Refurbished Medical Devices Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Refurbished Medical Devices Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The refurbished medical devices market was valued at approximately USD 10,130 million in 2020, and it is expected to reach USD 20,210 million in 2026, witnessing a CAGR of 12.2% over the forecast period, 2021-2026.

Amidst this COVID-19 pandemic situation, the demand for refurbished medical devices, like mechanical ventilators, is expected to observe a significant increase. However, the healthcare industry is still coping with the massive disruption in the supply chain, which has negatively impacted the refurbished medical devices.

Certain factors driving the market growth include cost containment pressure on healthcare organizations, a large inventory of old or used medical devices, the rising trend of medical tourism, and the increasing investments by private healthcare institutions.

With the emerging technologies, there has been an increasing trend of ‘affordable buying,’ which is the basic reason for the emergence of the refurbished devices market. For example, today, a customer looking for any CT scanner may opt for a refurbished unit rather than a brand-new system. The refurbished equipment allows buying of necessary devices at affordable prices, without compromising quality; therefore, healthcare facilities, including small and medium ones, purchase refurbished medical devices.

Along with the demand for new equipment, there is an increasing demand for refurbished medical equipment around the world. In fact, an increasing number of new hospitals are opting for alternate options to cut down on capital investments. Several hospitals would prefer refurbished medical devices as they require less capital investment, and thus enables the healthcare providers to offer healthcare services at affordable costs to the patients, the studied market is expected to propel over the forecast period.

Moreover, the demand for refurbished medical devices is much higher in low- and middle-income countries, one of the primary reasons being poor health infrastructure and limited access to healthcare resources. Refurbished devices are easily affordable in such countries, thereby boosting the market growth. Hence, the refurbished medical devices market is growing at a high rate.

Medical imaging is the process of making a visual representation of the interior of the body for medical intervention. The usage of medical imaging devices is expected to slightly decline due to the sudden drop in hospital visits. Furthermore, as per the issued guidelines of the American College of Radiology, United States, CT-scanners and X-rays are not appropriate first-line diagnostic tools for COVID-19.

These instruments help in establishing a database of the normal anatomy and physiology of internal organs so that any abnormality can be noticed immediately, and as their technological complexity increases, the total cost of it also increases. Hence, refurbished versions of these products provide greater options to the customers. For instance, Summus Medical Solutions is the retail partner of Philips and offers Philip's C-arms refurbished medical systems, such as BV Pulsera, BV Endura, Philips Veradius, and Philips BV Libra. Hence, the availability of such technologically advanced systems at cheaper rates is expected to drive the market in this segment.

The majority of the clinics and hospitals that have purchased or used refurbished medical equipment generally have neutral-to-positive experiences with the purchase. Most end users have been found to indicate that they purchased used or refurbished equipment due to budgetary constraints.

The Asia-Pacific region is expected to witness the fastest growth of the refurbished medical devices market. Amid the pandemic situation, the adoption and usage of refurbished medical devices such as patient monitoring devices are expected to increase in the emerging economies present in this region.

Furthermore, the reform in regulatory policies is expected to support the market growth. For instance, in February 2020, the Malaysian Medical Device Authority (MDA) drafted guidelines related to the requirement of the document submission about refurbished medical devices. Thus, a positive impact of COVID-19 can be expected in this region.

In addition, the increasing number of hospitals and diagnostic centers, with the increasing focus on rural development both by the government and private organizations, led to a great demand for refurbished medical instruments. As per the data provided by a study titled ''COVID-19 in India: State-wise estimates of current hospital beds, intensive care unit (ICU) beds and ventilators'' published in April 2020, India has around 43,486 private hospitals and about 25,778 public hospitals.

The presence of well-established companies in this region is further expected to support the market growth. For instance, SANRAD Medical Systems is one of the leading companies in India dealing with refurbished medical imaging equipment. It mainly offers products in magnetic resonance and computed tomography. Thus, such factors are expected to boost the market growth in the Asia-Pacific region.

The refurbished medical devices market is highly competitive and consists of a number of major players. Companies like Agito Medical AS, Avante Health Solutions, Block Imaging International Inc., Everx Pvt. Ltd, GE Healthcare, Integrity Medical Systems Inc., Koninklijke Philips NV, Radio Oncology Systems Inc., Siemens Healthcare Systems, and Soma Technology, among others, hold substantial market shares in the refurbished medical devices market.

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