Analysis Report on the Supply and Demand Situation of Vietnam's Medical Film Market in 2025

I. Market Background and Size

Vietnam's healthcare market is in a period of rapid growth, with healthcare spending surging 25 percent between 2020 and 2022, and per capita spending rising from $153 to $189. The market size of medical devices in Vietnam is close to $1.7 billion in 2024, making it the eighth largest medical device market in the AsiaPacific region, with a compound annual growth rate of 10.2%. The market size is projected to reach $1.77 billion in 2025 and will continue to expand at a compound annual growth rate of 8.62% between 2025 and 2029, with the market size expected to exceed $2.47 billion in 2029. This growth is driven by the accelerated aging of the population, the expansion of the middle class, the increased coverage of health insurance (more than 93% of the population included in the national health insurance VNHI), and the government's focused investment in primary care and advanced imaging equipment. 

2. Demand-side drivers 

1. Population structure and heightened health awareness Vietnam has a total population of over 100 million, with 69.4% of people aged 15-64 and over 50% under 35. The demand for health management, vaccination, and preconception screening among the younger generation has soared. After primary care institutions (such as county-level hospitals) were included in the medical insurance reimbursement system, the annual average growth rate of physical examinations, early screening, and infectious disease testing was significant, driving the demand for medical films to shift towards preventive and rapid testing. 

2. Medical infrastructure expansion and equipment upgrade 

The government has promoted the upgrading of facilities in 1,531 hospitals (86% of which are public hospitals) through the "Primary Medical Network Development Plan", with a focus on purchasing high-end imaging equipment such as CT and MRI. Healthcare infrastructure investment is expected to exceed $2.5 billion in 2025, directly boosting the demand for medical films in diagnostic imaging equipment (radiological equipment). 

3. Medical insurance policy and reimbursement system sinking 

Medical insurance coverage expanding to county-level hospitals, primary medical institutions' demand for high cost-performance and easy-tooperate IVD equipment and films surges. For instance, imports of automated and portable ultrasound equipment have grown by an average of 15% annually, driving the purchase of related film consumables. 

Iii. Current situation and Challenges on Supply Side 

1. Vietnam's medical device market is more than 90% dependent on imports, with major source countries including China (accounting for more than 32%), Japan, Germany, and the United States. China's exports of medical equipment to Vietnam grew by more than 20% in 2023, with a market share of 25% to 28%, among which medical consumables, IVD reagents and medical dressings were the main exporters. 

2. Weak domestic production capacity Vietnamese domestic manufacturers can only produce disposable consumables and simple packaging test kits, and high-end films (such as digital imaging films) are completely dependent on imports. Vietnam's medical film imports reached $802,000 in 2023, mainly from Chinese Taipei ($798) and Japan ($437).

3. Policy and compliance thresholds Vietnam imposes strict regulations on medical devices, requiring imported products to be FDA-certified and meet local standards. Under the RCEP policy, tariffs on Chinese medical equipment exports to Vietnam have been reduced to 0%-5%, but companies need to adapt to complex registration processes and 30%-50% booth fees (lower than in Europe and the United States). 

4. Market segments and Trends 

1. Explosive growth in the IVD field 

In vitro diagnostics (IVD) market accounts for core share of medical devices, demand shifts from "treating" to "preventing". The demand from young people for HPV testing, early cancer screening, and pre-employment physical examinations has driven the growth of immunological and molecular film consumables, with county-level hospitals and private clinics being the main purchasers. 

2. The demand for home medical devices is surging as aging accelerates the demand for devices such as home blood glucose meters and blood pressure monitors is increasing by 50%, and the market potential for supporting film consumables (such as portable printing film) is huge. 

3. Digital and intelligent trends The government encourages the import of high-tech devices such as AI diagnostic instruments and portable ultrasound, and promotes the transformation of traditional film to digital imaging systems. For instance, the demand for new products such as digital film and smart film is on the rise, and companies need to increase their investment in research and development to adapt to technological iterations. 

5. Opportunities and Suggestions

1. Seize the policy dividend period and take advantage of the RCEP tariff reduction and the policy of encouraging foreign investment under Vietnam's Investment Law to accelerate the layout of the high-end imaging equipment supporting film market, with a focus on meeting the procurement demands of county-level hospitals and private clinics. 

2. Localization cooperation and assembly increase the "domestic component ratio" to gain policy bonus points by establishing assembly or packaging lines in Vietnam, while reducing logistics costs. For example, Chinese IVD companies can draw on the Lekai Film model to enhance their competitiveness through local production.

3. The differentiated product strategy is to develop rapid test films suitable for health check-ups and infectious disease screening in the Vietnamese market, which is characterized by "large population + young + rising", to avoid homogeneous competition with "age-friendly, chronic disease" products in markets such as Thailand.

4. Compliance and Risk management Complete the FDA certification in Vietnam ahead of schedule, establish a local distributor network, and lower the compliance threshold. At the same time, pay attention to the impact of fluctuations in imports of raw materials such as rubber in Vietnam on film production costs.

Conclusion: Vietnam's medical film market will be strong in both supply and demand in 2025, with import dependence and policy dividends coexisting. Chinese enterprises need to focus on high cost-performance products, localized cooperation and differentiation strategies, seize the opportunities under the framework of primary care construction, digital transformation and RCEP, and achieve rapid expansion of market share.