Medical Equipment Outsourcing Global Market Report 2025

The medical equipment outsourcing market size has grown strongly in recent years. It will grow from $75.14 billion in 2024 to $81.35 billion in 2025 at a compound annual growth rate (CAGR) of 8.3%. The growth observed during the historic period can be attributed to the globalization of manufacturing, increasing demand for advanced devices, rising regulatory requirements, expansion of healthcare infrastructure, and more frequent product updates.

The medical equipment outsourcing market size is expected to see strong growth in the next few years. It will grow to $110.67 billion in 2029 at a compound annual growth rate (CAGR) of 8%. The growth in the forecast period is expected to be driven by the increasing aging population, rising prevalence of chronic diseases, growth in minimally invasive procedures, greater regulatory scrutiny, and the expansion of digital health. Key trends for the forecast period include AI-driven design optimization, miniaturization of devices, integration of advanced materials, IoT-enabled medical devices, and the development of smart packaging technologies.

The growing demand for medical devices is expected to drive the expansion of the medical equipment outsourcing market. Medical devices include instruments, machines, implants, or software used to diagnose, prevent, monitor, or treat medical conditions without relying on chemical actions. The rising demand is primarily due to the increasing global aging population, which leads to a higher incidence of chronic diseases and a greater need for diagnostic, monitoring, and therapeutic equipment. Medical equipment outsourcing supports this demand by enabling faster, cost-effective production and providing access to specialized expertise, allowing manufacturers to scale operations and meet market needs more efficiently. For example, in January 2025, the National Medical Products Administration (NMPA) in China reported that 126,139 medical device products had been officially registered, with 163,489 filing certificates issued nationwide. Thus, the growing demand for medical devices is expected to fuel the growth of the medical equipment outsourcing market.

Companies in the medical equipment outsourcing market are increasingly forming strategic partnerships to improve technology integration and expand their market reach. These collaborations combine specialized expertise, advanced technologies, and global infrastructure, helping to speed up development, reduce costs, and improve the quality and compliance of healthcare solutions. For instance, in June 2023, NAMSA, a US-based medical device Contract Research Organization (CRO), announced a strategic partnership with Terumo Aortic to accelerate the development and commercialization of innovative aortic disease products. This collaboration provides Terumo Aortic with immediate access to clinical experts and cardiovascular-focused teams to support studies, enabling faster market entry for new devices. Additionally, in January 2025, US Med-Equip, a US-based provider of medical equipment rentals, partnered with Zopec Medical to supply hospitals with backup battery power solutions. This collaboration ensures that healthcare providers have reliable power sources for critical medical equipment, enhancing patient care during power outages or in areas with unstable electricity.

In January 2023, Life Science Outsourcing, a US-based medical device contract manufacturer, acquired J-Pac Medical to expand its manufacturing and packaging capabilities. J-Pac Medical, known for its expertise in custom packaging and assembly solutions, will enhance Life Science Outsourcing’s ability to deliver comprehensive medical device solutions.

Major players in the medical equipment outsourcing market are Jabil Inc., Flex Ltd., IQVIA Holdings Inc., Labcorp, Sanmina Corporation, ICON plc, Celestica Inc., Eurofins Scientific, WuXi AppTec Co. Ltd., Nipro Corporation, Charles River Laboratories International Inc., lntertek Group, Plexus Corp., Parexel International Corporation, West Pharmaceutical Services Inc., Benchmark Electronics Inc., Gerresheimer AG, Phillips-Medisize Corporation, Medpace Holdings Inc., Integer Holdings Corporation.

North America was the largest region in the medical equipment outsourcing market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in medical equipment outsourcing report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the medical equipment outsourcing market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Medical equipment outsourcing is the practice of contracting third-party manufacturers or service providers to design, develop, produce, or maintain medical devices and equipment. This approach aims to reduce costs, speed up time-to-market, and access specialized expertise, allowing healthcare companies to focus on their core strengths.

The primary services involved in medical equipment outsourcing include regulatory affairs, product design and development, product testing and certification, product implementation, and product upgrades. Regulatory affairs services ensure that medical devices, pharmaceuticals, and healthcare products comply with relevant laws and regulations throughout their development, approval, and commercialization processes. Outsourcing can take different forms, including offshore, nearshore, and onshore outsourcing. It is applied in various fields, such as diagnostic imaging, cardiology, orthopedics, dental care, and endoscopy. The main end users of these services are hospitals, clinics, diagnostic laboratories, and research and development centers.

The medical equipment outsourcing market research report is one of a series of new reports that provides medical equipment outsourcing market statistics, including the medical equipment outsourcing industry global market size, regional shares, competitors with the medical equipment outsourcing market share, detailed medical equipment outsourcing market segments, market trends, and opportunities, and any further data you may need to thrive in the medical equipment outsourcing industry. This medical equipment outsourcing market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The medical equipment outsourcing market consists of revenues earned by entities by providing services such as prototyping and testing, component manufacturing, supply chain management, maintenance, and repair. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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