Market Dynamics
Asia-Pacific Surgical Equipment Market Drivers:
Rise in Healthcare Expenditure
Several nations in the Asia-Pacific area have been boosting their healthcare spending to enhance the quality of patient treatment, access to medical services, and healthcare infrastructure. For instance, according to the Parliament of Australia's 2022 update, the overall cost of healthcare in 2022–2023 is projected to be USD 105.8 billion, or 16.8% of all expenditures made by the Australian government. Additionally, according to the India Union Budget 2022–2023, the government allocated INR 86,200 crores (roughly USD 10.6 million) to the Ministry of Health and Family Welfare, a nearly 16.5% increase from INR 73,932 crores (roughly USD 10.4 billion) in 2021. This increase was primarily attributed to increased allocation to centrally sponsored public health schemes to continue building sustainable healthcare infrastructure and ensure system preparedness to handle the growing healthcare needs of the country. Higher healthcare spending and financing are anticipated throughout the projected period to boost market expansion.
Asia-Pacific Surgical Equipment Market Restraints:
Improper Reimbursement for Surgical Devices
Device reimbursement procedures differ and are often difficult between Asia-Pacific nations. Asia-Pacific nations often handle device reimbursement by a functional category approach, in which devices are categorized based on structural similarities, intended use, efficacy, and performance. Furthermore, regardless of increased features or greater efficacy, Asia-Pacific governments seek to preserve pricing equilibrium within the product range. Almost all medical equipment supplied in Japan are covered by the country's National Health Insurance (NHI) system, and payment is difficult. Some gadgets are reimbursed indirectly through procedure costs, and others are reimbursed based on worldwide pricing. Although payment rates for new technologies may be higher, reimbursement talks typically do not begin until nine months after the device is certified.
Similarly, Australia's national health system reimburses medical equipment through prospective case payments based on the Diagnostic Related Group (DRG). Only devices on the Prostheses List, a device registration controlled by the Department of Health, are paid under the private health insurance system. This might cause a problem for the market.
Asia-Pacific Surgical Equipment Market Opportunities:
Government Initiatives and Investment
Governments in the Asia-Pacific area have made various efforts and changes to enhance healthcare services. The Indian government invests and supports health and welfare more, and the surgical equipment market expands, allowing hospitals and healthcare systems to buy and purchase more surgical instruments. For example, the India Union Budget 2022-2023 proposed a new allocation of INR 404 crores (about USD 49 million) to establish hospital-based or stand-alone blood facilities to boost blood transfusion services. According to the same source, INR 5,156 crores (approximately USD 625.6 thousand) have been allocated as part of the PM Ayushman Bharat Health Infrastructure Mission (PM-ABHIM) announced in October 2021 to strengthen health infrastructure at the mission mode approach and improve primary, secondary, and tertiary care services.
Regional Analysis
The Asia-Pacific surgical equipment market is segmented by country: China, India, Japan, South Korea, Australia, Rest of Asia-Pacific. China dominated the market with a CAGR of 0.94% during the forecast period.
The Asia-Pacific surgical equipment market is characterized by significant growth potential, driven by factors such as the rising geriatric population, increasing prevalence of chronic diseases, and advancements in healthcare infrastructure. Additionally, technological advancements, favorable reimbursement policies, and increasing adoption of minimally invasive surgeries further fuel the market's expansion in the region.
The Asia-Pacific region is witnessing a substantial increase in the number of individuals affected by chronic disorders such as diabetes, coronary thrombosis, and tuberculosis, resulting in a significant rise in the demand for surgical procedures. Furthermore, the growing senior population in countries like Japan, China, and others has contributed to the market's growth. Developing economies such as China, India, and Japan are expected to present new opportunities in the forecast period due to their large patient population, increased healthcare expenditure, and rising GDP.
Segmental Analysis
The Asia-Pacific surgical equipment market is segmented into type, application, end-user, and products.
