consumers, and how to combat the bad atmosphere of rampant counterfeits.

Charlotte Tilbury launches next-level virtual makeup store to its immersive shopping experience. Its founder/CEO Charlotte Tilbury can appear in the metaverse environment as a 3D volumetric avatar. In addition, international well-known beauty brands also stepped into the technology world. Charlotte Tilbury is adding several new interactive features to its immersive metaverse shopping experience. Founded by U.K. makeup artist Charlotte Tilbury, the vertical beauty retailer is rolling out the “Pillow Talk Party Virtual Beauty Wonderland,” which it is promoting as the fourth generation of its “virtual world.” Customers can also view immersive, exclusive filmed content, featuring screens that project behind-the-scenes interviews with beauty influencers, as well as livestream masterclasses with Charlotte Tilbury beauty professionals. In addition, founder/CEO Charlotte Tilbury can appear in the metaverse environment as a 3D volumetric avatar. And in a gamification effort, the Pillow Talk Party Virtual Beauty Wonderland will let customers can unlock a free mascara product, and also win a chance to receive the full Pillow Talk collection free by sharing what Pillow Talk means to them online. Charlotte Tilbury has over 1,000 points of distribution worldwide, including department stores and travel retail (U.K., Canada, Germany, Ireland, Netherlands, Spain, France, Italy, U.S., Hong Kong, Singapore, Thailand, Cambodia, India, South Korea, Macau, Australia, New Zealand and mainland China), and 15 stand-alone stores. Over the past few years, artificial intelligence (AI) and digitization have had a growing impact on the cosmetics industry as technology advances, with high-tech products such as skin detectors, AR makeup trials and 3D printed lipstick popping up all over the place. According to a report published by InsightAce Analytic, a market research firm, the global AI market in beauty and cosmetics was $2.7 billion in 2021 and is expected to reach $13.34 billion in 2030. Led by international companies such as L'Oréal and Estée Lauder, the digital development process of the cosmetics industry is accelerating. For example, L'Oreal has launched a virtual trial system for cosmetics and an AI foundation adapter, Meitu has launched an "AI open platform" and Meitu Magic Mirror Online, and Tmall Genie has launched Queen Smart Beauty Mirror, etc. In the 2021 Shanghai China International Import Expo, international well-know beauty brands brought their own black technology to the show. L'Oréal Group brought two technology products to this year's Expo: the Saint Laurent Beauty "Lipstick Printer" and the first water-saving shampooing and conditioning device, L'Oréal Water Saver. Saint Laurent Beauty launched this highly sought-after product, the world's first at-home customized cosmetic. It also presented the lipstick printer at the Fair and simultaneously launched it on the flagship store of Saint Laurent on the Chinese e-commerce platform Tmall. "The "YSL ROUGE SUR MESURE" lipstick printer has been successfully commercialized. It is reported that the lipstick printer is priced at $504.65 for a single-shade set, $618.56 for a two-shade set, and $846.37 for a full-shade set in the official Saint Laurent Tmall flagship store. Currently, a number of lipstick printer sets are out of stock in the official Saint Laurent flagship store in Tmall, with only five single-shade sets remaining in stock. Another high-tech from L'Oréal, L'Oréal Water Saver, was also present at the Expo. The shampooing and conditioning experience offered on site came from the L'Oréal Water Saver series of concept products, the first water-saving shampooing and conditioning device launched in collaboration with Swiss eco-friendly startup Gjosa. This product, which is also the first of its kind in Asia, features Jet-Fusion®, a patented water-saving technology that saves up to 80% of water. Another global beauty brand, Estee Lauder Group, showcased a number of handheld skin testing "miracle devices" at the Expo. - Vapometer transepidermal moisture loss tester, to decipher skin barrier function and help consumers better choose skin care products. - Moisture Meter SC, which evaluates the moisture content and strength of skin care products by measuring the water content of the skin's stratum corneum. - Skin Colorcatch skin color tester and Skin Glossmeter skin radiance meter to help consumers choose skincare products that improve skin tone and enhance the radiance of dry skin According to the introduction, Estee Lauder’s new product has 3 major light sources to detect 8 skin indicators in 5 minutes, not only can determine the current skin state, but also predict the future of the skin. In addition, Estee Lauder also premiered the professional scalp hair detector and the first AR virtual hair color test black technology - Aveda professional scalp hair detector, as well as the M-A-C new retail equipment that empowers makeup through virtual makeup trial AR facial 3D technology. It is reported that the Estee Lauder Group Global R&D Center China project has started construction and is expected to be put into operation next year. This R&D center will be the first comprehensive innovation center of Estee Lauder Group in the world that brings together many functions such as research, concept conception, formula development, packaging, testing and evaluation. The Shiseido China R&D Center unveiled two cutting-edge technologies, "Daily Skin" and "Skin Elasticity Visualization", which made their debut outside Japan at the Expo. The "Daily Skin" is a high-tech modeling skincare product that can be applied to the original eye bags to form a film suitable for different individuals according to the specific shape of the bags, just like a new second layer of skin every day, and quickly and significantly reduce the bags. The "skin elasticity visualization" technology enables micron-level skin detection and accurate analysis of the characteristics of the stratum corneum, which is only tens of microns thick. Recently, Shiseido's third R&D center in China has been officially opened in Shanghai Oriental Beauty Valley. It is worth mentioning that in order to amplify the spotlight of the Expo, the 2021 Oriental Beauty Valley International Cosmetic Conference was held in Fengxian, Shanghai from November 7 to 9 in 2021, L'Oreal, Shiseido, Unilever, Estee Lauder, P&G, LVMH, Amore, Nuskin, Jahwa, Jala and other Chinese and foreign leading enterprises to participate.