What Should International Companies Know About the Market?
China is one of the world’s largest medical equipment markets, but its size tells only part of the story for international manufacturers. Demand differs across hospitals, primary care, rehabilitation, and home healthcare. At the same time, product registration, domestic competition, procurement rules, and the choice between importing and local production can determine whether a particular device has a viable route to market.
Table of Contents
- How large is China’s medical equipment market?
- Who buys medical equipment in China?
- What is driving demand?
- Which technologies are receiving policy attention?
- What should international manufacturers consider before entering the market?
- Where are the opportunities?
How Large Is China’s Medical Equipment Market?
According to figures released by the China Association of Medical Equipment in March 2026, China’s medical equipment market reached RMB 1.44 trillion in 2025. The association reported 60.5% cumulative growth between 2021 and 2025 and described China as the world’s second-largest single-country market. It also reported US$45.8 billion in medical equipment exports in 2025.
Market estimates from other publishers can be substantially lower, which may reflect differences in scope and methodology. Companies should therefore use a consistent definition when estimating the addressable market for their own products. The export figure above refers to medical equipment sold from China to overseas markets and is stated in US dollars. The chart below shows the size of China’s medical equipment market in trillions of RMB.
Who Buys Medical Equipment in China?
Hospitals are important purchasers and users of diagnostic, surgical, therapeutic, and monitoring equipment. Yet they are only one part of China’s healthcare system. At the end of 2025, the country had approximately 38,000 hospitals, including 12,000 public and 26,000 private hospitals, alongside approximately 1.055 million primary-level healthcare institutions. These official statistics from China show the number of facilities, not their purchasing budgets or patient volumes.
Purchasing needs vary by institution and region. A large hospital may assess advanced imaging or surgical systems, while a community health center may require equipment suited to routine diagnosis, chronic-disease management, and follow-up care. Public programs to strengthen services outside major cities can also affect demand. For example, the National Health Commission reported that the Ministry of Finance spent approximately RMB 900 million over two years to help township health centers in central and western China upgrade their medical equipment. This was a targeted program, rather than a forecast of nationwide purchases.
What Is Driving Demand?
An aging population. According to the National Bureau of Statistics of China, at the end of 2025, 323.38 million people in China were aged 60 or above, representing 23.0% of the population. This demographic shift is relevant to rehabilitation, long-term care, monitoring, and services delivered closer to home. It does not, however, by itself predict demand for any individual device.
A broader care network. China’s national health plan for 2026–2030 calls for stronger primary-level prevention and treatment, fairer access to care, and a more connected medical service network. For equipment suppliers, the practical question is which providers will use a product, what clinical need it addresses, and how it fits their resources and workflows. These are policy priorities, not a commitment to purchase every category of equipment.
Closer scrutiny of cost and value. Centralized volume-based procurement covers a range of medical consumables, including products used in cardiology, orthopedics, ophthalmology, and urology. Manufacturers in affected categories need to understand tender requirements and the effect on pricing, distribution, and margins. The rules should be checked for the specific product; they do not apply identically to all medical equipment.
Which Technologies Are Receiving Policy Attention?
China’s medical device regulator, The National Medical Products Administration (NMPA), has identified medical robots, high-end imaging equipment, AI-powered devices, and novel biomaterial-based devices as areas for regulatory guidance and innovation support. Measures issued in 2025 address classification, technical standards, registration review, and monitoring after products reach the market. Policy attention should not be read as automatic approval or guaranteed demand.
AI also features in healthcare policy. Chinese health authorities have set goals for wider use of AI-assisted diagnosis and treatment in primary-level institutions and broader use of AI in higher-level hospitals by 2030. These are future policy goals, not figures for the number of AI devices currently approved or installed. AI-enabled products that depend on overseas cloud services should be tested for connectivity in China, including potential limitations associated with the country’s internet firewall, and assessed for applicable data protection requirements.
Other areas worth assessing include diagnostic tools, devices for chronic-disease management, rehabilitation equipment, and home monitoring. Commercial potential in each category depends on how well the product fits local clinical needs and workflows, as well as on competition, registration requirements, procurement arrangements, and after-sales support.
What Should International Manufacturers Consider Before Entering the Market?
Product registration. China’s Medical Device Registration and Filing requirements depend on device classification and whether the product is imported or manufactured locally. An overseas applicant must designate a domestic enterprise legal person to act as its agent for registration or filing. The applicable route and evidence requirements should be established for the specific product before setting a launch timetable.
The operating model. Importing can provide an entry route for some products, while local production may suit companies with a longer-term commercial or manufacturing rationale. Under a 2025 NMPA measure, eligible foreign-invested enterprises can apply to register certain Class II and Class III devices for local production if those devices already hold Chinese registration certificates as imported products. The measure sets documentation and quality-system requirements; local production requires separate registration in China.
A separate, limited pathway operates in Hainan’s Boao Lecheng pilot zone. Designated medical institutions may obtain permission to use certain urgently needed devices marketed overseas but not yet approved in China. Where the relevant requirements are met, real-world clinical data collected there may support a subsequent NMPA registration application. Permission for use in the pilot zone is not nationwide marketing approval.
Procurement rules. Government procurement requirements need to be checked for the buyer and tender concerned. Guidance issued in December 2025 addresses which products are treated as domestically produced and calls for equal treatment of qualifying foreign-invested enterprises. Separate measures effective from July 2025 restrict certain government purchases of medical devices imported from the EU; those particular restrictions do not apply to devices produced by EU-funded enterprises in China.
Where Are the Opportunities?
For an international manufacturer, the strongest starting point is a specific clinical or operational need. A market assessment should identify the intended buyer, competing products, device classification, registration evidence, likely procurement route, achievable price, distribution requirements, and service needs.
China’s market scale and healthcare priorities make it worth assessing, but the opportunity for an international manufacturer must be tested product by product. Depending on registration requirements, procurement routes, service needs, and commercial goals, a company may begin with importing and trading in China or consider a longer-term manufacturing presence.
PTL Group helps international companies evaluate these options and manage the commercial and operational steps involved in entering or expanding in China. If you are assessing the Chinese market for your medical equipment, contact PTL Group to discuss a practical route for your product.