The market is segmented by type into disposable and reusable.
Reusable holds the major portion of the market and is expected to register a CAGR of 7.4% over the forecast period.
Reusable surgical equipment
Reusable surgical equipment can be reprocessed, sanitized, and reused. These gadgets usually contain tough materials like stainless steel or high-quality plastics. Forceps, scissors, retractors, surgical tools, and laparoscopic instruments are examples of reusable surgical equipment.
It is further segmented by application into neurosurgery, plastic and reconstructive surgery, wound closure, obstetrics, gynecology, cardiovascular, trauma, orthopedic, ophthalmic, and others.
Others led the market and are expected to register a CAGR of 8.1% over the forecast period.
Others
The "others" segment of disposable surgical equipment includes a range of surgical specialties and procedures. It consists of ENT, urology, general surgery, gastrointestinal, bariatric, oral and maxillofacial, and thoracic surgery. This market segment encompasses a wide variety of applications, each of which requires specialized disposable instruments, drapes, and consumables.
It is further segmented by end-user into hospitals, clinics, ambulatory centers, and others.
Hospitals and Clinics topped the market and are expected to register a CAGR of 9.7% over the forecast period.
Hospitals and clinics
End-users of disposable surgical equipment include hospitals and clinics. Large medical institutions, outpatient clinics, private offices, and specialty-focused clinics are all examples of healthcare environments. They offer surgical treatments in various specializations, using disposable surgical equipment to assure sterility and safe surgical interventions.
It is further segmented by product into surgical sutures and staplers, handheld surgical devices, electrosurgical devices, and surgical kits.
Surgical sutures and staplers are the highest contributor to the market and are expected to register a CAGR of 9.5% over the forecast period.
Sutures and staplers
In surgical operations, surgical sutures and staplers are critical instruments for wound closure. Disposable sutures, which include absorbable and non-absorbable sutures, are used to sew or keep tissues or surgical wounds together. Disposable staplers use sterile staples to close wounds and unite tissues quickly and efficiently.
It is further segmented by application into neurosurgery, plastic and reconstructive surgery, wound closure, obstetrics, gynecology, cardiovascular, trauma, orthopedic, ophthalmic, and others.
Others took over the market and are anticipated to grow at a CAGR of 8.6% during the forecast period.
Others
Reusable surgical equipment utilized in numerous surgical disciplines is included in the "others" category. It includes tools and devices for specialized operations in ENT, urology, general surgery, and oral and maxillofacial surgery.
It is further segmented by end-user into hospitals, clinics, ambulatory centers, and others.
Hospitals and Clinics overtook the market and are expected to register a CAGR of 8.2% over the forecast period.
Hospitals and clinics
The majority of the time, hospitals and clinics are the ones that use reusable surgical equipment. Large hospitals, outpatient clinics, individual groups, and clinics that focus on a certain type of care are all examples of these places. Using a variety of techniques, they can be used to create a wide range of outcomes. Instruments, drapes, and other devices used during surgery are part of the tools. These devices help clean the area, allowing quick and cost-effective healthcare delivery.
It is further segmented by product into surgical sutures and staplers, handheld surgical devices, electrosurgical devices, and surgical kits.
Handheld Surgical Devices have surpassed the market and are expected to register a CAGR of 7.8% over the forecast period.
Handheld surgical devices
Surgeons that use Reusable instruments during various surgical operations are called handheld surgical devices. These devices include tools for particular surgical procedures, such as forceps, scissors, retractors, clamps, and scalpels. Handheld surgical devices that may be used repeatedly in operations are often composed of sturdy materials that can survive sterilizing procedures.
Top Key Players
Stryker Corporation
Alcon Laboratories Inc.
Smith and Nephew plc
Ethicon Inc.
Becton, Dickinson, and Company
MEDICON
Synergetic USA, Inc.
Medtronic Inc.
Aspen Surgical Products, Inc.
Braun Melsungen Ag
Others
