Chinese medical devices market to achieve revenues of $30.6B by 2017

The Chinese medical devices market has enjoyed rapid growth of late and is forecast to achieve revenues of $30.6 billion by 2017, according to a report released on companiesandmarkets.com. Growth is driven by stimulus and reform programmes, as well as China's low cost manufacturing and skilled workforce, which is attracting interest from overseas companies.

China Medical Devices Industry - A Market Snapshot and Key Company

China's medical devices market will experience rapid growth at a rate of 10.9% by 2017, higher than many developed economic regions. By 2017 the market is set to reach $30.6 billion, up from $14.8 billion in 2010.

The fragmented industry consists of regional and overseas participants. Some 13,000 Chinese companies work in the medical devices market - traditionally in wound care, disposables and surgical equipment - but account for only 30% of the market. The remaining 70% is dominated by multinationals working in the hi-tech cardiovascular, IT and imaging segments, although this trend is shifting as more Chinese companies are moving into this arena. Merger and acquisition activity is also increasing.

The 2008 fiscal stimulus plans have driven growth, and in 2009 the Chinese government also agreed to invest the equivalent of $120 billion to reform the country's healthcare system. This is expected to bring growth of around 10-12% over the next few years, but critics indicate there are number of flaws which may impact upon its success, all of which are outlined in the China Medical Devices Industry report.

Another growth driver is the region's skilled workforce of around 800 million people - an attractive option to overseas companies looking to reduce their costs.

Source: companiesandmarkets.com