Malaysia’s medical device market to reach $3.6b by 2028

The country’s focus on healthcare and medical tourism contributes to market growth.

Malaysia’s medical devices market value is projected to reach $3.6b (MYR16.6b) by 2028 at a compound annual growth rate (CAGR) of 9.3% in local currency and 8.5% in US dollar terms.

A report from BMI revealed that an expanded 2024 health budget is one of the key factors fueling the market’s growth.

Investments to modernise public healthcare facilities are expected to drive the demand for medical devices, including hospital furniture, instruments, and consumables.

In addition, the rising demand for healthcare services from the country’s ageing population and its associated chronic diseases fuel the market’s growth.

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Meanwhile, Malaysia’s New Industrial Master Plan 2030 (NIMP) aims to strengthen the domestic production of various industries, including medical devices.

However, amidst efforts to increase domestic production, the country will continue to rely heavily on imported orthopaedic and dental products.

The reliance on imports is due to the product categories having low overall value from medical device exports, reflecting demands from markets such as the US, Mainland China, and Japan to remain strong.

Even so, the government’s prioritisation of medical tourism will support the growth of the medical devices market.

The report also cited data from the Malaysia Healthcare Travel Council (MHTC), stating that revenue generated from healthcare travellers has risen to $274.4b (MYR1.3b) in 2022.

Moreover, recent partnerships, including a memorandum of understanding (MoU) between Sunway Healthcare Group and PT JCB International Indonesia, will contribute to the market’s growth.

MYR1 = $0.21