Mexico’s medical devices industry has been thriving for over forty years. Now in the 21st century with people from every corner of the world seeking to live longer and healthier lives the Mexican medical devices sector is poised to excel. Industry analysts predict that the fabrication of medical devices and related technologies will increase 74% over the next decade. This represents an increase from $8.5 billion in 2011 to a forecasted $14.9 billion in 2020.
The industry is made up of over 2,300 facilities that include designing and manufacturing of medical devices across Mexico. Out of these, approximately one-third export their devices to the United States or overseas. Some prominent names in the Mexican medical device sphere include Beckton Dickinson, Johnson & Johnson, Medtronic, and many more.
Nowadays, it is ranked number 11 as the world’s largest medical devices exporter, with over 80% of all its production exported to the United States.
According to one market study, the global demand for medical device packaging is forecasted to hit $25.7 billion annually in 2017. This represents a 5.9% annual increase. The report notes that the United States, Japan and Western Europe will comprise almost 60% of the entire market.
As a matter of fact, expanding manufacturing into Mexico represent not only the opportunity to be closer to the United State market, but it domestic market is growing rapidly as well. This mean that it offers the opportunity to take a slice of its growing market.
In 2015 the Mexican market for medical devices was valued at US$4 billion, and projected growth to US$5.5 billion by 2020. Imports make up nearly 90% of the medical devices sold in Mexico. Mexico imports medical devices from all over the world, with the most devices coming from the United States, Asia, and throughout Europe. The Mexican medical device market is sophisticated and values innovative, high-quality medical technologies. Mexico is also known for its large “lifestyle” procedures market, which includes surgical and non-surgical aesthetics and ophthalmology. Mexico together with Brazil have two of the largest aesthetic markets in the world, with more plastic surgery procedures in Brazil and Mexico combined than in the US.
Furthermore, Mexico has Free Trade Agreements with 45 countries from around the world, and a modern intellectual property framework make Mexico a more attractive destination for setting up manufacturing.
The Medical Devices industry in Sonora and Northwestern Mexico
The primary locations where medical devices are being manufactured are Baja California, Sonora, Chihuahua, Coahuila, Nuevo León, Tamaulipas, Jalisco, Mexico City and its neighboring state of Mexico.
It is well known that the cluster of medical products located in Tijuana, Baja California is a success story, mainly due to its partnership with San Diego, California, which together forms one of the most diverse and sophisticated bi-national grouping of medical products in North America.
At present, Baja California has the largest concentration of medical device companies. It accounts for more than 34% of the industry’s export and home to over 65 manufacturing plants that provide jobs to 50,000 people, ranging from manual labor to highly trained personnel who conduct research and development on sophisticated products.
Sonora has 19 companies in the medical devices sector In this fierce competition to attract investment, Sonora standout for several advantages such as its modern border crossing and customs infrastructure, connectivity to Phoenix Sky Harbor that it is one of the world’s busiest commercial airport, the abundance of stable and trainable workforce. Furthermore, Sonora has many excellent educational institutions that help ensure a steady supply of employees who are qualified in handling medical device manufacturing.