China MRI Market Analysis

China MRI Market Executive Summary

The China MRI Market is at around $533.77 Mn in 2023 and is projected to reach $914.79 Mn in 2030, exhibiting a CAGR of 8% during the forecast period.

Magnetic resonance imaging (MRI) is a type of diagnostic test that can create detailed images of nearly every structure and organ inside the body. It uses strong magnetic fields and radio waves to produce detailed images of the inside of the body. The MRI machine is a large, cylindrical (tube-shaped) device that generates a powerful magnetic field around the patient and emits pulses of radio waves from a scanner. Some MRI machines resemble narrow tunnels, while others are more spacious. The intense magnetic field produced by the MRI scanner causes the atoms in your body to align in the same direction. Subsequently, radio waves are emitted from the MRI machine, which disrupt this alignment, causing the atoms to return to their original positions. As the radio waves cease, the atoms revert to their initial alignment and emit radio signals. These signals are then picked up by a computer, which transforms them into an image of the area being examined. This image is displayed on a viewing monitor.

Around 64-100 per 100,000 population cases of severe Traumatic Brain Injury are admitted to public hospitals annually leading to the rigorous use of MRI. The market therefore is driven by significant factors like the rise in geriatric population, rising burden of chronic diseases, and technological advancements in MRI. However, high cost, lack of reimbursement coverage, and regulatory challenges restrict the growth of the market.

The leading pharmaceutical companies include Siemens Healthineers and GE Healthcare for MRI machines. Canon Medical Systems, Jiangsu Magspin Instrument, and Neusoft Medical are also significant contributors to the MRI market, with continuous research and development activities.

Market Dynamics

Market Growth Drivers

Rising Burden of Chronic Disease: China faces a high burden of chronic diseases such as cardiovascular conditions, cancer, and neurological disorders. MRI is widely used for the diagnosis, treatment planning, and monitoring of these chronic diseases, fueling market growth. Cancer is the leading cause of death in China, accounting for about 23% of all deaths.

Technological Advancement: The introduction of innovative MRI technologies, such as hybrid MRI systems and advanced imaging capabilities, is improving the accuracy and efficiency of MRI scans. Hybrid MRI systems combine MRI with other imaging modalities, such as PET or CT, in a single integrated system. These advanced systems provide comprehensive diagnostic information by leveraging the strengths of multiple imaging techniques.

Increasing Geriatric Population:  China has a large and growing elderly population, with individuals aged 65 years and above accounting for 14% of the total population. The aging population is more prone to chronic diseases, driving the demand for MRI scans. MRI is a crucial diagnostic tool for the detection, monitoring, and management of many chronic diseases common in the elderly population

Market Restraints

Regulatory Challenge: China has a rigorous approval process for medical devices, which can be time-consuming and costly for manufacturers. The National Medical Products Administration (NMPA), is responsible for regulating medical devices in China. The NMPA classifies devices into three classes based on their risk level, with Class III devices posing the highest risk. The implementation of a Unique Device Identification (UDI) system to improve device tracking and monitoring

High Cost of MRI: MRI machines are some of the most expensive medical devices, often costing millions of dollars. The electrical and power supply needs for an MRI machine might be significant. Hospitals might need to upgrade their existing electrical infrastructure to accommodate the high-power demands of the machine. Regular preventive maintenance by trained technicians is essential to ensure smooth operation and avoid costly breakdowns. It creates a financial burden for smaller hospitals and clinics, limiting their adoption

Lack of Reimbursement Coverage: The limited reimbursement coverage for MRI scans in China's healthcare system can also hinder the adoption of MRI technology. Patients may have to bear a significant portion of the MRI costs out-of-pocket, making it less accessible, especially for the lower-income population. The scope of MRI procedures covered by insurance also differs across regions. Some provinces may only reimburse for basic MRI scans while excluding more advanced techniques like functional MRI

Regulatory Landscape and Reimbursement Scenario

National Medical Products Administration (NMPA) is responsible for ensuring the safety, efficacy, and quality of MRI machines as medical devices. MRI machines require registration with the NMPA before being imported, manufactured, distributed, or used in China. This process involves meeting specific safety and technical standards defined by the NMPA. MRI systems are classified as either Class II (medium risk) or Class III (high risk) devices in China. The registration process can take 12-24 months and requires significant documentation, testing, and clinical data.

Competitive Landscape

Key Players

Here are some of the major key players in the China MRI Market:

• Siemens Healthineers
• GE Healthcare
• Koninklijke Philips NV
• Canon Medical Systems
• United Imaging Healthcare
• Neusoft Medical
• Wandong Medical
• Shenzhen Anke High-tech
• Jiangsu Magspin Instrument
• Beijing Jingmai Medical Equipment