Australia Medical Devices Market Size, Share Analysis and Forecast Report (2025-2034)

Australia Medical Devices Market Trends

The growth of Australia medical devices market is driven by a strong regulatory framework that ensures product safety and efficacy, fostering trust. Increased healthcare spending fuels demand for medical technologies, particularly in diagnostics and eldercare. The ageing population boosts the need for devices related to chronic conditions and long-term care. Australia’s advanced healthcare infrastructure facilitates the adoption of innovative technologies, while government initiatives such as the MRFF and NHMRC support medical device and technology development. In October 2023, LifeHealthcare unveiled its next-generation Verisus robotic system at a Melbourne conference, demonstrating the growing role of robotics in improving surgical precision and outcomes in colorectal procedures.

The Australia medical devices market is highly receptive to innovative technologies, providing a competitive edge for manufacturers. The robust reimbursement system through Medicare and private insurance ensures widespread device accessibility. A skilled workforce in healthcare and technology supports the development and use of advanced devices. There are significant investment opportunities, particularly for startups focused on R&D in the sector. Australia’s role as an export hub enhances its position within the Asia-Pacific market for medical devices. In November 2023, Cardinal Health opened a facility in Australia for reprocessing single-use medical devices, promoting sustainability, cost savings, and reducing medical waste.

Australia Medical Devices Market Growth

A key trend in Australia medical devices market is the healthcare sector’s commitment to quality, which encourages the development and import of high-standard medical devices. The expansion of the private healthcare sector has led to increased demand for premium devices, especially in diagnostics and surgeries. A strong research and development ecosystem drives the creation of next-generation devices, ensuring continuous innovation. The streamlined approval process enables quick market access, supporting timely product launches. The integration of digital health solutions, such as telemedicine and e-health, accelerates the adoption of connected devices and health monitoring technologies. In April 2023, the Bionics Institute launched Neo-Bionica in Melbourne, Australia's first medical device development facility, aimed at advancing local innovation and collaboration in biomedical engineering.

Opportunities in Australia medical devices market are increasing by its vast geographical spread, which drives the demand for devices designed for remote healthcare, such as telemedicine tools and portable diagnostics. The growing focus on healthy lifestyles boosts the need for fitness and wellness devices. A stable economic environment offers a favourable investment climate, attracting investors to the sector. Australia’s alignment with global regulatory standards, such as ISO and CE marking, facilitates easier market access for international manufacturers. Additionally, collaborations with international research institutions help accelerate the adoption and development of new medical technologies.

Australia Medical Devices Market Insights

• In 2021–22, Australia allocated AUD 96 billion for hospital care, which represented 40% of total healthcare spending, as reported by AIHW in 2023.
• During 2022–23, Australian hospitals saw 8.8 million visits to emergency departments, indicating a rise in demand for medical devices, according to industry reports.
• As of 2021–22, around 186,000 nurses and 56,700 doctors were employed in public hospitals across Australia, as per AIHW data from 2023.

Industry News

August 2023

Olympus Australia unveiled "Sapphire," the nation's first flexible endoscope sterilisation facility in Melbourne. The facility is designed to enhance infection control standards in healthcare environments while ensuring the delivery of high-quality endoscopic procedures.

March 2023

Medtronic launched its latest heart valve technology in Australia, developed for minimally invasive procedures. This innovation seeks to improve patient outcomes and broaden treatment options for individuals with severe heart conditions.

Australia Medical Devices Market Drivers

Adoption of Digital Health Technologies

Digital health technologies are significantly shaping the Australia medical devices market dynamics and trends, including telemedicine, e-health, and mobile health applications. The integration of these digital tools allows healthcare professionals to monitor patients remotely, providing real-time data to aid decision-making. Innovations in wearable devices, such as fitness trackers and health monitors, are increasingly popular, enabling individuals to take a proactive approach to their health. This digital health shift is especially advantageous in remote regions of Australia, where access to healthcare is limited. The growing emphasis on connected health devices is transforming healthcare delivery, making it more efficient and accessible. In October 2024, 61medical, a new company based in Queensland, was launched to accelerate the development of Australian medical devices, including those incorporating AI and robotics, to strengthen local manufacturing and improve patient care through innovative technologies.

