Japan’s medical device market to be valued at $42.9b by 2029

It is projected to surpass Germany to become the third-largest market globally.

Japan’s medical device market is expected to reach $42.9b by 2029 at a compound annual growth rate of 9.4% in US dollar terms, according to a BMI report.

Japan currently ranks as the fourth largest medical device market globally, but is projected to surpass Germany to become the third largest by the forecast period.

The sector’s expansion is primarily driven by its ageing population and increasing demand for chronic disease and long-term care solutions.

Meanwhile, the market faces moderate risks in the near term due to political uncertainty and elevated inflation.

“Japan’s minority-led Liberal Democratic Party-Komeito government and the possibility of the LDP-Komeito coalition losing its majority in the July Upper House Election could lead to the replacement of Prime Minister Shigeru Ishiba,” the report said.

However, the country’s regulatory framework and prioritisation of healthcare to address demographic challenges are expected to mitigate the impact of any political shifts on the market.