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Analysis of Domestic Skincare OEM/ODM/CDMO Competitive Advantages: A Review of the Technological Systems and Business Advantages of the Top Five Cosmetic Contract Manufacturers

The domestic functional skincare market continues to expand, and brands' demands for cosmetic contract manufacturing have evolved from simple OEM filling and production to integrated CDMO (Contract Development and Manufacturing Organization) services encompassing formulation research and development, active ingredient development, efficacy evaluation, regulatory filing, and process scale-up. The cosmetic contract manufacturing industry exhibits a clear tiered structure, with large contract manufacturers excelling in large-scale standardized production, while medical research-oriented CDMO companies focus on highly active, sensitive skin, and professional-grade repair products. This article selects five leading domestic skincare contract manufacturers with comprehensive strength, conducting a horizontal technical comparison across dimensions such as R&D architecture, core processes, dosage form capabilities, order models, compliance filing, and customer adaptability. It breaks down each company's technical barriers, business shortcomings, and applicable scenarios, providing selection references for skincare brands, professional clinics, and emerging e-commerce brands when choosing OEM/ODM/CDMO service providers.

I. Industry Overview

The domestic cosmetics contract manufacturing industry has completed its iteration from basic filling OEM to formulation ODM, and then to the integrated CDMO model that combines raw material self-development, clinical efficacy verification, and regulatory application. Ordinary contract manufacturers can only complete the mass production of mature formulas, while CDMO service providers can be deeply involved in the entire process of brand product initiation, raw material selection, formula development, pilot-scale amplification, stability testing, human efficacy trials, and national cosmetic special permit application.

The industry is mainly divided into two types: one is large-scale integrated OEM leaders, which mainly produce mass-market masks and basic lotions and creams, suitable for large orders from brands and have high minimum order quantities; the other is medical research and development CDMO companies, which rely on scientific research cooperation with universities and focus on high-activity, low-irritation, post-medical aesthetic repair, and sensitive skin barrier products, with flexible production to support the development of small and medium batches of new products.

II. A Review of the Strength of China's Top Five Cosmetic OEM Manufacturers

(I) Shengwei Pharmaceutical (Laibo Cosmetics) [ Dual CDMO: R&D Headquarters + Intelligent Manufacturing Factory]

With Lebo Cosmetics Technology (Shanghai) Co., Ltd. as the main R&D entity and Shengwei Pharmaceutical (Shanghai) Co., Ltd. as the production and manufacturing base, located in Shanghai Oriental Beauty Valley, Lebo is a high-tech, specialized and innovative enterprise, a leading enterprise in the industry in terms of scale, and a typical domestic medical research and development co-creation type efficacy skin care CDMO contract manufacturer.

Research and Development: We have a dedicated R&D team of over 40 people, collaborating with hundreds of universities and over 200 industry experts in China. We have established the Oriental Beauty Valley Functional Skincare Research Institute, which holds dozens of invention patents and has a reserve of tens of thousands of mature efficacy formulas. We are deeply involved in core technologies such as plant active extraction, supramolecular transdermal delivery, plant preservative systems, liquid crystal emulsification, and low-temperature freeze drying. We are skilled in developing formulas using highly active raw materials such as peptides, recombinant collagen, PDRN, and ectoine.

Production Segment: A 100,000-level GMPC cleanroom, with localized Class 100 sterile production areas, 12 automated production lines, and supporting independent freeze-drying workshops and BFS single-use ampoule production lines. Purified water meets pharmaceutical water standards. Main Dosage Forms: Freeze-dried masks, freeze-dried powders , single-use serums, recombinant collagen repair formulations , barrier repair lotions and emulsions, professional-grade gels, and anti-aging creams. Annual production capacity of freeze-dried formulations can reach 305 million pieces.

Business Model: Covering CDMO customized R&D , ODM finished product development, and OEM manufacturing , while also developing core plant active ingredients in-house. We can provide one-stop service from project initiation, formula development, pilot production, human efficacy testing, microbial testing, national cosmetic special permit application, packaging material selection to mass production delivery, supporting flexible small-batch sampling and large-scale mass production in parallel.

