Japan PET Scan Market Analysis

Japan PET Scan Market Executive Summary

The Japan PET Scan market is at around $120.6 Mn in 2023 and is projected to reach $180.1 Mn in 2030, exhibiting a CAGR of 5.9% during the forecast period.

PET Scan is an advanced diagnostic and imaging technique which effectively identifies a variety of health issues such as cancer, heart disease, and brain disorders. It aids in the initial diagnosis and also in monitoring of the conditions for planning the treatment course. There are various types of PET scan including whole body PET scan. In whole body PET scan, the images of the entire body from head to toe are detected. A radiotracer is injected into the body which gets absorbed by all the tissues in the body. The scanner then detects the emitted radiation and creates detailed images of the organs and tissues. A whole-body PET scan is typically used to detect cancer, determine the stage of cancer, and monitor the treatment effectiveness. This type of scan is particularly useful for metastasis detection as it can identify even small tumors which might not be identified through other imaging tests. Another type of PET scan, called DOTATATA PET scan is used which is highly sensitive and specific for diagnosing neuroendocrine tumors (NETs). It utilizes a radiotracer called Gallium-68 DOTATATE, which combines somatostatin analog (DOTATATE) with a radioactive isotope (Gallium-68). The radiotracer targets somatostatin receptors which are often over expressed on the neuroendocrine tumors, allowing for the detection of both primary and metastatic NETs. A PSMA PET Scan is another type of PET scan used to detect, stage, and monitor prostate cancer. PSMA is the short for Prostate-Specific Membrane Antigen, which is overexpressed on the prostate cancer cells.

Japan faces a significant healthcare burden due to the rising chronic diseases, including cancer cases. The age standardized incidence rate for cancer was 267.1 in males and females in 2022 as per the WHO. The Japan PET Scan Market is thus driven by significant factors such as the expanding applications in medical field, rising advantages over other imaging techniques, and technological advancements. However, the high cost, limited availability of radiotracers, and competition from other imaging techniques restrict the growth and potential of the market.

The major players of the Japan PET Scan Market are GE Healthcare, Siemens Healthineers, Toshiba, Terumo, Schiller, and Hitachi, among others.

Market Dynamics

Market Growth Drivers

Expanding Applications in Medical Field: PET scans, initially used mainly for cancer detection and staging, are now being applied to a wider range of medical conditions. In cardiology, they help assess blood flow, detect heart damage, and evaluate treatment effectiveness for heart failure. Neurologists use PET scans for diagnosing and monitoring Alzheimer’s, Parkinson’s, migraines, and seizures. Additionally, research is exploring their use in autoimmune disease diagnosis, organ transplant rejection assessment, and treatment evaluation, boosting market demand for PET scan technology.

Advantages Over Other Imaging Techniques: PET scans excel by providing functional imaging that reveals metabolic activity in tissues, essential for distinguishing between benign and malignant tumours in oncology. They allow for early detection of cellular changes before structural anomalies appear on CT or MRI scans, facilitating earlier diagnosis and treatment. Furthermore, PET scans offer the advantage of whole-body imaging, enabling comprehensive staging of malignancies and detection of metastases, unlike MRI and CT, which are generally limited to specific organs or regions. Due to these exceptional benefits, PET Scans Market undergoes increased growth.

Technological Advancements: Recent advancements in PET scan technology have significantly improved diagnostic accuracy and patient outcomes. The development of new radiotracers with higher specificity and affinity for biochemical targets like protein synthesis, glucose metabolism, and receptor binding has allowed for more precise imaging of various diseases. Improvements in detector technology, including time-of-flight (TOF) PET and solid-state detectors, have increased sensitivity and spatial resolution, resulting in clearer images and better detection of small lesions. Additionally, PET-CT hybrid imaging allows for simultaneous assessment of anatomical and metabolic data in a single session, which is particularly advantageous for brain and soft tissue imaging, positively impacting the PET scan market.

Market Restraints

High Cost: PET scans are expensive, involving high initial capital costs for the scanners and the radiopharmaceuticals required. This can be a significant financial challenge for patients and healthcare facilities, particularly in regions with limited healthcare funding. Additionally, the costs associated with operating and maintaining the equipment further add to the expense. The expansion of the market might be restricted unless these costs are reduced or if reimbursement guidelines become stricter.

Limited Availability of Radiotracers: Radiotracers used in PET scans have short half-lives, necessitating their production and use within a limited time frame. This requires proximity to production facilities equipped with cyclotrons and radiochemistry labs, which may not be available in rural or underdeveloped areas. Additionally, creating and distributing radiotracers extensively demands advanced technology and strict regulatory compliance. These technical, regulatory, and logistical challenges in supplying radiotracers hinder the full growth of the PET scan market.

Competition from other Imaging Techniques: Traditional imaging methods such as SPECT, CT, and MRI are well-established and compete with the newer PET scans. These methods are typically more affordable, making them more appealing to patients. Furthermore, their widespread availability and accessibility result in a higher preference, putting PET scans at a disadvantage. Consequently, the PET scan market struggles against the entrenched presence of these older imaging techniques.

Regulatory Landscape and Reimbursement Scenario

The PMDA (Pharmaceuticals and Medical Devices Agency) is Japanese regulatory agency, working together with Ministry of Health, Labour and Welfare (MHLW). Their core purpose is to ensure the safety, quality, and efficacy of the pharmaceuticals and medical devices in the Japan.

The PMDA conducts thorough review and evaluation of the new drugs based on safety, quality, and efficacy seeking marketing authorization in Japan. This minimizes the risk of patients experiencing adverse effects from medications or faulty medical devices. The PMDA’s responsibility extends beyond granting market authorization and includes post-marketing surveillance for reporting any adverse drug reactions. As a founding country, Japan is an important member in the development and application of ICH (International Council for Harmonisation of Technical Requirements for Pharmaceuticals for Human Use) guidelines. The PMDA regularly participates in ICH meetings and contributes to establishing harmonized standards for the pharmaceutical industry. Japanese pharmaceutical companies can expedite the registration of their products in Japan and other ICH member nations by following ICH rules. This makes it easier for innovative drugs to be marketed internationally more quickly.

The reimbursement system in Japan plays a crucial role in balancing access to care with affordability. The majority of Japanese citizens are covered by the National Health Insurance (NHI), a government-mandated insurance scheme. For inpatient and outpatient services at approved medical facilities, NHI reimburses a significant percentage of medical expenses. However, deductibles and copayments may be necessary based on the service, the patient’s age, and income. Government subsidies are provided for certain services, such long-term care and some chronic conditions, the government offers extra funding. In comparison to NHI, voluntary private insurance policies may provide more coverage and better reimbursement rates. These plans can pay for expenses that NHI does not cover, such as sophisticated procedures and diagnostics, shorter waiting times for some medical procedures, and individual hospital rooms.

Competitive Landscape

Key Players

Here are some of the major key players in the Japan PET Scan Market:

• GE Healthcare
• Siemens Healthineers
• Terumo
• Toshiba
• Schiller
• Hitachi
• Canon Medical Systems
• Philips
• Fujifilm
• Neusoft Medical