Domestic production is preferred! The result of the large purchase order of tens of millions of equipment was announced. Mindray, GE, SWS …
According to the Chinese government procurement website, the Health Commission of Hainan Province has spent 38.81 million yuan to purchase 351 pieces of critical medical equipment in eight packages, including invasive ventilators, non-invasive ventilators, monitors, single-channel micropumps, blood gas analyzer and continuous blood purification equipment.
According to the announcement, Hainan Jointown Medical Device Group Co., Ltd. and other 8 companies won the bidding, the number of bidding equipment is 339, the transaction price is 34,778,300 yuan.
It is worth mentioning that in this project, the purchasing unit made it clear that except for the blood gas analyzer of package E and the continuous blood purification equipment of package F and Package G, the other intensive treatment equipment should be purchased domestically, and the import bid was refused.
In the end, Shenzhen Mindray, General Electric, Shenzhen Hawk, Chongqing SWS Medical and other equipment enterprises won the bidding, among which 242 sets of domestic equipment won the bidding, accounting for nearly 71%.
A large number of domestic equipment won the bidding for the purchase of tens of millions of intensive care equipment
According to Vedeng Medical Bidding Center, the number of intensive care unit bidding bids has reached 148 since Dec. 25, 2022, and nearly half of the intensive care unit bidding has already taken place, as most are emergency purchases.
According to Lianmengjun’s investigation and statistics, a large number of domestic equipment frequently win the bid and even become the main purchasing body in the bidding results that have been disclosed so far.
It is well known that the penetration rate of domestic equipment in China is generally low in the field of medical equipment
According to the independent research statistics of Iresearch, as of May 2022, China’s defibrillator equipment localization rate is 55%, ultrasound equipment 25%, CT equipment 20%, and respiratory equipment 5.7%.
However, with the advance of the deployment of critical treatment equipment, a large number of Chinese high-end domestic medical equipment will quickly flood into the terminal market in a short time, especially in the current hot demand of ventilators, CT, defibrillator and other hot track, domestic replacement will further accelerate!
New medical equipment configuration standards issued，
A new round of 10 billion incremental market is coming!
In addition to the direct benefits of the bidding project, in 2023, China’s domestic medical equipment will also usher in a normal “order explosion” situation.
The first is the grass-roots market. On January 3, the Comprehensive Group of the Joint Prevention and Control Mechanism of the State Council clearly pointed out that all localities should provide a suitable number of oxygen bags, oxygen bottles, oxygen generators and other equipment for basic medical and health institutions and elderly care institutions to ensure that oxygen treatment or oxygen filling services can be provided for outpatient patients, home treatment patients and elderly care institutions in a timely manner.
In addition, it is also necessary to increase the number of finger clip pulse oximeters (hereinafter referred to as oxygen meters), ensure that each community health service center and township health centers are equipped with at least 20, each community health service station and village clinic is equipped with at least 2, and timely carry out blood oxygen saturation monitoring for medical treatment and inpatients.
It can be predicted that under the trend of normalization of the epidemic, the primary medical market this year, such as oxygen machine, blood oxygen meter and other medical equipment demand will directly usher in a blowout.
Take blood oximeter as an example. According to the statistics of the National Health Commission, by the end of 2021, there were 10,122 community health service centers, 26,038 community health service stations, 34,943 township health centers and 599,292 village clinics in China. Then, according to the national allocation standard, the market stock of blood oximeter in China will reach 1,34,096 units in the future.
The second is the county medical market. On January 7, the Comprehensive Group of the Joint Prevention and Control Mechanism of The State Council issued the Notice on Printing and Distributing Operational Guidelines for the Prevention and Control of the Novel Coronavirus Infection (hereinafter referred to as the Notice), further releasing the demand for the allocation of critical medical equipment in China’s secondary and tertiary hospitals.
In 2023, China’s intensive care medical resources reserve will continue to focus on the construction of intensive care units in secondary and tertiary hospitals, secondary infectious disease hospitals and children’s specialized hospitals, and complete the relevant medical equipment for the construction of comprehensive ICU, according to the Operational Guidelines for the Expansion and Renovation of intensive care Beds issued by the circular.
Besides, in addition to speeding up the construction of comprehensive ICU, hospitals at all levels should immediately start the expansion and renovation work of other specialized intensive care beds in addition to comprehensive ICU, equipped with ventilators, monitors and other monitoring and treatment equipment to meet the needs of comprehensive intensive care, so as to ensure that patients with severe COVID-19 infection can be put into medical treatment at any time when needed.
Previously, Huchuang Securities has estimated that this round of ICU construction is estimated to cost 56 billion yuan, at the same time, it can drive 30 billion yuan of incremental space investment of medical equipment, including ventilator + monitor more than 15 billion, the gap is about 80,000 units, the incremental space is about 10 billion, 5.7 billion.
Then, with the development of this round of ICU bed expansion, we believe that the potential market space for domestic equipment manufacturers will be more than 30 billion yuan in the future!
China is encouraging China end uses for more domestic products in latest years. Thus, more and more overseas manufacturers are planning localization in China. BradyKnows localization team has extensive experiences in facility establishment, audit, supplier evaluation, manufacturing, registration, and marketing in China. Pls feel free to let us know any questions on China entry via info@bradyknowsmedical.com
Source：Medical Device Distributors Union
Edited & Translated |Bradyknowns