Ageing Population and Demand for Chronic Disease Management Devices

Demand of the Australia medical devices market is rising as the population ages, leading to a greater need for devices that support chronic disease management and elderly care. There is a high demand for mobility aids, such as walking aids, wheelchairs, and lifts. Furthermore, devices for managing chronic conditions like diabetes, cardiovascular diseases, and respiratory issues are becoming increasingly important. Wearable and home-monitoring devices, which enable continuous health tracking for older individuals, are also growing in popularity. This demographic shift has created a strong market for devices aimed at improving the quality of life for the ageing population and managing long-term health conditions. By 2026, it is estimated that over 22% of Australians will be aged 65 and above, compared to 16% in 2020, according to the Australian Government (2023).

Opportunities in the Australia Medical Devices Market

The Australia medical devices market revenue is increasing due to a growing trend towards minimally invasive procedures. Advances in medical devices are reducing recovery times and improving outcomes, with techniques like laparoscopic surgery becoming standard in orthopaedics, cardiology, and gynaecology. This rising demand drives the need for advanced surgical tools, imaging systems, and robotic technologies. The preference for less invasive treatments, which offer quicker recoveries and less pain, is further supporting this trend. In September 2023, Abbott launched its new leadless pacemaker system in Australia, providing a minimally invasive alternative for heart rhythm disorders, enhancing patient comfort, and reducing recovery time compared to traditional pacemakers.

Market Restraints

The Australia medical devices market faces several key restraints, including regulatory challenges due to evolving standards, which can delay market entry and increase costs, particularly for smaller manufacturers. Intense competition from established players makes it difficult for new entrants. High development costs and long time-to-market also hinder innovation, particularly for startups. Reimbursement and pricing pressures, especially in the public healthcare sector, limit access to high-cost devices.

Economic uncertainty, supply chain vulnerabilities, and reliance on imports further exacerbate market challenges. Additionally, Australia's relatively small market size, complex healthcare system, fragmentation, and demographic diversity create barriers for manufacturers targeting niche products or adapting to local needs.

Australia Medical Devices Industry Segmentation

“Australia Medical Devices Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Respiratory Devices
• Cardiology Devices
• Orthopaedic Devices
• Diagnostic Imaging Devices (Radiology Devices)
• Endoscopy Devices
• Ophthalmology Devices
• Other Devices

Market Breakup by End User

• Hospitals and Clinics
• Diagnostic Centers
• Research Laboratory
• Pharmaceutical Companies

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Australian Capital Territory
• Western Australia
• Others

Australia Medical Devices Market Share

Market Analysis by Type

According to the Australia medical devices market analysis, respiratory devices are key contributors in managing chronic respiratory conditions like asthma and COPD. They enhance patients' quality of life by improving breathing, alleviating symptoms, and reducing hospitalisations. These devices also ensure effective medication delivery and help patients maintain their independence. In August 2023, AirPhysio launched its mucus clearance device in Australia, designed to assist individuals with asthma and COPD. Using Oscillating Positive Expiratory Pressure (OPEP) technology, the device improves lung function and facilitates mucus clearance, promoting better respiratory health.

The growth of the Australia medical devices market is further supported by cardiology devices, which are crucial for diagnosing and treating heart conditions, leading to improved outcomes through early detection and effective management. Devices like pacemakers and stents enhance care quality by providing real-time monitoring and interventions, reducing the risk of serious cardiac events. In September 2023, Medtronic introduced the Evolut PRO+ transcatheter aortic valve replacement (TAVR) system in Australia. This advanced device offers enhanced delivery and positioning capabilities, improving treatment options for patients with severe aortic stenosis while reducing recovery times.

Market Analysis by End User

According to the Australia medical devices market report, hospitals and clinics are vital elements of the healthcare system, offering comprehensive services such as emergency care, surgeries, and outpatient treatments. They improve patient access to healthcare, support preventive care, and contribute to community health initiatives, ultimately enhancing population health outcomes. In September 2023, St Vincent's Hospital in Sydney opened a state-of-the-art emergency department to improve patient flow and reduce wait times. This new facility strengthens emergency care capabilities, ensuring timely treatment for critical cases.

