Located at the epicentre of Southeast Asia, Thailand strategically advances its medical devices industry, solidifying its position as a key player in delivering innovative global healthcare solutions. This initiative, part of the Thailand 4.0 policy's vision, aims to transform the country into a high-income nation through technological and digital innovation. It also aims to cement the country's reputation as a leading provider of high-quality medical care.
As a testament to its commitment, Thailand is investing US$131 million to transform Phuket into a medical hub that caters to both locals and foreigners. This contributes to the expansion of medical tourism. According to a report by Statista, the overall healthcare industry in Thailand is expected to reach an annual growth rate of 7.01% from 2023 to 2027. These figures underscore these initiatives’ potential to propel the country's medical devices industry and healthcare sector forward.
Overview of Thailand's medical devices sector
Parallel to Thailand’s growing healthcare market, the medical device industry in Thailand has emerged as a significant and leading player in the Association of Southeast Asian Nations (ASEAN) region. A comprehensive report from Statista highlights a projected market size of US$3.3 billion by 2027. This estimated data showcases a remarkable growth that is a compelling testament to Thailand's prominence and success within the regional healthcare industry.
Single-use items, such as medical gloves and masks, Personal Protective Equipment (PPEs), bandages, and syringes, are Thailand’s most exported medical devices. The country’s medical device industry also encompasses a wide range of other essential medical instruments, including cardiovascular devices, dental devices, and other innovative medical equipment. This diverse portfolio equips the sector to accommodate various medical specialities, meeting essential healthcare needs globally.
Thailand’s competitiveness and expert medical equipment manufacturers have attracted international corporations to invest in medical device manufacturing operations in the country. This has created a favourable environment for technological advancements, research, and development.
Through its strong expertise and capabilities, the nation has established itself as a powerhouse for medical device production. Its status as one of Asia's leading nations in the import and export of medical supplies significantly contributes to economic growth in Thailand and reinforces its global reputation in the medical industry.
Government support and Thailand 4.0 initiatives for medical devices
Thailand's government, driven by its Thailand 4.0 policy, provides substantial support for expanding the medical device industry. These policies aim to shift the economy into an innovation-driven model, emphasising healthcare industries, including medical devices. The government draws investments in the medical device industry by offering substantial tax and infrastructure incentives through the Board of Investment (BOI), including corporate income tax breaks for innovation-focused initiatives.
Moreover, to drive innovation and foster technology in healthcare, research entities such as the Thailand Centre of Excellence for Life Sciences (TCELS) have been established. Collaborations between TCELS and the National Science and Technology Development Agency (NSTDA) are also being carried out to further advance medical device research in the country.
These efforts have created a conducive environment for the medical device industry's growth, attracting investment, promoting innovation, and enhancing global supply chain management and competitiveness.
