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Chinese Dental Implant Market Booming

Last Updated: Feb 18, 2007

Recently, the Millennium Research Group conducted a detailed analysis of the dental implant market in the Chinese Market for 2007. The report finds that this emerging market is growing quickly at a compound annual growth rate of over 35%.

A strong driver of this growth is the deregulation of dental services in China. Dental services in China are generally provided in government managed facilities; however, ongoing deregulation of dental services is resulting in the emergence of an increased number of private dental practices and increasing accessibility to dental services such as dental implant therapy.

Soure: Millennium Research Group

6 Comments on Chinese Dental Implant Market Booming

Anthony

08/07/2007

I think it is a major opportunity in Asian countries such as China and Vietnam where a large % of the populations having dental problems. It used to be a non-issue where the Chinese and Vietnamese did not care much how their teeth look. But as their economies improving, they pay for attention for cosmetic dentistry such as veneer crowning and dental implants. While the cost of of veneer crowns are reduced everyday due to competitive market and by the facts that they could be made locally (independently owned labs,) dental implants are still so expensive because they can not be made locally (in China or Vietnam.) That is why dental implants are still prohibitively expensives to average consumers. I think of all the cost components of a single dental implant, the cost of the implants + abutments + cover screws, etc. must cover at least 50%-70% of the whole procedure, while labor + crown (relatively cheap) contributing to the remaining. I know like in Vietnam, it cost roughly $ 1000 / per implant procedure (whereas an implant system costs average $ 500 / set.) If any of the low-priced implant company (like Implant Direct) export their products directly to China or Vietnam, the final prices at the local market would still be at least $ 250 per set. with the added cost of shipping + distributor margins + (taxes.) That would still be an significant % (approximlately 33% of $ 750 / per single procedure and assuming all the reduced cost is passed to the consumers)of the whole implant procedure. In the US, the cost of the most expensive implant set @ $ 500 (implant + abutment + cover screws, etc.) represents only 15% of the total procedure cost (assuming $ 3500 / single implant.) It would be wise if any of the implant manufacturer to set up a local manufacturing facility in Vietnam or China to take advantaged of the cheap labor + tax advantage (no tax for 5 years + reduced tax rate for the next 5, etc.) Then, an implant set would be probably cost no more than $20-$25 (including implant + abutment + cover screws, etc.) Adding other costs (anodizing + coating + packaging,) it should cost no more than $ 35 / set. Then they can reduce the cost of the implant systems to the level that many more people can afford (shall we say @ $ 100 / set.) Of course, the risk of setting up such manufacturing facility will be difficult, but the potential reward would be huge since there would be no competition at such low prices. It is part of the competitive advantage of the "first mover." in business, isn't it?

Huy

08/29/2007

I would love to entertain the idea of having a manufacturing plant in China or Vietnam to produce dental implants for these countries and ASEAN nations as well (Thailand, Malaysia, etc.) I think it would potentially be one of the best investment with more than 1.5 billion people market. Any taker?

Ivan berger

08/30/2007

How do I contact DR Huy? I'm not a cowboy- just had misspelled word.

Huy

08/30/2007

Hello Ivan, I am not a doctor. I am a professional working in manufacturing industry for 10 years. I happened to work oversea in Asia as a manufacturing director for a couple of years. I am now working in the medical device manufacturing business (dental implants.) Please leave your email if you want to contact me! I will contact you via email. Regards, Huy

bouchet

10/14/2007

I am a french implantologist interesting in the implant industry? i would like to have more informations about this developpement in the china market. thank you

anonymous

10/16/2007

Mr. Bouchet, What is your primary reason for wanting to know more about China's dental implant market?

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