Meihua International Medical Technologies Co. Builds Up Team to Lead Research and Development of Robotic Surgical System

Rhea-AI Summary

Meihua International Medical Technologies Co., Ltd. (MHUA) announced on February 15, 2023, the establishment of a team to lead research and development efforts for a robotic surgical system aimed at enhancing surgical efficiency in China. The company aims to leverage advancements in communication technologies to facilitate remote surgeries, addressing the nation's growing medical needs due to an aging population. With the surgical robotics market predicted to reach $21.3 billion by 2030, MHUA plans to capitalize on government support for innovative medical equipment to expedite approval and market entry.

Positive

• Formation of a dedicated team for RAS development.
• Market demand for robotic surgical systems is expected to be strong in China.
• Government policies favoring medical innovation may speed up product approval.

Negative

• Current 85% of surgeries in China are still performed traditionally, indicating a long road to adoption.
• Existing competition in the robotics field could hinder market entry and success.

YANGZHOU, China, Feb. 15, 2023 /PRNewswire/ -- Meihua International Medical Technologies Co., Ltd. ("MHUA" or the "Company") (NASDAQ: MHUA), a reputable manufacturer and provider of Class I, II and III disposable medical devices with operating subsidiaries in China, today announced the Company has built up a team to lead the research and development of a robotic surgical system and efforts to apply for approval for production launch. The Company plans to engage in the design of a surgical robotic assisted surgery ("RAS") system and the integration of related software and hardware.

An RAS system generally consists of one or more arms that are controlled by the surgeon, a master controller or console, and which use a sensory system providing feedback to the user. RAS enables remote surgery that combines elements of robotics and telecommunications such as high-speed data connections and elements of management information systems. Most domestic robotics companies are in the midstream, designing their own robotic systems, integrating hardware and software, often buying core components from abroad.

The Company sees great market potential for RAS systems in China. With a huge and aging population but limited medical resources that are allocated unevenly across the country, the significant gap in medical resources in different areas gives rise to a pressing need for medical RAS systems that could potentially help in completing complex surgical operations in a more intelligent, safe and efficient manner while reducing the uneven distribution of medical resources and help medical staff more easily to master operation skills to alleviate their workload.

Mr. Xin Wang, CEO of the Company, commented: "We are excited to announce our plan regarding the robotic assisted surgical system. Our new team is also working on the early-stage planning of production capacity as we believe market demand for such a system will be strong in China given the rapid development of relevant technologies. With continuing advances in communication technologies, the availability of greater bandwidth and more powerful computers, the ease and cost-effectiveness of deploying remote surgery units is likely to increase rapidly. Chinese government policy supports innovative medical equipment, has a green channel in place to speed up the approval process and our Company will use this special policy in an effort to speed the path to market and obtain the relevant license and clearance. The Company has the potential and will endeavor to grasp this market opportunities in order to drive and sustain meaningful growth well into the future."

Currently 85% of surgeries in China are traditionally practiced, compared to 53% in the US. In the US, 68% of surgical procedures could have been performed with robotic assistance, but only 4% were. According to Precedence Research, the global surgical robotics market is set to hit $21.3 billion by 2030 and growing at a CAGR of 16.6% from 2022 to 2030. China presently has a low base of RAS usage and availability and PWC forecasts that RAS usage in China will grow at a faster rate than in much of the world. Meanwhile The Chinese government has also been a strong advocate of medical robotics systems in its Healthy China 2030 plan, emphasizing that innovation and informatization are critical factors for public health and that using medical robotic systems could address the major gap between the supply of and demand for medical resources, indicating the strength and market potential of robotic assisted surgical systems in China.

About Meihua International Medical Technologies Co., Ltd.

Meihua International Medical Technologies is a reputable manufacturer and provider of Class I, II, and III disposable medical devices with operating subsidiaries in China. The Company manufactures and sells Class I disposable medical devices, such as eye drop bottles, medicine bottles and anal bags, and Class II and III disposable medical devices, such as identification tape, gynecological examination kits, inspection kits, surgical kits, medical brushes, medical dressing, masks, disposable infusion pumps, electronic pumps and puncture kits, which products are sold under its own brands and also sourced and distributed from other manufacturers. The Company has received international "CE" certification and ISO 13485 system certification and has also registered with the FDA (registration number: 3006554788) for more than 20 products. The Company has served hospitals, pharmacies, medical institutions and medical equipment companies for over 30 years, providing more than 800 types of products for domestic sales, as well as 120 products which are exported to more than 30 countries internationally across Europe, North America, South America, Asia, Africa and Oceania. For more information, please visit www.meihuamed.com.

Forward-Looking Statements

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's goals and strategies, the Company's future business development and plans of future business development, including its ability to successfully develop robotic assisted surgery systems and obtain licensure and certification for such systems, financial conditions and results of operations, product and service demand and acceptance, reputation and brand, the impact of competition and pricing, changes in technology, government regulations, fluctuations in general economic and business conditions in China, and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the U.S. Securities and Exchange Commission ("SEC"). For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, including under the section entitled "Risk Factors" in its annual report on Form 20-F, as filed with the SEC on July 29, 2022, as well as its current reports on Form 6-K and other filings, all of which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

For more information, please contact:

Janice Wang
Wealth Financial Services LLC
Phone:
+86 13811768599
+1 628 283 9214
Email: services@wealthfsllc.com 

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SOURCE Meihua International Medical Technologies Co., Ltd.

FAQ

What is Meihua International Medical Technologies' plan regarding robotic surgical systems?

Meihua International Medical Technologies announced plans to develop a robotic surgical system to address the surgical needs in China.

When did Meihua International Medical Technologies announce their robotic surgical system initiative?

Meihua International Medical Technologies announced the initiative on February 15, 2023.

What is the expected market size for surgical robotics by 2030?

The global surgical robotics market is expected to reach $21.3 billion by 2030.

What percentage of surgeries in China are currently performed traditionally?

Currently, 85% of surgeries in China are performed traditionally.

How does the Chinese government support robotic medical systems?

The Chinese government supports robotic medical systems through policies that promote innovation and facilitate faster approval processes.