Prosthetics and Orthotics Market

Market Overview

The global prosthetics and orthotics market size was valued at USD 6.63 billion in 2022. It is estimated to reach USD 9.43 billion by 2031, growing at a CAGR of 4.0% during the forecast period (2023–2031). Factors such as Increasing Prevalence of Arthritis and Increasing Target Population, significantly drives the prosthetics and orthotics market demand by 2031.

The increasing incidence of osteoarthritis and the increasing geriatric population are the key Prosthetics and orthotics are two related fields in healthcare that involve the design, fabrication, and fitting of artificial limbs (prostheses) and orthopedic braces or supports (orthoses) to assist individuals with physical disabilities or impairments. These devices are used to enhance mobility, function, and quality of life for people as a whole with limb loss or musculoskeletal conditions. Prosthetists and orthotics are healthcare professionals who specialize in the assessment, prescription, and fitting of prosthetic and orthotic devices. They work with patients, physicians, and other people on the medical team to make sure that the devices are properly designed, fabricated, and fitted to meet the individual's functional needs and goals. Prosthetists and orthotists also provide ongoing care, maintenance, and device adjustments as needed.

The field of prosthetics and orthotics continues to evolve with advancements in technology, materials, and manufacturing processes. These developments have sparked the creation of more advanced and functional prosthetic and orthotic devices, enhancing mobility and quality of life for individuals with limb loss or musculoskeletal conditions.

Market Dynamics

Global Prosthetics and Orthotics Market Drivers

Increasing Prevalence of Arthritis

The increasing incidence of osteoarthritis is one of the key drivers of the orthotics market. It causes the most cases of arthritis and affects people of all ages. According to the Arthritis Foundation, 78 million people aged 18 years or above in the U.S. will be diagnosed with arthritis by 2040. Patients who have arthritis are the primary target population for orthopedic braces. Hence, the increasing prevalence of this disease is forecasted to boost the demand for these devices.

Rheumatoid arthritis is another common form that affects the body's joints and can cause muscle pain. According to RheumatoidArthritis.org, in 2016, around 1.3 million of the U.S. population and 1% of the global population were suffering from rheumatoid arthritis. American Academy of Orthopedic Surgeons estimated that 90% of patients who have rheumatoid arthritis tend to develop symptoms in their feet and ankles. Thus, increasing the incidence of these chronic diseases can increase the demand for orthoses and propel market prosthetics and orthotics market.

Increasing Target Population

The increasing geriatric population plays a significant role in the growth of the prosthetics and orthotics market. As per Department of Economic and Social Affairs Population Division, the global population of people aged 60 years and above has grown from 9.2% in 1990 to 11.7% in 2013. It is expected to reach 21.1% by 2050. Around 78 million people are expected to be aged 65 years or more by 2035, as per the 2017 National Population Projections of the U.S. Census Bureau.

According to the Population Reference Bureau’s 2018 statistics, by 2050, approximately 82 countries are anticipated to have more than 20% of their population aged 65 years and above. Currently, 13 countries have a 20% senior population. The expected growth in the geriatric population is anticipated to increase the prevalence of osteoporosis and osteopenia. Thus, an increase in the geriatric population, which is highly susceptible to orthopedic conditions, is expected to boost global market demand over the forecast period. As per the UN’s World Population Ageing 2019, 1 in 6 people globally is forecasted to be over 65 by 2050. Hence, the increasing geriatric population is expected to propel the market over the forecast period.

Global Prosthetics and Orthotics Market Restraint

High cost of Prosthetics

The high cost of prosthetics is one of the major factors limiting market prosthetics and orthotics market. For instance, the price of a prosthetic leg can range from USD 5,000 to USD 50,000, and even the most expensive prosthetics can withstand only 3 to 5 years of wear and tear before they have to be replaced. Similarly, the cost of upper extremity devices can range from USD 3,000 to USD 30,000, and these devices also have to be replaced after a certain period. The high cost of prosthetics may impede product sales, especially in developing economies, where the overall purchasing power of consumers is low.

Global Prosthetics and Orthotics Market Opportunities

Technologies Such as Bionics and Wearable Exoskeletons

Technologies such as bionics and wearable exoskeletons have created significant opportunities in the global market. Bionics, which involves the integration of biological systems with artificial components, has led to the development of advanced prosthetic limbs that closely replicate the functionality of natural limbs. These bionic limbs incorporate sensors, microprocessors, and motors to enable more natural movement and control. By offering greater mobility and agility, bionics has the potential to significantly enhance life quality for individuals with limb loss or mobility impairments.

On the other hand, wearable exoskeletons are external robotic devices designed to provide physical support and assistance to individuals with mobility limitations. These devices can assist with walking, lifting, and performing various tasks by augmenting the user's strength and endurance. Wearable exoskeletons are particularly beneficial for individuals with conditions such as spinal cord injuries or muscular dystrophy. They can help improve mobility, reduce fatigue, and enhance overall independence.

Regional Analysis

North America Dominates the Global Market

Based on region, the global prosthetics and orthotics market share is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North America is the most significant global prosthetics and orthotics market shareholder and is estimated to grow at a CAGR of 3.5% over the forecast period. North America, particularly the United States, has emerged as a dominant player in the market. The region's market leadership can be attributed to various factors contributing to its strong position. Firstly, North America boasts many key market players, including manufacturers, suppliers, and healthcare providers specializing in prosthetics and orthotics. These companies have a strong regional presence and offer various advanced and innovative products. Their expertise, research and development efforts, and collaborations with healthcare professionals contribute to the growth and advancement of the market.

