2026 Second Half Beauty Industry Regulatory Storm: 78 New Regulations Land Densely, How Should OEM Manufacturers and Brands Respond?
Halfway through 2026, the "rules" of the cosmetics industry have completely changed.
Having worked in OEM manufacturing for over a decade, the word I feel most deeply this year is — strict. Not the kind of strictness that's just slogans, but real inspections, real fines, and real industry reshuffling. In the first half of the year, national authorities densely issued 78 cosmetics-related regulatory documents, covering everything from raw materials to finished products, from online to offline, leaving almost no blind spots.
This article sorts out the most noteworthy regulatory developments recently and discusses the practical impact of these changes on building brands and doing OEM manufacturing.
1. July 15: New Raw Material Filing Regulations Officially Implemented, Game Rules Rewritten
The National Medical Products Administration (NMPA) issued the new version of the "Provisions for the Registration and Filing Management of New Cosmetic Raw Materials," which took effect on July 15, simultaneously repealing the 2021 old version.
Core change: Lowered the risk classification threshold for raw materials. Previously, many new raw materials were stuck in the "high-risk" category, with long registration cycles and high costs, making many companies afraid to touch them. The new regulations adjust the risk levels of some raw materials, making the filing process clearer and potentially improving approval efficiency.
This is good news for us in skincare OEM manufacturing — if brands want to use new functional ingredients, and the raw material end is unblocked, there's more room for product development. Popular raw materials like recombinant collagen and peptides will have smoother filing paths in the future.
But it's also important to note that the new regulations simultaneously impose higher technical depth requirements on filing materials. It's not enough to just write up a formula and pass review; toxicological data, safety assessments, and efficacy evidence are all indispensable. Brands and OEM factories must cooperate more closely, incorporating compliance considerations from the raw material screening stage.
2. July 8: Online Inspection Becomes Independent Chapter, E-commerce Channel Regulation Upgraded
On July 8, the State Administration for Market Regulation (SAMR) issued the "Measures for the Supervision and Random Inspection of Product Quality (Draft for Comments)," and one major change is: online inspection has been upgraded from an original chapter to an independent chapter.
What does this mean? Online cosmetics are no longer "outside the law."
The new regulations clarify several things: - If non-compliant products are found during inspection, not only must the platform name be disclosed, but also the live stream room operator and streamer information must be disclosed - If platforms fail to take action against non-compliant products, the platforms will also be penalized - Inspection and sampling are conducted simultaneously; if "three-no" products (no production license, no quality inspection, no production date) or counterfeit and substandard products are found, evidence is immediately secured and transferred for handling
In plain terms, streamers, operations teams, and platforms involved in live commerce are all within the regulatory scope. For brands, when distributing products online, they must ensure product qualifications are complete and claims are compliant; otherwise, the cost of being randomly inspected is much higher than before.
3. July 22: New "Facial Toner" Standard Released, Effective September 1
On July 22, the QB/T 2660-2026 "Facial Toner" light industry standard was officially released, effective September 1, replacing the 2004 old version.
Main changes in the new standard: - More detailed product classification: divided by form into single-layer and multi-layer types; divided by emulsification into emulsified and non-emulsified types - Stricter raw material control: lead and arsenic limits unified to the requirements of the "Safety and Technical Standards for Cosmetics," with new limits added for cadmium and dioxane - Products containing raw materials with ethoxy structures must be tested for dioxane - Products with a combined ethanol and isopropanol content ≥10% must be tested for methanol
Facial toner is one of the most common categories in skincare OEM manufacturing. After the new regulations, companies doing toner OEM/ODM need to quickly review existing formulas to check whether they use raw materials with ethoxy structures; if so, dioxane indicators must meet standards.
4. June: Two Mandatory National Standards for Cosmetic Adverse Reactions Open for Comments
On June 15, the NMPA publicly solicited comments on two mandatory national standards: - "Judgment Standards and Handling Principles for Cosmetic-Induced Cheilitis" - "Judgment Standards and Handling Principles for Cosmetic-Induced Contact Urticaria"
The comment period ends on August 15.
Once these two standards are implemented, they will be an important supplement to the cosmetic safety evaluation system. Previously, when encountering consumer adverse reaction complaints, judgment standards were not unified enough. Now with clear national standards, both companies and testing institutions have a basis to follow.
For OEM companies, safety assessments of products must be more rigorous, especially for lip products (lipsticks, lip balms, etc.) and products that may come into contact with skin. Sensitization risks should be considered during formula design.
5. May 15: Comprehensive Mercury Ban in Cosmetics, No Exemptions Left
On May 15, the NMPA incorporated the revised "Mercury and Its Compounds" into the "Safety and Technical Standards for Cosmetics (2015 Edition)," clarifying: all mercury and its compounds are prohibited ingredients in cosmetics, with no exemptions for legal addition in any category or use retained.
This is a signal of complete closure. Previously, certain special-purpose cosmetics might still have exemption space; now it's completely zeroed out. Brands and OEM factories making whitening and freckle-removal products need to pay special attention — absolutely no mercury-related ingredients are allowed in product formulas.
