15 orthopedic, spine device companies that may be affected by Trump's 25% tariff proposal

Written by Mackenzie Garrity | April 06, 2018 | Print  |

President Donald Trump recently proposed a 25 percent tariff on a list of products from China. Some of the items on the list include magnetic resonance imaging electro-diagnostic apparatuses, orthopedic or fracture appliances and artificial joints.

The statement from the Office of the U.S. Trade Representative published by The Wall Street Journal. said the reason for the tariff is due to "the acts, policies and practices of the government of China related to technology transfer, intellectual property and innovation covered in the investigation are unreasonable or discriminatory and burden or restrict U.S. commerce."

Orthopedic and spine companies are among those who could be affected by the proposed tariff. While not all companies are based in China, many have distribution and manufacturing agreements.

Here are 15 companies who may face burdens from the proposal.

Alphatec (Carlsbad, Calif.). The medical device company is partnered with independent distributor Scient'x's which distributes Alphatec's implants and instruments throughout China.

Arthrex (Naples, Fla.). While Arthrex is expanding in the U.S., the medical device company also has a corporate manufacturing center in Shanghai, China.

DePuy Synthes (Warsaw, Ind.). In 2008, DePuy Synthes opened a state-of-the-art manufacturing plant in Suzhou, China, to distribute implants and instruments throughout the country.

Exactech (Gainesville, Fla.). While having a corporate manufacturing location in Shanghai, Exactech distributes its hip and knee systems throughout the country.

Globus Medical (Audubon, Pa.). Globus Medical acquired Alphatec, which distributes implants and instruments throughout China.

Life Spine (Huntley, Ill). In early 2014, Life Spine entered into a partnership with China Pioneer Pharma Holdings to grow its orthopedic market share in China.

Mazor Robotics (Caesarea, Israel). Mazor Robotics partners with Chinese distributor Cicel Science. Additionally, the Renaissance robotic system was recently awarded China Food and Drug Administration approval.

NuVasive (San Diego). Since NuVasive named Gregory Lucier CEO, the company has been working on expanding into the greater Chinese market for orthopedics.

Orthofix (Lewisville, Texas). An Orthofix distribution center for external and internal fixation systems is located in Shanghai.

OrthoPediatrics (Warsaw, Ind.). OrthoPediatrics partnered with Bioretec, a Chinese device company, to distribute the company's implants and systems.

Smith & Nephew (London, England). The company has manufacturing facilities in mainland China and Hong Kong.

SpineGuard (Saint-Mandé, France). In 2017, SpineGuard partnered with Xing Rong Medical Group in China to distribute the company's implants. Later in the year, Xing Rong Medical announced it began purchasing SpineGuard's PediGuard system.

Stryker (Kalamazoo, Mich.). Stryker has manufacturing locations all throughout China, including Beijing, Chengdu, Guangzhou, Hong Kong, Shanghai and Wuhan.

United Orthopedic Corporation (Irvine, Calif.). United Orthopedic Corporation was first established in China beforing brining its operations to the U.S. five years ago. The medical device company has locations in Taiwan and China.

Zimmer Biomet (Warsaw, Ind.). Zimmer Biomet's has a manufacturing location in China for the company's orthopedics and microfixation devices. Recently, the FDA lifted its warning letter on the Zimmer Biomet's China plant.

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