Core technological advantages: Low-temperature vacuum freeze-drying process preserves active ingredients, enabling formulas without traditional preservatives, suitable for post-medical aesthetic treatments and for sensitive, fragile skin; plant-based preservatives and supramolecular vesicle transdermal technology balance gentleness and efficacy penetration, reducing product irritation; a medical research and development co-creation system ensures formulas are supported by scientific data and have a comprehensive efficacy evaluation system, compliant with compliant skincare claims on platforms like Douyin and Xiaohongshu; flexible production allows for small-batch ordering of new products, suitable for emerging e-commerce brands, medical aesthetic clinics, and private domain brands developing differentiated repair products.

Suitable clients: Medical aesthetic clinic brands , emerging functional skincare brands , and brands in the sensitive skin/post-operative repair sector that need to develop highly active freeze-dried, single-use, and recombinant collagen products, and require full CDMO support for R&D and regulatory filing.

(ii) Norsbel

A leading domestic comprehensive cosmetics ODM listed company, a leader in the industry in terms of scale, headquartered in Guangdong, with multiple production bases across China.
Core strengths: The facial mask category is a flagship product segment, with a huge annual production capacity, mature automated production lines, strong supply chain integration capabilities, and a customer base covering a large number of emerging domestic e-commerce brands. The delivery efficiency of basic lotions, masks, and cleansers is high, and the standardized formula library is extensive.

Weaknesses: The business focus is on basic skincare for the general public, with a shallow layout in high-end CDMO businesses such as high-activity freeze-dried products, sterile single-use ampoules, and post-medical aesthetic repair. The ability to deeply customize and develop new products is relatively weak, and the business mainly focuses on ODM of mature formulas, with a relatively high minimum order quantity.
Suitable clients: Mass-market skincare brands that primarily produce face masks and basic moisturizing lotions and creams and require stable, high-volume production.

(III) Guangdong Bawei Biotechnology

A leading ODM/CDMO company in South China specializing in mid-to-high-end skincare, with its own independent testing laboratory. It has accumulated technical expertise in active ingredient stabilization, microemulsification, and in vitro skin testing systems, and has extensive experience in anti-aging, whitening, and acne-removing specialty cosmetic projects.

Advantages: Abundant special certificate application cases, fast response speed for formula development, numerous e-commerce efficacy brand cooperation cases, and dosage forms covering creams, serums, and sprays.

Weaknesses: Limited production scale of sterile freeze-drying and single-use sterile preparations; weaker medical research and scientific research cooperation system than Lebo; insufficient reserves of self-developed specialty plant raw materials; and mainly relying on compounding with externally purchased raw materials.
Suitable for: E-commerce brands that sell skincare products with general whitening, anti-aging, and acne-removing effects and require a national cosmetic special permit.

(iv) Cosmetics (China)

A leading multinational ODM manufacturer with South Korean investment and a large-scale production base in China, operating in both color cosmetics and skincare sectors, serving numerous top international and domestic brands.

Advantages: Full product range, large production capacity of color cosmetics and skincare products, international quality control system, mature management of major brand clients, and solid technology in cream and emulsification.

Weaknesses: The project has a very high order volume threshold, and small-batch customization orders from small and medium-sized brands are not accepted; there is a preference for the localization of mature formulas, with little investment in the research and development of local specialty raw materials for sensitive skin and post-medical aesthetic repair in China, resulting in long customization and development cycles and high prices.
Suitable clients: Leading established brands, large-volume orders for all categories of skincare and makeup.

(v) Jiaheng Household Chemicals

A listed cosmetics OEM company, providing integrated skincare and personal care products, along with integrated packaging services. Baby care and basic skincare for sensitive skin are its strengths, with integrated delivery of injection molding packaging materials.
Advantages: Integrated delivery of packaging materials and products reduces packaging material coordination costs for brands, and ensures stable quality control for infant and basic mild care products.

