Asia-Pacific $56.2 Billion Medical Device Outsourced Manufacturing Market to 2026 by IVD, Diabetes, Respiratory, Cardiovascular, Personal Care, Endoscopy, Dental, Ophthalmology, Devices - ResearchAndMarkets.com
DUBLIN--(BUSINESS WIRE)--The "Medical Device Outsourced Manufacturing Market by Device Type (IVD (Equipment, Consumable), Diabetes, Respiratory, Cardiovascular, Personal Care, Endoscopy, Dental, Ophthalmology, Devices) Class of Device, Services, Procedure - APAC forecast to 2026" report has been added to ResearchAndMarkets.com's offering.
The Asia Pacific medical device outsourced manufacturing market is projected to reach USD 56.2 billion by 2026 from USD 29.3 billion in 2021 and is expected to grow at a CAGR of 13.9% during the forecast period.
The Asia pacific medical device outsourced manufacturing market is mainly driven by the overall growth of the medical devices market, mainly due to the rising disease prevalence, life expectancy, and geriatric population. Technological advancements have prompted end users to overhaul or update their manufacturing systems. As this is a costly process, they look to outsource contract manufacturing.
However, market growth is impeded by the growing consolidation in the medical devices market. To develop their own manufacturing capabilities and save costs, Larger players are focusing on acquiring smaller players and CMOs themselves. This may affect the overall market growth to a certain extent.
"Cardiovascular segment is expected to witness fastest growth in the forecast period."
Based on device type, the Asia Pacific medical device outsourced manufacturing market is broadly segmented into IVD devices, diagnostic imaging devices, cardiovascular devices, drug delivery devices, orthopedic devices, respiratory care devices, ophthalmology devices, surgical devices, diabetes care devices, dental devices, endoscopy devices, gynecology/urology devices, personal care devices, neurology devices, and other devices.
Cardiovascular segment is expected to witness fastest growth in the forecast period. With the prevalence of cardiovascular diseases on the rise, the demand for medical devices that can treat conditions of the heart and blood vessels will continue to grow. At the same time, the complexity of the devices will follow a similar trend.
They will become smaller, incorporate more components made from various materials, require stringent tolerance analyses, and demand innovative packaging and sterilization solutions. Subsequently, not all OEMs possess innovative and sophisticated product manufacturing capabilities, thereby driving the demand for medical device outsourced manufacturing.
"Device development and manufacturing services segment accounted for the largest share of APAC medical device outsourced manufacturing market in 2020"
Based on service, the Asia Pacific medical device outsourced manufacturing market is segmented into device development and manufacturing services, quality management services, packaging and assembly services and other services. In 2020, the device development and manufacturing services segment dominated this market.
The increasing adoption of contract manufacturing services in the medical device industry, growth in the medical devices market (especially in the single-use disposable medical devices market), and improving device development and manufacturing capabilities are the major factors responsible for the large share of this segment.
"Class III segment is expected to witness fastest growth in the forecast period."
Based on the class of device, the APAC medical device outsourced manufacturing market is segmented into Class I, Class II, and Class III medical devices. The manufacturing of Class III devices requires sophisticated and advanced technologies owing to the risks these devices pose to patients if not utilized in the intended way.
The primary difference is that in addition to the general controls of Class I devices and special controls of Class II devices, all Class III devices require premarket approval, including a comprehensive scientific review to ensure their safety and effectiveness. The high growth rate of this market segment is fueled by the increasing adoption of innovative technologies by medical device outsourced manufacturing companies to manufacture high-end Class III medical devices.
"Production segment accounted for the largest share of Asia Pacific medical device outsourced manufacturing market in 2020"
Based on process, the medical device outsourced manufacturing market is broadly segmented into production, prototyping, pilot production, design for manufacturing, process evaluation, validation, project management, packaging, and assembly. In 2020, the production segment accounted for the largest share of the medical device outsourced manufacturing market. The large share of this segment can be attributed to the growing number of medical device companies outsourcing their production tasks to minimize manufacturing costs.
Market Dynamics: Impact Analysis
- Growth in the Medical Devices Market
- Technological Advancements in Medical Device Modalities
- Impact of Industry 4.0 on the Medical Devices Industry
- Consolidation in the Medical Devices Market
- Growing Healthcare Expenditure in the APAC Region
- Increased Life Expectancy
- Balancing Technological Capabilities Against Costs
Porter's Five Forces Analysis
Threat from New Entrants
- Growth in the Overall Medical Device Industry
- Industry Demand for Compact, Cost-Effective, and Non-Invasive Devices
- Poor Financing Environment
- Proficient Management Teams
- Stringent Regulatory Environment
Threat from Substitutes
- Undesirability of Existing Portfolios
- Combination and Integration of Multiple Technologies
- Availability of Alternatives
Bargaining Power of Suppliers
- Big Medical Device Contract Manufacturing Companies
- Institutional Technology Providers
- Substantially Innovative Technologies
- Dysfunctional Companies
- Academic Inventors
Bargaining Power of Buyers
- Few Buyers and Many Sellers
- Buy-Out Threat
- Demand for New Pipeline Services
- Point of Differentiation
Intensity of Competitive Rivalry
- Similar Spectrum of Services Offered
- Similar Funding Source
- Self-Funded Big Contract Manufacturers
- Highly Fragmented Industry
Value Chain Analysis
Supply Chain Analysis
Key Markets for Import and Export (Trade Analysis for Medical Devices)
- Increasing Consolidation of Oems and Cmos
- Growing Interest of Private Equity Firms in Medical Device Contract Manufacturing
- Outsourcing of Medical Device Contract Manufacturing Services
- Jabil Inc.
- Nipro Corporation
- Flex, Ltd.
- Sanmina Corporation
- Nordson Corporation
- Plexus Corp.
- Te Connectivity Ltd.
- Kimball Electronics, Inc.
- Benchmark Electronics Inc.
- West Pharmaceutical Services, Inc.
- Aptar, Inc.
- Carclo plc
- Nolato Gw, Inc. (A Part of Nolato Ab)
- Gerresheimer Ag
- Celestica Inc.
- Integer Holdings Corporation
- Nortech Systems, Inc.
- Consort Medical plc
- Nemera Development S.A.
- Tessy Plastics Corp
- Viant Medical
- Phillips-Medisize (A Molex Company)
- Peter's Technology
For more information about this report visit https://www.researchandmarkets.com/r/ffz1h3
Laura Wood, Senior Press Manager
For E.S.T Office Hours Call 1-917-300-0470
For U.S./CAN Toll Free Call 1-800-526-8630
For GMT Office Hours Call +353-1-416-8900