North America Medical Device Contract Manufacturing Market

North America Medical Device Contract Manufacturing Market Size (2022 to 2027)

The size of the medical device contract manufacturing market in the North American region was worth USD 24.69 billion in 2022. This value is estimated to grow at a CAGR of 8.52% from 2022 to 2027 and will be worth USD 37.16 billion by 2027.

The need for medical devices is growing considerably in the North American region owing to the growing burden of chronic diseases and the increasing geriatric population, which is expected to drive the medical device contract manufacturing market in North America. According to the statistics published by the Centers for Disease Prevention and Control (CDC), an estimated six in ten adults in the U.S. live with chronic diseases such as cancer, heart disease, or diabetes. These chronic diseases are the main reason for the increased mortality rate in the United States. Due to the increasing mortality rate, most researchers and healthcare specialists are focusing on developing new devices that help people predict the severity in the early stage and provide quality life with proper treatment. Additionally, most of the older population is seeking treatment with a nonsurgical approach which has led to the invention of devices that are pain relievers, wound healers, and others.

In addition, increasing pressure on original equipment manufacturers to reduce the manufacturing cost of the devices is further fuelling the growth rate of the North American medical device contract manufacturing market. The medical devices manufactured by the original equipment manufacturer can be sold to the other company under its name. One of the original equipment manufacturers' main advantages is that resellers can reduce costs, decreasing the burden on the company's investment. In addition, an increasing number of OEM services in America and Canada helps with market growth demand.

The rapid adoption of technological developments in the manufacturing of medical devices is anticipated to have a favorable impact on regional market growth. The growing number of technological developments such as data science, machine learning, the Internet of things, artificial intelligence, and real-world solutions have given medical device contract manufacturing companies new opportunities to build medical devices with this advanced technology, improving patient quality care.

However, reformed medical technologies are one of the major factors hampering the North American medical device contract manufacturing market. In recent years, medical device manufacturing facilities have faced challenges based on technology, innovation, and care delivery. Before being used for patients, medical devices should undergo several stages in the development process. If there is any difference in the final medical devices compared to the requirement, the investment may increase and delay the product delivery time. The need for more skilled professionals with advanced technologies in the workplace is another factor hindering the market growth.

This report on the North American medical device contract manufacturing market has been segmented and sub-segmented into the following categories.

By Type:

• IVD Devices
• Diagnostic Imaging Devices
• Cardiovascular Devices
• Drug Delivery Devices
• Orthopedic Devices
• Dental Devices
• Endoscopy Devices

By Service:

• Device Development and Manufacturing Services
  • Device Manufacturing Services
  • Process Development Services
  • Device Engineering Services
• Quality Management Services
  • Packaging Validation Services
  • Inspection and Testing Services
  • Sterilization Services

By Class of Device:

• Class I Medical Devices
• Class II Medical Devices
• Class III Medical Devices

By Country:

• The United States
• Canada
• Rest of North America

The North American region was the largest regional segment in the worldwide market in 2021, and the domination of the regional market is expected to continue during the forecast period owing to the growing number of advancements in healthcare facilities and increasing investments in hospitals for novel devices.

The U.S. market had a leading share of the North American market in 2021 and is expected to showcase a promising CAGR during the forecast period owing to the increasing number of medical device manufacturing companies. As per a recent survey in the United States, there are nearly 933 medical device manufacturing companies.

The Canadian market is predicted to witness a notable CAGR in the North American market during the forecast period. Health Canada plays a significant role in the approval of medical devices by the medical device manufacturer by checking specific guidelines. This helps in the development of medical devices in a better way by making decisions for the good's output. With an increasing number of top manufacturers in this country, the market has increased its growth during the forecast period. These manufacturing facilities can provide the entire product or the individual products to the customer base company as per their requirements.

KEY MARKET PLAYERS:

Companies playing a prominent role in the North American medical device manufacturing market profiled in this report are Integer Holdings Corporation, Flex Ltd., Jabil Inc., West Pharmaceutical Inc., Benchmark Electronics Inc., Tecomet Inc., Nortech Systems Inc., TE Connectivity, and Nordson Corporation.