（一）行业数字化升级 Digital Upgrade of the dentsistry

传统上，义齿的加工依赖技师/技工的工艺与经验，加工程序繁复，包括复模，蜡型，车金，上色，高温烧制，修型，上釉，打磨，抛光等步骤。近年，牙科数字化体系逐步完善，形成以口腔内扫描技术(CBCT)，计算机辅助设计制造(CAD/CAM)，自动化切削技术，3D打印技术的闭环生产体系。数字化技术使义齿加工生产变得更加高效，技术投入加大，规避传统义齿加工行业的弊端（人员缺乏系统培训，与临床脱节），要求兼备口腔医学知识，数控操作和计算机软件应用的复合型高水平技师人才。受疫情影响，接触限制为数字牙科带来了市场兴趣，同时技术的升级提高患者的舒适度，减少牙科模型灌制和运输过程造成的偏差，义齿生产时间缩短，节约医生患者等待时间。

Traditionally, denture processing depends on the craftsmanship and experience of technicians/technicians, and the processing procedures are complicated, including re-molding, waxing, gold turning, coloring, high-temperature firing, shaping, glazing, polishing, and other steps. In recent years, the digital dental system has been gradually improved, forming a closed-loop production system with intraoral scanning technology (CBCT), computer-aided design and manufacturing (CAD/CAM), automated cutting technology, and 3D printing technology. Digital technology makes denture processing production more efficient, with increased technical input, circumventing the drawbacks of the traditional denture processing industry (lack of systematic training of personnel and disconnection from the clinic), requiring a high level of composite technicians with knowledge of dentistry, CNC operations, and computer software applications. Affected by the epidemic, contact restrictions have brought market interest to digital dentistry, while upgraded technology improves patient comfort, reduces deviations caused by dental model filling and transportation processes, shortens denture production time, and saves doctor-patient waiting time.

（二）义齿加工工厂分布变化 Changes in the distribution of denture processing factories

全球约70%义齿加工业务集中于中国。数字化浪潮掀起之前，义齿加工工厂主要分布在中国以深圳为中心的珠三角地区和以上海为中心的长三角地区。随着传统义齿加工成本增长（劳动力成本，设备成本，场地租金，政府政策等），以及中国义齿行业升级向专业化发展，义齿加工厂逐步迁至东南亚地区。例如现代牙科（HK.036）在越南设立新的生产基地，将受益于越南较低的劳动力和制造成本；进一步提集团的产量，使其全球生产结构多样化；同时，进一步缓解中美关系紧张带来的不确定性。（数据来源：现代牙科2020.6年报）

About 70% of the global denture processing business concentrate in China. Before the wave of digitalization, denture processing factories located in the Pearl River Delta region, centered in Shenzhen, and the Yangtze River Delta region, centered in Shanghai. As traditional denture processing costs increased (labor costs, equipment costs, space rental, government policies.) and the Chinese denture industry upgraded to specialization, denture processing plants gradually moved to Southeast Asia. For example, Modern Dental (HK.036) has established a new production base in Vietnam, which will benefit from the lower labor and manufacturing costs in Vietnam; increase the Group's production volume and diversify its global production structure; alleviate the uncertainty caused by the tension between China and the U.S. (Source: Modern Dental Annual Report 2020.6)

( PS： 洋紫荆是现代牙科的子公司 ）

（三）义齿市场保持稳步发展. The denture market maintained steady development

因全球人口及老龄人口增加，牙科美容需求增加、口腔健康意识增强、可支配收入增长，义齿需求将保持稳定。目前，北美地区为义齿加工企业主要销售地。通过收购美国当地设备公司与当地经销商合作，获取稳定客源，例如当地牙科诊所，联合医疗机构(Dental Support Organization, DSO)，各州公立医院采购等。

The demand for dentures will remain stable due to the increase in global population and aging population, increased demand for cosmetic dentistry, enhanced oral health awareness, and growth in disposable income. Currently, North America is the main sales area for denture processing companies. By acquiring local equipment companies in the U.S. and cooperating with local distributors, they can obtain a stable customer source, such as local dental clinics, allied health organizations (Dental Support Organization (DSO)), and public hospitals various states for procurement.

( Morden Dental Group, case study & analysis , for more details , can send your email to market@runningtooth.com , we will send you the clearly case study document .)

以现代牙科（HK.036）为例，产品组合主要包括: i) 固定义齿器材（72.8%，同比上涨1.7%） ii) 活动义齿器材（18.9%，同比下降0.2%） iii) 其他器材（正畸器材，运动防护器材，防鼾器，原材料，牙科设备）（8.3%，同比下降 0.9%）。销售毛利率46.1%，毛利率同比减少1.7%（产能使用率减少，毛利率较低的牙科设备销售占比增加）。（数据来源：现代牙科2020.6年报）现代牙科专注向快速发展的义齿行业客户提供定制义齿，具备数字牙科解决方案的经验和专业声誉（欧洲市场，尤其是口腔内扫描病例）；具有集中的数字化工作流程、设备和网络，满足客户的需求；具备球分销网络优势，通过收购和合资企业进一步巩固全球网络，与上游企业的额外分销和合资安排；新产品发布（TrioClear矫正器）具额外市场。

Take Modern Dental (HK.036) as an example, the product portfolio mainly includes: i) Fixed denture equipment (72.8%, up 1.7% year-on-year) ii) Prosthetic denture equipment (18.9%, down 0.2% year-on-year) iii) Other equipment (orthodontic equipment, sports protection equipment, anti-snoring devices, raw materials, dental equipment) (8.3%, down 0.9% year-on-year) . The gross margin of sales was 46.1%, a decrease of 1.7% year-on-year (decrease in capacity utilization and increased sales of dental equipment with lower gross margin). (Source: Modern Dental Annual Report 2020.6) Modern Dental focuses on providing customized prostheses to customers in the fast-growing denture industry, with experience and professional reputation in digital dental solutions (European market, especially for intraoral scanning cases); has a centralized digital workflow, equipment, and network to meet customers' needs; has the advantage of a global distribution network, and through acquisitions and joint ventures further Consolidation of the global network, additional distribution and joint venture arrangements with upstream companies; new product launch (TrioClear aligners) with additional markets.

（四）口腔材料升级 Upgrade of dental materials

随着口腔材料学的发展，生物材料的更新，义齿，种植体和口腔修复领域的传统材料逐步被淘汰。目前，全瓷材料开始替代传统合金，金属烤瓷材料，为患者带来更加优良的生物相容性和咬合强度。轻薄以及表面密合度的提高为患者带来了微创修复的新选择。

With the development of dental material science, the renewal of biological materials, dentures, implants, and traditional oral prosthetics materials gradually eliminates. All-ceramic materials currently began to replace conventional alloys and metal porcelain materials to bring patients more excellent biocompatibility and bite strength. The lightness and thinness and the improved surface fit bring new options for patients for minimally invasive restorations.

3D打印材料的创新发展，为行业带来无限可能。隐形牙套作为3D数字化生产体系的典型产物，国内市场以Invisalign和时代天使(Angelalign)占据75%以上市场，行业新秀还包括HeyGears；国际市场，Smiledirectclub（3D材料喷射技术），zeyum，目前现代牙科也以其新产品TrioClear加入该赛道。