Chinese Medical Device Industry In 2021
China's medical device industry is a huge and growing market. In 2019, its revenue was 629 billion RMB, more than double the 308 billion RMB in 2015. In 2020, due to the emergence of COVID-19, the demand for a series of medical equipment, such as medical masks, nucleic acid test kits and ECMO machines, has rapidly increased. Therefore, it is estimated that industry revenue will jump to over RMB 800 billion in 2020. Since 2015, the industry’s annual growth rate has been about 20%, and it has surpassed GDP growth in recent years.
China now has more than 26,000 medical device manufacturers. As of 2019, medical devices accounted for nearly 57% of the market, followed by high-end consumables (20%), followed by low-value consumables (12%) and IVDs (11%).
China currently accounts for about 20% of the global medical device market. It is a growing market and is expected to develop into the world's largest medical device market in the next few years. The growth factors mainly include the following aspects: 1. The aging of the population leads to an increase in the incidence of chronic diseases, 2. The increase in income leads to an increase in per capita medical expenditure, 3. More demand from medical clinics and hospitals, and 4. policies resulting in low premiums on drugs. With the further growth of China's economy, the focus of medical users will increasingly shift from treatment to prevention.
Source: Chinese Medical Device Industry Report from Deloitte, https://www2.deloitte.com/content/dam/Deloitte/cn/Documents/life-sciences-health-care/deloitte-cn-lshc-medical-device-white-paper-en-210301.pdf