German industry association Spectaris has just published the industry figures for the medical technology sector for January to August 2021, welcoming the growth trajectory for 2021. However, Sepctaris also warns that rising costs for raw materials and logistics, supply chain disruptions, and the approval and bureaucracy associated with the new Medical Device Regulation (MDR) could endanger the industry. Medium-sized companies with more than 20 employees in particular, of which the association counts 1,450, could face challenges and negative effects from 2025 onwards after positive sales development, which could impact Germany as a location for research and innovation.
The industry association’s head of medical technology, Marcus Kuhlmann, speaks of regulations in the healthcare sector that could slow down the industry, but not in the next four years, according to Frost & Sullivan’s market analysis. Kuhlmann believes that only regulations that ensure patient safety are necessary.
For the first eight months, however, the medical technology industry recorded sales of plus 8.2 percent (domestic and international business equally strong), with expected total annual industry sales of €36 billion and a 1.2 percent increase in the number of employees.
In 2020, despite the Corona pandemic, the situation was similar, with the industry also recording an increase compared to 2019, but only of three percent, and total sales of 34.25 billion euros. Exports accounted for 66 percent of sales, at 22.53 billion euros, and only 11.72 billion euros were sold in this country. The number of employees actually increased by 1.5 percent in 2020.
On the global market, similar developments are forecast for 2021 by global consultancy Frost & Sullivan, which could range from 4.2 percent to a maximum of 7.2 percent; sales last year amounted to $428 billion and were the basis for the positive forecast.
For 2022, the expectations of the medical technology sector have already been lowered by Spectaris, which expects a lower increase in sales due to increasing „bureaucratic obstacles to growth“.
Source: www.kma-online.de