The North American surgical equipment market size witnessed significant growth in the past and is expected to grow at a CAGR of 0.72% during the forecast period (2023-2030).
Surgical equipment refers to tools that modify biological tissue or gain access to the internal body. The market for these tools is primarily driven by the introduction of modern electronic technologies, such as minimally invasive surgery equipment and robotic and power-assisted systems.
The market’s growth is also supported by factors like the increasing preference for robotic-assisted surgery and the rise in the elderly population, who are more prone to ocular disorders, gastric disorders, intestinal disorders, and other health conditions. Robotic-assisted surgery gives surgeons better control, access, and precision during procedures while minimizing invasiveness.
The growth of the surgical instruments market is driven by factors such as the increasing population of baby boomers, growing demand for surgical procedures, and substantial healthcare expenditure due to government reforms.
In North America, the elderly population has experienced a significant increase. It is susceptible to ocular conditions, cardiovascular diseases, strokes, cancer, diabetes, gastric diseases, and intestinal illnesses. For example, cardiovascular diseases are a leading cause of death worldwide, with the United States alone witnessing 655,000 cardiovascular disease-related deaths annually, according to a report by the Centers for Disease Control and Prevention. Similarly, strokes contribute to a significant proportion of global fatalities, accounting for 11.13% of deaths.
In North America, the surgical equipment market has experienced a significant shift from traditional surgical procedures to minimally invasive surgeries. These advanced procedures now incorporate robotic technology, giving surgeons precise control over the surgery. This advancement has contributed to higher success rates, driving the expansion of the market. Minimally invasive surgeries involve smaller incisions, reducing scarring and preserving the organ's original structure without damaging its cellular layers.
Moreover, these surgeries offer benefits such as reduced post-operative pain and faster recovery, leading many surgeons to perform them in their clinics. This trend has led to the emergence of physician-owned ambulatory surgical centers (ASCs), which further propel market growth. Establishing ASCs has reduced patients' in-hospital stay and overall operation costs. The continuous evolution of technology and innovations play a crucial role in driving the growth of the minimally invasive surgical market.
Key players in the surgical equipment market are facing competition from local manufacturers who offer similar equipment at lower prices. This has impacted the market share of major manufacturers as they are forced to reconsider their pricing in response to the availability of cheaper alternatives. The intense competition among leading players has reduced surgical equipment prices, which has constrained market growth and affected overall revenue.
In March 2010, the U.S. government introduced the Patient Protection and Affordable Care Act (PPACA), which includes a 2.3% excise tax on medical devices in the U.S. market. This act limits spending for Medicare and Medicaid, introduces additional taxes on high-cost plans, and eliminates tax shelters primarily used by wealthy families. The government also invested approximately USD 1 trillion from 2010 to 2019 to improve coverage accessibility.
The implementation of this taxation policy has created challenges for medical device manufacturers, potentially impeding the growth of the surgical equipment market in the U.S. The medical excise taxes have reduced manufacturers' profitability, intensifying price-based competition among key players.
The growth of the surgical equipment market is expected to be driven by opportunities in untapped emerging markets with high potential. These markets are characterized by improved infrastructure, unmet healthcare needs, an increasing prevalence of chronic diseases, and growing demand for minimally invasive surgeries. Emerging economies are witnessing significant developments in their healthcare industries, driven by rising demand for better healthcare services, substantial government investments in healthcare infrastructure improvement, and the growth of medical tourism.
The healthcare industry is heavily influenced by technology, and advancements in technology have led to the development of high-quality surgical products with ergonomic design, robotic surgery capabilities, minimally invasive surgery techniques, and power-assisted surgical instruments. As a result, manufacturers specializing in these technologies have secured the largest market share by offering innovative solutions for improved surgical procedures. Key players have invested substantially in research and development (R&D) to introduce advanced surgical products and gain a competitive advantage. Here are a few recent technological developments in the market.
The North American surgical equipment market is segmented into type, application, end-user, and products.
The market is segmented by type into disposable and reusable. Reusable dominated the market and are expected to register a CAGR of 5.9% over the forecast period.
Disposable types of equipment are further segmented into application, end-user, and product.
It is further segmented by application into neurosurgery, plastic and reconstructive surgery, wound closure, obstetrics, gynecology, cardiovascular, trauma, orthopedic, ophthalmic, and others.
Wound Closure dominated the market and is expected to register a CAGR of 8.5% over the forecast period.
It is further segmented by end-user into hospitals, clinics, ambulatory centers, and others.
Hospitals and Clinics dominated the market and are expected to register a CAGR of 8.2% over the forecast period.
It is further segmented by product into surgical sutures and staplers, handheld surgical devices, electrosurgical devices, and surgical kits.
Surgical sutures and staplers dominated the market and are expected to register a CAGR of 7.9% over the forecast period.
Reusable types of equipment are further segmented into application, end-user, and product.
It is further segmented by application into neurosurgery, plastic and reconstructive surgery, wound closure, obstetrics, gynecology, cardiovascular, trauma, orthopedic, ophthalmic, and others.
Wound Closure dominated the market and is expected to register a CAGR of 6.9% over the forecast period.
It is further segmented by end-user into hospitals, clinics, ambulatory centers, and others.
Hospitals and Clinics dominated the market and are expected to register a CAGR of 6.6% over the forecast period.
It is further segmented by product into surgical sutures and staplers, handheld surgical devices, electrosurgical devices, and surgical kits.
Handheld Surgical Devices dominated the market and are expected to register a CAGR of 6.2% over the forecast period.
The North American surgical equipment market is segmented by country: The U.S. and Canada. The U.S. dominated the market with a CAGR of 0.71% during the forecast period.
The surgical equipment market in North America, including the United States and Canada, is influenced by advanced healthcare infrastructure, increased demand for bariatric surgery, and a substantial population of older adults. The North American region benefits from a significant demand for bariatric surgery, a well-established healthcare infrastructure, and a large geriatric population, contributing to market growth. In North America, the United States dominates the surgical instruments market, holding over three-fourths of the market share in 2019, and is expected to maintain this trend in the forecast period. According to the Association for Safe International Road Travel, road accidents also significantly shape market growth, as nearly 2.35 million people are injured annually. The increasing number of road accident cases directly influences the demand for surgical procedures and surgical equipment.
The U.S.
The US surgical equipment market dominates the North American region, accounting for a significant market share. With a well-developed healthcare infrastructure, a large geriatric population, and high demand for surgical procedures, the US market continues to exhibit strong growth potential. It is anticipated to maintain its leading position in the region during the forecast period, driving innovation and advancements in surgical equipment technologies.
Canada
The Canadian surgical equipment market is characterized by steady growth, driven by factors such as the increasing prevalence of chronic diseases, advancements in healthcare infrastructure, and a growing geriatric population. The demand for minimally invasive surgeries is also rising, expanding the market.
Report Metric | Details |
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CAGR | 0.72% |
Forecast Period | 2023-2031 |
Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends |
Segments Covered |
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