Vietnam CT Scan Market Analysis

Vietnam CT Scan Market Executive Summary

Vietnam CT Scan Market was valued at $23.05 Mn in 2023 and is predicted to grow at a CAGR of 8.1% from 2023 to 2030, to $39.76 Mn by 2030.

A CT scan, or computed tomography scan, is a sophisticated imaging procedure that uses X-rays to produce detailed cross-sectional images of the body. Unlike traditional X-rays, CT scans capture multiple views from various angles, which a computer then processes into a three-dimensional representation of internal structures such as organs, bones, and soft tissues. Before the scan, patients may prepare by wearing a gown and removing metal objects. Depending on the type of scan, they might need to ingest a contrast material to enhance the visibility of specific tissues. During the scan, patients lie on a table that moves through a donut-shaped scanner while X-ray images are taken. Afterward, a radiologist interprets the images to diagnose conditions like cancer, heart disease, bone fractures, internal bleeding, and injuries. While CT scans offer detailed diagnostic capabilities, they involve radiation exposure and can be costly, though advancements have minimized risks and enhanced safety. Other imaging options like X-rays, ultrasound, and MRI scans are considered based on specific medical needs and radiation concerns.

Chronic diseases, or Non-Communicable Diseases (NCDs), account for 74% of all deaths globally, equating to approximately 41 Mn deaths annually, according to the World Health Organization (WHO). The leading NCDs include cardiovascular diseases, such as heart disease and stroke, causing 17.9 Mn deaths annually; cancers, responsible for 9.3 Mn deaths; chronic respiratory diseases, including COPD and asthma, leading to 4.1 Mn deaths; and diabetes, along with related kidney disease, resulting in 2.0 Mn deaths each year. These conditions necessitate continuous management and monitoring to mitigate their widespread impact.

The market is therefore driven by significant factors like the rising burden of chronic diseases, increasing healthcare expenditure, an aging population, and technological advancements. However, the high cost of CT scanners, the skilled workforce shortage, and limited reimbursement restrict the growth and potential of the market.

A prominent player in this field is GE Healthcare, which launched a new refurbishing unit in Bangladesh for A1-Sure Ultrasound Systems, aiming to enhance accessibility to affordable ultrasound technology in developing regions, and Siemens Healthineers partnered with Microsoft to utilize Azure cloud services for AI-powered medical imaging solutions, aimed at advancing healthcare delivery with secure and scalable cloud computing. Other contributors include Canon Medical Systems, and NeuroLogica Corp. among others.

Market Dynamics

Market Growth Drivers

Rising Burden of Chronic Diseases: Vietnam faces a growing burden of chronic illnesses like cancer. According to the National Cancer Institute (NCI), Vietnam has an estimated 200,000 new cancer cases annually. CT scans are vital for early detection, treatment planning, and monitoring, propelling market growth.

Increasing Healthcare Expenditure: The Vietnamese government is prioritizing healthcare development. Government healthcare spending is projected to reach $18.2 Bn by 2025. This increased investment translates to more resources for acquiring advanced medical equipment like CT scanners.

Aging Population: Vietnam's population is aging. By 2045, the number of people aged 60 or above is expected to reach 23.6 Mn according to United Nations Population Division, 2023. This demographic shift increases the demand for advanced diagnostics like CT scans for accurate diagnoses in elderly patients.

Technological Advancements: The CT scan market in Vietnam is fuelled by continuous advancements. Domestic and international manufacturers are introducing new CT scanners with features like faster scan times, reduced radiation exposure, and improved image quality, making CT scans more appealing for both patients and healthcare providers.

Market Restraints

High Cost of CT Scanners: CT scanners are expensive, with acquisition costs ranging from $125,000 to $500,000 in 2021. This can limit affordability for smaller hospitals and clinics, hindering wider adoption of the technology across the country.

Skilled Workforce Shortage: Operating and interpreting CT scans necessitates specialized training. The shortage of qualified radiologists and technicians, especially in rural regions, can impede the efficient use of CT scans and limit market expansion.

Limited Reimbursement: Reimbursement for CT scans in Vietnam can be complex, with varying coverage depending on insurance plans and procedures. This can create a financial burden for patients, potentially discouraging unnecessary scans but also limiting access for some who need them.

Regulatory Landscape and Reimbursement Scenario

Vietnam's CT scan market is overseen by the Ministry of Health (MOH) for regulatory purposes. The MOH plays a crucial role in ensuring the safety and efficacy of CT scanners. Manufacturers need to obtain approval from the MOH before they can import, distribute, or sell their CT scanners in Vietnam. This process helps maintain a baseline level of quality in the market but can be lengthy and potentially delay the availability of new technologies.

Reimbursement for CT scans in Vietnam is a two-pronged system. The government-run health insurance program covers a portion of the costs for medically necessary CT scans. However, the specific coverage details depend on the type of scan, the medical condition being diagnosed, and the specific enrolment plan of the patient. This can lead to out-of-pocket expenses for patients, potentially creating a financial barrier to CT scans. Private insurance plans can offer additional coverage, but navigating the entire reimbursement landscape can be complex for both patients and healthcare providers. The Vietnamese government is actively working on reforming the healthcare system to improve access to CT scans and other diagnostic procedures, but the current system can be challenging for some patients.

Competitive Landscape

Key Players

Here are some of the major key players in the Vietnam CT Scan Market:

• GE HealthCare
• Koninklijke Philips N.V.
• Siemens Healthineers AG
• Canon Medical Systems
• NeuroLogica Corp.
• Shanghai United Imaging Healthcare Co., Ltd.
• Fujifilm Holdings Corporation
• Shenzhen Anke High-tech Co., Ltd.
• Toshiba Medical System
• Carestream Dental LLC.