Being entirely ruined by Korean war in 1950, Korea has rapidly industrialized since 1961, when all-our efforts for economic development were first inaugurated. That year, the government systematically arranged mid-and long-term economic development plans, which turned the nation from being
a traditional agricultural county into one of industrialized countries.

For instance, Korea¡¯s gross national product increased from USD 3.1 billion in 1960 to USD 8.1 billion in 1970 to USD 457.6 billion in 2002 (a 257 fold
growth in three decades).
As a sign of its financial success, Korea successfully hosted the 1988 Seoul Oympiad and the 2002 World Cup.

Besides, national product per capita surpassed USD 10,000 in 1995, reaching USD 10,548 in 1996, a 134-fold increase. But the unprecedented economic crisis in 1998 decreased the number to USD 7,000. Despite that, Recorded USD19,231 in 2008, Korea is fastly recovering the difficult situations.

In the mean time, the number of people eligible for medical insurance rose sharply, leading to a steep increase in medical institutions and medical manpower available.
Thus,the pattern of the domestic demand for medical equipment changed dramatically as the national average life span jumped to 75 years in 2007,
from 52.3 years in 1960.
Statistics Field Name Unit Weight Trans 1970 1985 1990 2000 2001 2002 2004 2006 2007 2008
Principal Indicators on National Account (1971~) Per Capita GNI(current Prices)(dollar) U$     255 2.355 6.303 11.292 10.631 12.100 15.082 19.722 21.695 19.231
Year Number of Medical care centers Dental Hospital Clinics Oriental Hospitals Affiliated hospitals Et.al Hospitals Total
General hospitals Hospitals Clinics
1995 266 398 14.343 8.304 5.997 246 219 29.773
2000 285 581 19.472 10.527 7.412 185 203 38.665
2001 268 599 20.819 10.616 7.630 169 175 40.276
2002 284 691 23.299 11.200 8.232 169 154 44.029
2003  283 798 23.502 11.989 8.885 150 165 45.772
2004  282 855 24.491 12.075 9.350 158 167 43.378
2005  290 971 25.412 12.634 9.911 187 152 49.566
2006  295 1.213 26.078 12.942 10.436 172 150 51.286
2007  302 1.538 26.265 13.431 11.033 182 163 52.914
Year Doctors Dental Doctors Oriental Doctors Nurses
1995 57.188 13.681 8.714 120.415
2000 72.503 18.039 12.108 160.295
2001 75.295 18.887 12.794 170.845
2002 78.609 19.672 13.662 181.800
2003 81.328 20.446 14.553 192.480
2004 81.998 20.772 14.421 202.012
2005 85.369 21.581 15.271 213.644
2006 88.214 22.267 15.918 223.781
2007 91.475 23.126 16.732 235.687
Korea's medical equipment industry took shape in the early 1970s when X-ray systems were first localized. Before then, consumable medical supplies,such as disposable syringes and bandages, were the major locally produced items. In the 1980s, the governmet launched a successful policy to localize highly advanced diagnostic equipments such as ultrasound diagnostic systems, magnetic resonance imaging (MRI) equipment, computerized tomography (CT) equipment.

Entering the 1990s, the government regarded the medical equipment industry as the strategic area to challenge and has constantly induced local manufacturers to develop new, up-to-date items in the sector. At the moment, high-end items such as digital X-ray systems, MRI, CT and 3-dimensional ultrasound diagnostic systems are being locally produced.
Encouraged by big acceptance from abroad for their technology products, domestic makers are spurring the promotion of their goods to more than 50 countries, including the U.S.A. and European nations.

