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MedTech Outlook | Monday, July 15, 2024
The rise of innovative MedTech in the Asia Pacific Region, especially in China, has led to the transformation from manufacturing low-end and commoditised components to locally-designed and high-end medical devices has been significant.
FREMONT, CA: Government funds and multi-stakeholder engagement to promote medical device development have benefited APAC MedTech businesses. It is anticipated that the award programmes will keep assisting young MedTech firms in creating locally crafted medical technology. Furthermore, by providing subsidies to these MedTech businesses, the public sector has shown that it is prepared to promote innovation, which has sparked interest and funding from the private sector.
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Access to resources from international MNCs has improved for domestic entrepreneurs. Some multinational corporations (MNCs) have set up incubators in APAC, particularly China, including J&J's JLABS in Shanghai and Medtronic's MedTech Innovation Accelerator in Shanghai, which support advancements in artificial intelligence (AI), surgical robotics, and neuromodulation. Collaboration with international MNCs has helped establish domestic medical technology companies in the area and has accelerated the creation of new products.
Recent IPO activity and the emphasis of some domestic Chinese businesses have been on the interventional cardiology market. Given its less invasive nature and quicker recovery, interventional therapy has emerged in the field of cardiology as a viable clinical approach for treating heart valve problems. More domestic medical technology firms are participating in China's research and development of transcatheter heart valve devices.
Chinese medtech firms first concentrated on creating transcatheter aortic valve devices, but many are now concentrating on creating transcatheter mitral and tricuspid valve devices. This change is due to mitral regurgitation (MR), China's most common valvular heart condition. Where TAVR is a therapy option, the prevalence is more than twice that of aortic stenosis. Open cardiac surgery is the gold standard for treating mitral regurgitation, but transcatheter intervention therapeutic alternatives have been available recently. By 2030, China's transcatheter mitral intervention market is anticipated to reach USD one billion due to the advent of this substitute.
In addition to domestic government control, the US Department of Commerce added 33 Chinese businesses to the list of unverified companies subject to export restrictions in February 2022. Changes in laws are unquestionably a major worry for Chinese MedTech companies and their investors going forward. Health Advances closely monitors regulatory changes in China, the US, and other countries that may influence domestic MedTech enterprises in 2022 and beyond.
Favourable government efforts, multi-stakeholder cooperation, and robust funding have propelled APAC MedTech innovation during the past ten years, particularly in China. Despite potential regulatory challenges shortly, ongoing domestic innovation growth is anticipated. While local market success has been a focus, it is not the ultimate objective. These homegrown medical technology companies want to reach customers around the world with their cutting-edge goods.
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