The Australia medical devices market development is further supported by diagnostic centres, which are essential for early disease detection and management, providing advanced imaging and laboratory services. They offer quick results that assist in accurate diagnoses, helping healthcare providers develop effective treatment plans and improve patient outcomes. In August 2023, Melbourne Pathology opened a new diagnostic centre in Melbourne, equipped with advanced technology for pathology testing. This facility aims to improve diagnostic accuracy and shorten turnaround times for test results, benefiting both patients and healthcare providers.

Australia Medical Devices Market Regional Insights

New South Wales Medical Devices Market Overview

New South Wales benefits from a strong medical devices market, driven by substantial government investments in healthcare innovation, which improves patient care and boosts local medtech manufacturing. In 2022-23, the state allocated AUD 27.5 billion to health services, focusing on enhancing hospital infrastructure and expanding access to medical technologies.

Queensland Medical Devices Market Trends

Queensland’s medical devices market is growing due to rising demand for innovative healthcare solutions, supported by government initiatives promoting research and development in the medtech sector. The Queensland Government invested AUD 20 billion in health services in 2022-23, with a focus on infrastructure improvements and the integration of advanced medical technologies to enhance patient outcomes.

Western Australia Medical Devices Market Dynamics

According to the Australia medical devices industry analysis, Western Australia’s medical devices market is strengthened by its robust mining and resources sector, which drives demand for advanced medical technologies and fosters innovation in healthcare solutions tailored to local needs. In 2022-23, the state invested AUD 12 billion in health services, focusing on upgrading hospital facilities and expanding access to cutting-edge medical devices.

Competitive Landscape

The Australia medical devices market key players concentrate on critical care, hospital care, nutritional care, renal care, and surgical care, providing advanced therapies and technologies to healthcare professionals. These companies aim to improve patient outcomes through a diverse range of products, such as infusion systems, dialysis solutions, and surgical instruments.

Key Industry Players

Abbott Medical Australia Pty Ltd: Established in 1941, and headquartered in Sydney, Australia, the company specialises in developing and manufacturing a wide range of medical devices and diagnostics, focusing on areas such as cardiovascular health, diabetes care, and nutrition to improve patient outcomes and quality of life.

Medtronic Australasia Pty Ltd: The company was founded in 1982 and is headquartered in Sydney, New South Wales. As a subsidiary of Medtronic PLC, the company provides advanced medical devices and therapies across various fields, including cardiac, diabetes, and neurological care, enhancing healthcare delivery in Australia and New Zealand.

GE Healthcare Australia Pty Ltd: Established in 2000 and based in Sydney, Australia, the company focuses on providing innovative medical imaging technologies and healthcare solutions that improve patient care and operational efficiency across hospitals and healthcare facilities throughout the country.

ResMed Inc.: Founded in 1989 and headquartered in Sydney, Australia, the company specialises in developing cloud-connected devices for people with sleep apnea and chronic obstructive pulmonary disease (COPD), aiming to improve patient outcomes through innovative respiratory care solutions and digital health technologies.

Other key players in the Australia medical devices market report are Cochlear Limited, Fisher & Paykel Healthcare Corporation Limited, Baxter Healthcare Pty Ltd., Thermo Fisher Scientific Inc., Fresenius Medical Care Australia Pty Ltd., and Multigate Medical Products Pty Ltd., among others.

Recent Developments

July 2023

Medtronic presented new data on pulsed field ablation technology at the APHRS meeting in Sydney. This groundbreaking technique aims to enhance treatment outcomes for patients with atrial fibrillation, highlighting significant advancements in cardiac care.

March 2023

Varian, part of Siemens Healthineers, launched its RapidArc Dynamic technology to the Australian radiation therapy sector. This innovation improves organ protection during radiation treatment while maintaining target accuracy, thereby enhancing patient safety.