China Medical Device Market Research and Forecast, 2008-2010

China is a large medical apparatus and instruments producer in both Asia and the world. China, as one of the top ten emerging markets in the world's medical apparatus and instruments industry, had a market capacity in 2006 exceed CNY60 billion. According to the development plan for the medical apparatus and instruments industry during the period 2006-2010, issued by the former State Economic & Trade Commission, the total output value of China's medical apparatus and instruments industry is expected to reach CNY150 billion in 2010, accounting for 5% of the world total, and China's market share in the world is expected to reach 25% in 2050, making China a world first-class, powerful medical apparatus and instruments producer. In 2007, China initiated the reform on its medical system. According to the reform plan, China will expand its capital expenditure in the infrastructure network of public health, implying a big market space for medical apparatus and instruments producers.

According to the statistics of the General Administration of Customs of China, China's total trade volume of medical apparatus and instruments in 2006 was US$10.55 billion, up 17.57% year-on-year, of which the exports valued at US$6.87 billion, up 28.58% year-on-year and the imports valued at US$3.68 billion, up 1.37% year-on-year. In 2007, China's total trade volume of medical apparatus and instruments reached US$12.7, more than four times US$2.95 billion posted in 2000, of which the imports valued at US$4.28 billion, more than three times US$1.31 billion recorded in 2000, and the exports valued at US$8.42 billion respectively, more than five times US$1.64 billion posted in 2000.

At present, about 70% of China's high-end medical apparatus and instruments market is dominated by transnational corporations. Companies like GE, Siemens and Philips have the outstanding competitive advantages in the high-end market. Take radiation diagnosis device as an example, the U.S.'s GE, German's Siemens and the Netherlands' Philips have a higher market shares in CT, MRI device and angiogram device respectively. Manufacturing capability of Chinese companies in software development and precision electronic equipment, which is being increasingly enhanced, is gradually breaking the monopoly of foreign companies and creating a group of excellent companies, engaged in the production of medical apparatus and instruments, including Shenzhen Mindray Bio-medical Electronics Co., Ltd, Jiangsu Yuyue Medical Device Co., Ltd and Shandong Xinhua Medical Instrument Co., Lt

This is the Executive Summary from the report; China Medical Device Market Research and Forecast, 2008-2010, described below. For English version, please allow 5 business days for report translation.

Currently, China is already the third largest medical device market in the world, after the United States and Japan. Within 5 to 7 years, China will surpass Japan and become the second largest medical device market in the world.

'China Medical Device Market Research and Forecast, 2008-2010” focuses on medical device industry status, markets, and investment. It covers the following areas:

Part I Medical device industry development status
1 Definitions and Classifications of medical devices
2 Analysis of the Chinese medical device industry 2006-2007
3 Import and export analysis of medical device products

Part II Market breakdown
4 Market breakdown of major medical devices
5 2007 Major markets in China
6 2007 Chinese medical device price analysis

Part III Investment environment
7 Market competition
8 Business performance analysis of major medical device enterprises
9 Channel analysis of the Chinese medical device market
10 Policy environment
11 Technology environment
12 2007-2008 World medical device market forecast
13 Medical device market trends

It also includes 63 charts containing all major financial figures, import/export analysis, top 100 enterprises and leading enterprises’ financial data, various market sizes, exhibition information, and investment comparison/analysis.

Some highlights of the report:

1. Market
In China, the medical devices industry is concentrated in the Pearl River delta, Yangtze River delta and the Circum-Bohai-Sea region. They all enjoy conditions favorable to the growth of the industry, including local technological strength, a huge talent pool, a relatively solid clinical medical foundation and preferential policies. The combined output value and sales income of these three regions account for over 80% of the national total.

In 2007, the top countries for China’s medical device imports remained the United States, Japan and Germany. China imported 580 million USD worth of medical device from the US, an increase of 11.15% over the previous year; 350 million USD from Germany, an increase of 16.33%; and 330 million USD from Japan, a drop of 3.17%. In fact, 65.26% of all China’s medical device imports came from these three countries.

In addition, there were 19 countries and areas from which China’s medical device imports surpassed 10 million USD, and 18 countries and areas from which China’s imports more than doubled.

2. Investment Opportunities
- Medical device innovations derived from medical technology innovations
- Bright prospects for Chinese medical device after-sale service industry
- A huge future market for bio-chips (Industrialization remains an arduous task.)
- Look for household medical devices as a major trend in the future.
- Increacing competition in high value added electronic products
- Digitalization of medical device

The investment boom in Chinese medical and health industry has maintained its speed. Since October, 2007 the industry has recorded the highest investment rate in China’s investment market (it took up 16.7% of all investment cases and 20.1% of all investment capital in November). As the breakdown of the medical and health industry reveals, the medical devices and the research and development of medicines are the area in which institutional investors have the greatest interest.

Conclusions
This is a very hot area, and all indications are that it will only get hotter. Demand can only increase as populations age, digital and biomedical technologies continue to advance, and an ever larger number of people have the resources to become customers. “China Medical Device Market Research and Forecast, 2008-2010” is your best path to understanding and capitalizing on these changes.