The rapid development of Korea's electro-medical equipment industry in a short span of time stems from the following facts : first, abundant technical experts were secured by promoting in colleges and graduate schools the relevant subjects such as electronics and medical engineering.
Second, the electronic field in Korea, including semiconductors, industrial electronics and electronic parts, is as fully developed as that in advanced countries.
Third, the nation's economic development resulted in increase in the number of hospitals and swelling demand for medical equipment, creating a large local market. Fourth, domestic makers have successfully made inroads into overseas markets, thanks to their high reliability, thus providing unrivaled business opportunities.
Based on this market environment, domestic electro-medical equiment manufacturers now emphasize continued market exploration in overseas as well as at home.
Category '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08
Manufacturers 411 478 609 1.025 1.177 1.012 1.500 1.596 1.624 1.662 1.726
Products (SKU*s) 4.183 4.273 4.828 6.447 7.659 9.379 11.311 13.167 15.159 16.810 18.536
Importers 823 560 995 900 928 975 997 1.157 1.281 1.381 1.456
* SKU stands for Stock Keeping Unit.
In 1998, 411 Companies bad specialized in the manufacturing of Medical Devices in Korea.
As of the end of 2007, the number of medical devices manufacturers expanded to 1,662 recording a 404 percent increase during the 9-year period.
At the same time, the number of government-licensed products increased by 402 percent from 4,183 SKUs in 1998 to 18,536 SKUs in 2008
(Unit : USD million)
Category '99 '00 '01 '02 '03 '04 '05 '06 '07 '08
Domestic Production 605 690 995 1.073 1.331 1.478 1.635 2.074 2.216 2.525
Exports 287 415 445 461 515 569 699 817 1.032 1.132
Imports 605 730 884 1.028 1.140 1.284 1.509 1.799 2.153 2.123
Domestic 923 1.004 1.432 1.640 1.956 2.193 2.445 3.056 3.337 3.515

Production Status

(Unit : million won)
Item 2003 2004 2005 2006 2007 2008
Treatment table 39.230 59.520 58.784 61.782 67.415 95.048
General medical supplies and apparatus 17.936 18.131 15.091 14.576 14.219 15.125
Equipment for medical clinic 15.611 18.862 21.379 29.951 28.373 31.687
Anesthesia apparatus 12.529 19.646 22.454 19.942 19.398 26.312
Artificial internal organ apparatus 1.597 2.943 2.917 3.697 4.251 5.635
Radiolgic device 42.042 51.976 72.677 118.074 115.890 139.201
Non-ionization diagnostic device 10.548 6.101 5.730 5.928 5.526 3.200
Radiation & laser protective device 159 122 339 947 652 803
Physical devices for medical use 16.706 204.412 213.889 205.167 223.922 240.961
Cardiovascular devices 10.729 13.582 12.769 14.504 17.272 22.830
Urological devices 3.708 4.373 5.404 5.752 5.755 4.482
Patient transport 8.540 14.059 10.347 10.976 14.110 15.497
Stethoscope 68 391 191 220 226 357
Clinical thermometric system 2.744 4.475 3.864 4.056 4.872 4.540
Medical in vitro testing apparatus 8.454 11.951 14.717 21.561 47.301 59.956
Testing apparatus for Bio-phenomena 157.998 164.178 324.777 351.088 395.369 439.827
Speculums for medical use 5.977 7.124   7.675 7.915 11.305
Surgical operation apparatus 31.189 35.968 66.081 81.905 94.455 97.964
Electro surgical device 6.814 11.376 15.230 16.665 14.907 18.135
Laser apparatus for medical use 8.132 16.395 22.592 41.979 59.901 62.506
Needle for syringe and puncture 19.518 28.202 21.526 18.256 24.142 28.999
Syringes 45.857 68.024 55.422 56.586 51.940 58.629
Infusion instruments 56.312 85.795 87.748 108.882 115.440 130.420
Orthopedic devices 29.395 49.803 46.173 39.131 31.155 28.527
Dental devices 1.283 1.501 2.391 3.743 3.211 3.501
Sight corrective ophthalmic lens 171.676 248.245 201.061 198.261 208.035 222.629
Hearing aid 14.244 15.196 13.941 23.417 25.200 27.874
Acupuncture and moxibustion apparatus 12.834 10.091 8.692 7.237 8.547 11.393
Magnetic induction apparatus for medical use 148.065 6.781 7.202 4.037 4.867 4.111
Medicinal substance-producing equipment 12.487 22.878 42.837 27.795 37.559 40.116
Radiographic supplies - - - - - -
Suture and ligature 10.982 14.870 13.379 18.753 15.319 15.200
Orthopedic materials 28.773 30.104 39.223 50.030 66.320 73.419
Human tissue and organ substitute 14 461 759 768 1.946 3.547
Splints 14.236 16.711 18.436 21.071 22.414 27.299
Test chart for visual acuity and color blindness 1.284 2.070 3.278 2.681 2.216 2.877
Contraceptive device 21.887 22.355 8.793 8.372 8.225 11.178
Surgical supplies 6.539 10.719 14.395 17.345 19.337 23.493
Dental Materials 122.119 179.923 222.552 326.257 430.363 516.601
Total 1.331.338 1.478.165 1.704.160 1.949.159 2.216.965 2.525.202
The production of medical devices in 2008 recorded a 14 percent growth compared to the previous year, recording a total sales volume of USD 2,525,202 million won.
In 1998 A Reduction of Production. By classifying medical instruments into medical supplies and medical machinery in accordance with their product characteristics, the growth trend becomes noticeably apparent in the recent sales performance of electric and electronic medical equipment such as
X-ray and diagnostic imaging instruments.

