Industry insiders said: the development of medical equipment field is optimistic

Release date: 2007-07-05

According to industry insiders, the development of the medical device industry is optimistic that the medical device industry is only a sub-sector in the pharmaceutical sector, but it has received more and more attention recently. Although in the A-share market, this sub-industry is small in scale, there are not many listed companies involved. However, in recent years, the sub-industry has shown a rapid development trend. Moreover, researchers believe that under the background of the launch of the national medical system reform and the government's increased investment in basic public health networks, it will open up space for relevant companies in this field.
Market potential boosts industry development Industry insiders point out that the pharmaceutical industry is originally a sunrise industry, while in foreign countries, the consumption ratio of medical devices and medicines is 1:1.9, while the current consumption ratio of medical devices and medicines in China is 1:5. The larger gap indicates that there is still huge room for development in this industry in China. At present, the overall medical equipment level of Chinese medical institutions is still very low. About 15% of the medical instruments and equipment owned by 175,000 medical and health institutions nationwide are products around the 1970s, and 60% are in the mid-1980s. In the past, the process of upgrading them was a process of demand release, which will guarantee the rapid growth of China's medical device market in the next 10 years or even longer.
Not only that, medical reform expectations and the country's increased investment in basic health systems such as communities and rural areas are expected to bring incremental “cakes” to the companies in the industry. Some analysts in the pharmaceutical industry pointed out that because the mid-to-high-end medical device market is mainly occupied by foreign manufacturers, domestic companies are mainly facing low-end and mid-end customers. In the past few years, these companies have been relatively slow to develop. This is closely related to the lack of medical care in the domestic primary health sector. Once the government starts consumption and pays for the people's livelihood, the potential of the market cannot be underestimated. For this reason, some industry researchers have raised the amount of orders for listed companies in the next few years.
Brand effect in the segmentation field At present, although there is a gap between China's medical device industry and developed countries, the speed of China's medical device development has made the world look at it. China's newly developed medical device products are also at the cutting edge of the international medical device industry. Although there are not many listed companies with medical devices as the main business, several companies have strong brand awareness and high market share in their respective segments, which also lays aside for investors to be optimistic about their future development. basis.
Prospects are promising. Market competition is intensifying. It is worth noting that as the development prospects of the medical device industry are promising, some companies with strong shareholder backgrounds are expected to gain shareholder support and inject relevant assets, and further develop and expand the medical device business and enhance their position in the industry. . According to some analysts, this is one of the reasons why some companies are highly concerned by institutional investors.
However, despite the various reasons that the medical device industry is optimistic, there is also a trend of increased competition in this industry. If the medical device technology threshold of the relevant company is not high and the product differentiation is not obvious, the company's operation and development will also face heavy pressure. (HC360)


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