Secondly, the region's healthcare system highly emphasizes providing quality healthcare services. The stress on the quality of care and patient outcomes has created a favorable environment for the market. Healthcare providers in North America strive to offer comprehensive and personalized care to individuals with limb loss or mobility impairments, including prosthetic and orthotic devices tailored to their specific needs. Additionally, North America benefits from a well-established healthcare infrastructure that supports the delivery of advanced prosthetics and orthotics services. The region has state-of-the-art healthcare facilities, including rehabilitation centers, prosthetic and orthotic clinics, and specialized hospitals. These facilities are equipped with new technologies and employ skilled professionals who can provide comprehensive evaluations, fittings, and ongoing support for individuals requiring prosthetic and orthotic devices.

Europe is anticipated to exhibit a CAGR of 3.8% over the forecast period. The rise in patients' overall survival rates diagnosed with bone cancer, the local presence of key players in this region, and less stringent regulatory approval processes are some factors driving the European market. In addition, high disposable income due to the presence of developed economies and the availability of well-established healthcare infrastructure and skilled professionals contribute to market growth. The easy availability of favorable reimbursement coverage policies has increased the affordability of prosthetic and orthotic products. In addition, according to the Annual Accident Report 2017 by the European Road Safety Observatory, European Commission, in 2015, around 1.4 million people were injured in road accidents. Therefore, the rising incidence of road accidents in the region is forecasted to drive the market.

In Asia Pacific, the increase in diabetes-related amputations, road accidents, supportive government initiatives, the rising prevalence of obesity, and the growing incidence of sports injuries are key factors that drive the growth of the prosthetics and orthotics market in Asia and the Asia Pacific region. These factors highlight the need for advanced prosthetic and orthotic devices to improve the quality of life for individuals affected by limb loss, joint conditions, and sports injuries in the region.

The Latin American market is poised for significant growth due to several factors. One of the primary drivers is the region's rapid development of economies and healthcare infrastructure. Countries in Latin America, like Brazil, Mexico, and Argentina, are experiencing robust economic growth, leading to increased investments in healthcare facilities and services. As the healthcare infrastructure improves, the availability and accessibility of prosthetic and orthotic devices are also expected to increase, driving market growth.

The Middle East and Africa region is poised for growth in the prosthetics and orthotics industry due to several factors. One of the key elements is the increasing government initiatives aimed at improving healthcare infrastructure and services. The MEA region's governments recognize the importance of providing quality healthcare to their citizens. They are implementing various initiatives to attract healthcare providers, enhance medical facilities, and promote research and development in the healthcare sector. These initiatives create a conducive environment for prosthetics and orthotics industry growth.

Segmental Analysis

The global prosthetics and orthotics market is bifurcated into whitening products, applications, composition, and distribution channels.

Based on type, the global market for prosthetics and orthotics is bifurcated into Prosthetics and Orthotics.

The Prosthetics segment dominates the global market and is projected to exhibit a CAGR of 6.2% over the forecast period. Prosthetics are artificial limbs made to substitute a lost limb to restore mobility. Prosthetic devices are segmented into upper-extremity prosthetics, lower-extremity prosthetics, liners, sockets, and modular components. An increase in the disability rate worldwide is forecasted to drive the market during the forecast period. For instance, according to the Rehabilitation Research and Training Center on Disability Statistics and Demographics, in 2017, the proportion of persons who are disabled in the U.S. increased from about 11.9% in 2010 to nearly 12.8% in 2016, leading to an increased demand for prosthetics. According to the CDC, 1 in 4 U.S. adults live with a disability.

Furthermore, the increasing incidence of diabetes-related amputations is propelling the market. For example, as per a survey conducted by Public Health England in August 2016, the annual number of diabetes-related amputations in the country was 7,370 compared to the previous year, which was 7,042. The lower extremity prosthetics segment held the highest revenue share as of 2020, owing to the increasing rate of diabetes-related amputations. Upper extremity prosthetics are expected to grow at a CAGR of 6.6% over the anticipated period. These prosthetics can be customized and adjusted for better fit, expediting recovery. The liners segment is expected to witness steady growth during the anticipated period as these are essential components of prosthetic devices. It is a protective covering made of cushioning and flexible material. It helps reduce chafing and movement between the socket and the skin. In addition, liners are designed for easy operation with different suspension systems.

Recent Developments

• June 2023- Össur, a leading manufacturer of prosthetics and orthotics, announced the launch of its new bionic foot, the Genium X3. The Genium X3 is a microprocessor-controlled foot that gives users more natural movement and control than previous generations of bionic feet.
• May 2023- Ottobock, another leading manufacturer of prosthetics and orthotics, announced the acquisition of CeramTec, a manufacturer of ceramic implants. The acquisition will allow Ottobock to expand its product portfolio and offer patients a wider range of prosthetic and orthotic solutions options.
• April 2023- The FDA approved the first 3D-printed prosthetic hand for children. The hand, called the i-Limb Quantum, was developed by Touch Bionics. It is a lightweight, durable, customizable prosthetic that children of all ages can use.