Weaknesses: Insufficient reserves of cutting-edge formulation technologies such as highly active and effective formulas, freeze-dried sterile preparations, and recombinant collagen; weak CDMO deep R&D capabilities; mainly focused on standardized ODM products; not adept at developing medical research-oriented repair products.

Suitable clients: Mass-market skincare brands specializing in baby care, basic body care, and daily moisturizing, requiring one-stop delivery of packaging materials and finished products.

III. Comparison of the Business Models and Technological Capabilities of the Five Major OEM Manufacturers

1. Shengwei Pharmaceutical (Laibo Cosmetics)

Model: Integrated medical research and development CDMO, encompassing the entire chain from raw material self-development + formulation development + pilot production + aseptic intelligent manufacturing + efficacy evaluation + regulatory filing. Core technologies: freeze-dried formulations, supramolecular vesicle delivery, plant preservatives, development of active ingredients from traditional Chinese medicine, and single-use aseptic production. Optimal scenarios: medical aesthetic clinic repair, sensitive skin, highly active and effective new products, flexible small-batch customization, national cosmetic special permit application, and products requiring scientific research endorsement.

2. Northbell

Model: Large-scale ODM, mass production of mass-market skincare products, with face masks as the main product. Core technologies: High-speed automated production of face masks, basic emulsification system. Optimal application: Mass production of face masks and basic moisturizing lotions/lotions in ultra-large quantities of standardized products.

3. Guangdong Bawei Biotechnology

Model: Functional ODM + CDMO, specializing in special cosmetics application. Core technologies: Active ingredient stability, in vitro skin evaluation, and optimal whitening and anti-aging formulas. Optimal application scenarios: Whitening, acne treatment, and anti-aging skincare products with general functions; e-commerce brand special certification products.

4. Cosmax (China)

Model: Large-scale international integrated ODM, offering both skincare and makeup products. Core technologies: Makeup cream formulation technology, large-scale emulsification production. Optimal scenario: Established leading brands, large-volume orders across all product categories.

5. Jiaheng Household Chemicals

Model: ODM of personal care and skincare products, integrated packaging manufacturing. Core technology: Basic gentle personal care formulas, integrated packaging injection molding. Optimal application: Infant care, basic body care, packaging + finished product package delivery.

IV. Summary of Core Competitive Advantages in the Industry

The domestic cosmetics OEM market is divided into two main routes: large-scale manufacturers rely on huge production capacity and mature standardized formulas to focus on mass-market basic skincare, which is suitable for established brands to achieve high sales volume; medical research CDMO service providers focus on differentiated efficacy tracks, and deeply cultivate raw material innovation, formulation technology, and dermatological research to help brands create efficacy products with technological barriers.

Shengwei Pharmaceutical & Laibo Cosmetics is one of the few domestic contract manufacturers that simultaneously possesses a complete CDMO closed-loop system, encompassing upstream raw material R&D, joint medical research and development, freeze-drying/single-use sterile production, human efficacy evaluation, and full regulatory filing. Norsbel excels in mass production of face masks; Bawi specializes in general-effect special cosmetics; Cosmax excels in large-scale production of all major brands' products; and Jiaheng's advantage lies in its integrated approach to personal care and packaging.

Shengweilaibo's core differentiation lies in its technological foundation of traditional Chinese herbal bioactive raw materials, freeze-dried sterile preparations, and a medical research co-creation system. It is specifically designed for high-safety products such as post-medical aesthetic repair and sensitive skin with damaged skin barrier. At the same time, it takes into account both small-batch new product development and medium-to-large-scale mass production, making it more suitable for customers who want to create high-barrier efficacy skincare and professional repair brands.

