Thailand’s medical device market forecast has been revised down to a 6.2% CAGR due to US tariff uncertainties and political instability, impacting investment and competitiveness. Sales may reach THB109.2bn by 2029.
Thailand’s medical device market is also facing challenges from regulatory hurdles and fluctuating currency exchange rates, which could further strain growth projections. Despite these setbacks, the market is expected to remain resilient, driven by rising healthcare demands, an aging population, and advancements in medical technology. Key areas of growth may include diagnostic imaging, surgical instruments, and home healthcare devices, as providers adapt to evolving patient needs and seek cost-effective solutions.
Key View
- We have revised down Thailand’s medical device market forecast to reflect ongoing trade uncertainty, particularly related to US tariffs, as well as persistent political instability.
- Thailand’s political environment will continue to heighten market uncertainty and could deter investment from multinational medical device manufacturers.
- Despite current challenges, Thailand is expected to maintain its position as a leading medical device producer in the ASEAN region.
We have revised down Thailand’s medical device market forecast, reflecting the impact of US tariff uncertainty and persistent political instability. We now project the market to grow at a 2024-2029 compound annual growth rate (CAGR) of 6.2% in local currency and 4.7% in US dollar terms, compared to previous projections of 6.9% and 5.4% respectively. By 2029, market sales are expected to reach THB109.2bn (USD2.8bn), with consumables, diagnostic imaging and other devices making up the largest shares. As of July 2025, the US government maintained a 36% tariff rate on Thai exports, following President Donald Trump’s decision to extend the deadline for tariff negotiations to August 1. While our Country Risk team believes Thai policymakers may ultimately be able to secure a reduction of the reciprocal tariff rate, uncertainty remains and real GDP growth is still forecast to slow sharply. In the meantime, tariffs will increase export costs and reduce the competitiveness of Thai products in the US market, which accounts for a quarter of Thailand’s medical device exports. This challenging trade environment, combined with ongoing domestic political instability, is expected to weigh on market expansion over our forecast period.
Thailand’s medical device market, once projected for robust growth, is facing a downward revision due to rising trade uncertainties and ongoing political instability. As a key player in Southeast Asia, Thailand’s healthcare sector, particularly medical devices, has drawn interest from both local and international investors. However, recent shifts in trade policies and regional tensions have instigated caution, leading to a reevaluation of market forecasts.
Political instability has further exacerbated the situation, with ongoing protests and governmental changes creating an unpredictable business environment. This uncertainty has led to delays in regulatory approvals and slowed innovation, hindering the inflow of new technology and investment critical for market development. Companies remain wary, causing a ripple effect on production and distribution channels.
Despite these challenges, there remains potential for recovery. If the political landscape stabilizes and trade agreements are strengthened, Thailand could regain its footing as a regional medical device hub. Stakeholders must navigate these hurdles strategically to unlock future growth opportunities.
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