Foreign-funded medical and mechanical enterprises accelerate the "deep cultivation" in China

Foreign-funded medical and mechanical enterprises accelerate the "deep cultivation" in China A few days ago, Philips announced that the first batch of basic medical equipment developed and produced in the Suzhou factory will be rolled out. In an interview with the media, Mr. Zhang Wenming, president of Philips Healthcare Greater China, said that Philips’ in-depth development of China’s domestic market strategy for R&D and productivity in China is being implemented in depth.

In fact, it is not the Philips family that foreign-funded medical device companies “deeper” in China. According to news from China International Medical Equipment Expo 2012, foreign medical device companies such as Siemens and GE have introduced innovative medical device products for basic medical care. Recently, Duan Xiaoyi, president and chief executive officer of GE Healthcare Greater China, said in an interview with the media that by the three years before 2015, we will double the capacity of China’s domestic market and fully realize the domestic industrial chain in China. Change.

According to Li Jinying, a pharmaceutical industry researcher of the China Business Information Network Industry Research Institute interviewed by a reporter from the "China Sankei Shimbun", the continuous expansion of the Chinese medical market has brought a lot of opportunities to the medical device industry. For many multinational giants, the Chinese market is unique. From the perspective of growth rate, China is an emerging market; in terms of medical device demand, the Chinese market is already a very mature market. That is to say, the rapid expansion of multinational companies in the Chinese market is due to the high quality of medical equipment products by Chinese users. It is determined by the comprehensive requirements of high reliability and high service levels.

In Li Jinying’s view, the rural market has also become a potential market for multinational corporations to compete for. Multinational corporations are consolidating and expanding their market share in China’s medical device market. They are working with Chinese companies and localizing R&D to lower End-market penetration deep plowing.

In the interview, the reporter also learned that in recent years, with the constant improvement of China's public medical conditions and the continuous advancement of the reform of the medical system, China has now become the fastest growing market in the medical device market.

According to statistics, in 2010, the size of China's medical device industry was US$7.446 billion, a growth rate of 13.6%, and the estimated price would reach US$10.113 billion in 2013. Its annual compound growth rate was 13.94%, which was higher than that of global medical devices. The average growth rate of the market.

The above data shows that China's medical device market is growing, and therefore has also become the target of foreign giants. However, the fact is that although China is a relatively fast-growing market, high-end medical devices are currently monopolized by foreign medical device companies.

According to Chang Feng, vice president of the China Medical Device Industry Association, three companies, namely General Electric, Philips, and Siemens, occupy the majority of high-end markets in China's healthcare technology market, and conservative estimates have exceeded 70%.

According to the "Medical Device Industry Analysis Report 2012" recently released by the Medical Device Professional Committee of the All-China Federation of Industry and Commerce's Pharmaceutical Industry Association, although there are currently more than 14,000 medical device companies nationwide, the competitive landscape of the medical device industry is fragmented. The degree of concentration is low. Most of them are small and medium-sized enterprises. Although there are a large number of enterprises, such enterprises have fierce competition and low profitability. Therefore, they can only produce low-end products or provide spare parts for foreign companies.

At the 25th International Medical Instrument and Equipment Exhibition held recently, world-renowned medical device companies from Philips, GE, Siemens, and Samsung made their debut at the show, which may also indicate that the medical device market in China is “very promising.”

According to Zhang Chengyu, a senior researcher of the China State Innovation Industrial Research Center interviewed by a reporter from the China Sankei Shimbun News, from the perspective of market prospects, the accelerated aging process in China, the continued advancement of urbanization, and the upgrading of consumer structure have brought a huge market space.

According to a forecast report from China Chuang Guofa, by 2016, the market size of China's medical device industry will reach 409.5 billion yuan, which is still a huge growth space compared to the market capacity of 4365.4 billion yuan. The huge cake is enough to attract Foreign medical giants entered the Chinese market.

Zhang Chengyu told reporters that the entry into China from foreign medical companies such as Philips, and the momentum of continuous expansion and extension will put more tests on the industry's regulatory system.

He said that this will be conducive to the standardization of the market and will play an active role in bringing the domestic medical device industry standards into line with international standards. In addition, the medical device market can be promoted to be segmented, and more medical device products with different effects, different pathologies, and even home use will appear.

In addition to the test of the industry's regulatory system, foreign medical device companies "bet" the Chinese market, will have an impact on China's medical device industry?

Li Jinying believes that at this stage, the global medical device industry is becoming more and more concentrated. The top 10 international medical device companies such as Philips, Johnson & Johnson and Siemens account for about 50% of the global market share, and due to the Technological innovation and product quality have gained more trust. With the increasing concentration of industries, the market share of domestic medical devices will inevitably be further squeezed. In particular, after multinational companies have completed the layout of first and second-tier cities and high-end markets in China, multinational companies have been accelerating the penetration of low-end markets in China, which will create positive competition with local companies in the low-end market, which further robs China’s medical equipment. The low-end market is obviously deadly for domestic medical device companies.

In Li Jinying's view, the current stage of the Chinese medical device industry is actually a very fragile "secondary stage" and the pressure may fall. After all, from the point of view of volume, even some listed companies in China are simply “small shrimps” compared to foreign companies and are easily merged by foreign companies.

Enema Health Care

Our mission: To protect the health of ear, throat and nose with medical frontier knowledge and technological innovation.
Our vision: Leader in several niche markets of Otolaryngology.
Our values: Change, Enterprising, Share

Silicone Enema Bag, Enema Bulb, Enema Bucket, Automatic Enema Device

Ningbo Jiamai Internet Technology CO., Ltd. , https://www.jmcuhyd.com