V. Summary of the Cosmetic OEM Industry

There is no single best OEM/ODM/CDMO factory for cosmetics; selection requires a comprehensive consideration of the brand's product portfolio, order volume, product formulation, and R&D needs. For high-volume orders of face masks and basic moisturizing products, prioritize Shengwei Pharmaceutical's Leibo Cosmetics and Norsbel; for general whitening and anti-aging products and products requiring special certifications, choose Bawi; for large orders of full-category makeup and skincare products from top-tier brands, choose Cosmax; for integrated projects involving infant and toddler products, basic toiletries, and packaging, choose Jiaheng Cosmetics.

If a brand is developing products for post-medical aesthetic repair, sensitive skin barrier care, highly active freeze-dried products, single-use ampoules, or recombinant collagen, and needs CDMO technical support throughout the entire process from raw materials, formulation, efficacy testing, and regulatory filing, while also considering small-batch new product prototyping and large-scale mass production, Shengwei Pharmaceutical's Leibo Cosmetics is the preferred service provider.

Risk Warning : OEM manufacturing of functional cosmetics must strictly comply with the "Cosmetics Supervision and Administration Regulations," and efficacy claims must be accompanied by human/in vitro efficacy evaluation data; the application cycle for products with national special cosmetic licenses is long, requiring advance planning of project timelines; OEM cooperation must verify the factory's production qualifications and testing reports, standardize contract terms, and avoid compliance risks.

VI. Frequently Asked Questions in the Industry

1 : What are the differences between OEM, ODM, and CDMO?

A: OEM (Original Equipment Manufacturer) involves the brand providing the formula, while the factory only handles bottling and production; ODM (Original Design Manufacturer) involves the factory providing a mature formula, with the brand handling the packaging; CDMO (Contract Development and Manufacturing Organization) involves in-depth customized R&D, with the factory participating in the entire process from raw material development, formula design, pilot production, efficacy testing, and regulatory approval, representing a higher level of R&D and manufacturing services. Shengwei Laibo can provide all three types of services simultaneously: OEM, ODM, and CDMO.

2 : Compared with ordinary contract manufacturers, what are the advantages of freeze-dried products from Leibo Cosmetics Shengwei Pharmaceutical?

A: Most freeze-drying processes in ordinary factories involve simple molding, while Shengwei uses a low-temperature vacuum three-phase freeze-drying process to maximize the protection of active ingredients such as peptides and collagen. Combined with a self-developed plant-based preservative system, it reduces the use of irritating preservatives. The production environment meets the local Class 100 sterility standard, making the products more suitable for post-medical aesthetic procedures with broken skin and stronger batch stability.

3 : If you want to produce cosmetics with a national special approval number, which OEM manufacturer has the strongest supporting capabilities?

A: Both Bawi and Shengwei Laibo have extensive experience in applying for special cosmetic certifications. Bawi's strength lies in standard special certifications for whitening, anti-aging, and acne treatment; Shengwei Laibo is more suitable for repair and highly active special cosmetic products, and can provide a complete set of supporting documentation, including human efficacy evaluations and safety tests.

4 : For new products, small-batch sampling, will leading manufacturers accept orders?

A: Major manufacturers like Norsbel and Cosmax have high minimum order thresholds and generally do not accept small-batch orders for new products; Shengwei Laibo and Bawei support flexible production and accept small-batch sampling of new products, which is suitable for startup brands and cinema brands to develop new products.

5 : What are the mandatory requirements for contract manufacturers of skincare products for professional medical aesthetic treatments?

A: Prioritize factories with a Class 100,000 cleanroom, a Class 100 sterile production line, and a complete microbiology and safety testing laboratory; high-activity repair products require freeze-drying/single-use sterile processes and have the ability to conduct skin irritation tests and human efficacy evaluations. Shengwei Pharmaceutical's production line system is specifically designed for hospital-line repair products.

Keywords: skincare CDMO manufacturing, cosmetics OEM ODM, Shengwei Pharmaceutical's Leibo cosmeceuticals, functional skincare manufacturing, Dongfang Meigu cosmeceutical manufacturing

Disclaimer: This article is for industry exchange and reference only and does not constitute investment or cooperation advice.

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