Medical device manufacturers have reported a significant increase in imports of 12 specific products, attributing this trend to various factors, including current policies in the United States. An industry representative expressed concern that ongoing tariff disputes could worsen the situation.
The products experiencing notable rises in import volumes include:
- Opacifying preparations for X-ray examinations (up 35%)
- Dental cement (up 29%)
- Diagnostic reagent kits (up 23%)
- Gloves (up 15%)
- Linear ultrasound scanners (up 39%)
- Syringes and needles (up 80%)
- Surgical tools (up 49%)
- Endoscopes (up 22%)
- Oxygen therapy apparatus (up 36%)
- Orthopedic/fracture apparatus (up 47%)
- Hollow needles (up 62%)
- Computed tomography apparatus (up 39%)
These details were included in a letter sent earlier this month by the Association of Indian Medical Device Industry (AIMED) to the Department of Pharmaceuticals and the Department of Commerce.
According to government data from April to November 2024, most of these imports originated from countries such as China, Germany, the United States, and Japan. Rajiv Nath, coordinator of the AIMED forum, noted that the previous U.S. administration under President Biden had adopted a strict stance on products from China, leading to heightened regulatory scrutiny. He warned that tariff hikes introduced by President Trump could prompt manufacturers in those countries to increase their imports into markets like India, which offer relatively low regulatory and tariff barriers, thereby posing risks to India’s domestic medical device sector.
The letter also highlighted import spikes from Singapore (14.5%), Hong Kong (20%), and Malaysia (23%), compared to significantly lower increases of 5%, 0.5%, and 3% in previous periods. This trend may indicate potential rerouting of Chinese-origin goods through these nations to bypass Indian CDSCO’s regulatory restrictions and DPIIT’s trade limitations with neighboring countries.
Additionally, the letter mentioned a 53% surge in imports from Switzerland, which previously stood at 8%, primarily due to recent Free Trade Agreements (FTAs) allowing for tariff concessions. Imports from Australia also increased by 10%, up from 3%, as a result of similar FTA benefits.
These developments come at a time when exports of Indian medical devices—ranging from disposables and consumables to electronics and surgical instruments—have declined from 12% to 5.14% in certain markets. The letter identified depressed international prices in Africa and the Middle East, alleging Chinese products are being “dumped” due to surplus capacity linked to U.S. FDA and tariff restrictions on Chinese goods entering the U.S. market. It also pointed to regulatory challenges and costs associated with renewing CE certification in the European Union, which has affected sales to Germany, France, the Netherlands, and Turkey, along with public procurement preferences favoring local products in Indonesia, among other issues.