6. From April: RF Beauty Devices Officially Enter the "Medical Device Registration" Era
From April 1, 2026, radio frequency (RF) therapeutic devices and RF skin therapeutic devices that have not obtained a Class III medical device registration certificate may not be produced, imported, or sold.
RF beauty devices previously existed in the gray area between "home appliances" and "medical devices," but now it's completely clear — they are medical devices. For companies doing OEM for beauty devices, the threshold has been directly raised to Class III medical device standards, with significantly increased investment in R&D, testing, and registration.
But this is good for the entire industry. Previously, the quality of RF beauty devices on the market was uneven, with constant consumer complaints. Now with a clear regulatory framework, products from legitimate companies will be more competitive.
7. April 29: Six Medical Aesthetics Institution Tax Evasion Cases Exposed Collectively, Tax Regulation Tightened
On April 29, the State Taxation Administration disclosed in one batch six typical tax evasion cases from medical aesthetics institutions in Liaoning, Guizhou, Jiangsu, Beijing, Hebei, and Guangdong.
In the typical cases, some institutions concealed income through private account collections, and some improperly declared taxable income as tax-exempt items. Among them, a plastic surgery hospital in Shenyang concealed nearly 70 million yuan in income over three years, ultimately facing recovery and fines.
This signal is very clear: in the Golden Tax Phase IV era, with cross-comparison of fund flows, business flows, and declaration data, the old approach of routing money through private accounts no longer works. Whether for brands or OEM factories, financial compliance must be placed on equal footing with product quality.
8. From February: AI Streamers Brought Under Regulation, Live Commerce Can No Longer "Fabricate Stories"
On February 1, the "Measures for the Supervision and Administration of Live Streaming E-commerce" officially took effect. Core requirements: - AI digital humans and virtual streamers must be included in the regulatory scope - AI may not be used to fabricate or disseminate false or misleading commercial information - AI-generated images or videos of people used for live streaming e-commerce must continuously provide prominent labels to consumers
This has a significant impact on beauty live commerce. Many brands use AI-generated effect images in live streams to showcase product results, or use virtual streamers to circumvent the qualification requirements for real streamers. These practices now have clear legal constraints.
9. From January: Transition Period for Hair Growth Products Expired, Categories Redivided
From January 1, the transition period for the five categories of cosmetics originally claiming "hair growth," "hair removal," "breast enhancement," "body shaping," and "deodorant" expired, and they may no longer be produced, imported, or sold.
Among them, the direction for hair growth products is relatively clear: - Those that only improve hair loss → still special cosmetics, requiring human efficacy evaluation - Those that prevent hair breakage → adjusted to general cosmetics filing management - Those that promote hair growth → moved out of the cosmetics category, classified as drugs or medical devices
Brands and OEM factories involved in related categories need to confirm their product classifications, rush to re-file where necessary, and quickly adjust marketing language where needed.
10. From February: Electronic Label Pilot Program, Label Management Keeps Pace with the Times
From February 1, seven regions — Beijing, Shanghai, Zhejiang, Shandong, Guangdong, Chongqing, and Hainan (duty-free island) — launched a 3-year pilot program for electronic labels on cosmetics.
This is a noteworthy change for OEM companies. Previously, small-format products (such as travel sizes and sample sizes) often couldn't fit all label information due to limited packaging space. Now electronic labels offer greater flexibility, allowing complete product information to be displayed via QR code scanning.
Practical Advice for OEM Companies
As a veteran who has been in the skincare OEM industry for many years, facing this wave of densely landed regulations, here are some practical suggestions:
1. Formula compliance must start from the source After the new raw material filing regulations took effect, if brands want to use new ingredients, OEM factories should get involved from the raw material screening stage to ensure toxicological data and safety assessments are all in place. Don't wait until the formula is finalized to go back and fill in materials — that wastes time and easily leads to pitfalls.
2. Efficacy claims must be verifiable In the current regulatory environment, efficacy claims like "whitening," "anti-wrinkle," and "repair" all require corresponding efficacy evaluation reports as support. When OEM companies provide products, it's best to prepare efficacy verification data in advance to save brands the trouble of retroactive testing.
3. Online channels must be compliant simultaneously After the online inspection upgrade, the probability of products being randomly inspected online will increase significantly. Labeling, filing information, and promotional language must all withstand scrutiny. Especially in live commerce scenarios, streamer scripts must also be included in compliance management.
4. Financial compliance cannot be sloppy The six tax evasion cases show that under Golden Tax Phase IV, all fund flows are transparent. In cooperation between OEM factories and brands, every transaction must go through corporate accounts, invoices must be standardized, and shortcuts that leave hidden risks should be avoided.
5. Pay attention to the pace of standard updates From the new "Facial Toner" standard to the adverse reaction judgment standards, the update pace of the standards system is accelerating. OEM quality management teams should develop a habit of regularly tracking standard developments and promptly adjusting internal quality control processes.
This wave of densely landed regulations is essentially pushing the entire cosmetics industry from "extensive operation" toward "compliance-driven." For companies truly committed to quality and R&D, this is actually a good thing — the threshold is higher, fewer players are muddying the waters, and companies that do serious work will have more room to grow.