Export Status / Import Status
(Unit : million won)
  Export Import
Item 2005 2006 2007 2008 2005 2006 2007 2008
Treatment table 6.978 5.772 5.825 7.570 15.916 17.648 17.384 15.063
General medical supplies and apparatus 5.087 5.719 5.999 8.054 17.265 20.315 24.861 18.784
Equipment for medical clinic 6.292 7.996 6.938 10.220 7.644 10.114 9.641 11.360
Anesthesia apparatus 3.353 3.076 4.129 4.797 16.006 16.910 20.788 17.897
Artificial internal organ apparatus - 934 2.866 4.400 107.065 107.055 120.722 124.551
Radiolgic device 26.380 39.853 86.426 86.815 162.127 208.620 272.347 256.073
Non-ionization diagnostic device 807 993 350 4.000 39.336 62.812 77.170 73.631
Radiation & laser protective device 121 407 117 99 187 198 1.068 370
Physical devices for medical use 88.659 113.886 119.674 141.387 43.885 38.737 30.522 28.311
Cardiovascular devices 8.853 9.263 13.693 17.150 15.815 20.882 24.361 26.178
Urological devices 32 176 333 214 5.151 3.898 8.959 4.440
Patient transport 2.260 1.422 1.215 1.014 15.332 18.612 25.796 15.636
Stethoscope 18 115 302 293 523 627 762 711
Clinical thermometric system 1.807 1.173 1.528 625 4.127 4.719 2.367 8.596
Medical in vitro testing apparatus 7.443 18.523 51.846 54.211 69.036 78.355 112.499 107.811
Testing apparatus for Bio-phenomena 275.650 309.463 352.652 375.431 105.315 113.451 125.645 116.624
Speculums for medical use 3.349 4.098 4.216 6.616 39.519 47.080 52.131 46.645
Surgical operation apparatus 31.765 49.539 68.610 71.729 117.947 154.269 170.063 188.662
Electro surgical device 3.925 3.574 3.794 4.778 23.749 30.668 37.373 35.617
Laser apparatus for medical use 7.437 6.609 16.720 23.644 39.786 62.618 62.714 56.571
Needle for syringe and puncture 10.594 8.840 11.632 14.076 13.398 23.577 35.642 38.323
Syringes 32.046 30.591 24.966 26.057 2.224 3.004 4.681 2.229
Infusion instruments 25.980 29.078 30.883 34.872 101.259 118.761 151.385 153.866
Orthopedic devices 12.891 8.224 3.480 2.728 44.977 41.726 63.505 51.972
Dental devices 1.136 1.354 2.169 2.828 10.507 10.405 11.391 7.573
Sight corrective ophthalmic lens 80.153 78.850 106.951 97.499 56.008 68.185 110.180 107.459
Hearing aid 11 5 2 271 2.056 2.564 2.690 3.532
Acupuncture and moxibustion apparatus 1.629 1.708 2.562 2.954 1.415 1.991 2.615 3.617
Magnetic induction apparatus for medical use 587 1.028 973 1.283 76 1.395 54 47
Medicinal substance-producing equipment 3.043 4.790 4.975 7.739 2.270 1.308 881 912
Radiographic supplies 89 124 - - 30.209 31.248 28.828 20.320
Suture and ligature 2.836 2.642 1.581 1.226 18.082 22.852 23.628 24.320
Orthopedic materials 12.298 20.670 24.861 30.967 173.067 227.608 259.541 275.013
Human tissue and organ substitute - 21 636 2.145 35.925 48.475 62.593 73.258
Splints 5.245 6.356 6.382 9.859 1.859 2.572 3.110 2.880
Test chart for visual acuity and color blindness 2.200 2.529 3.131 3.062 574 991 721 645
Contraceptive device 16.307 17.368 12.079 16.658 3.902 3.779 3.404 5.614
Surgical supplies 273 51 1.527 1.735 24.262 32.824 35.547 42.463
Dental Materials 11.499 20.588 46.149 52.999 141.590 138.524 156.352 155.504
Total 699.032 817.409 1.032.172 1.132.005 1.509.415 1.799.377 2.153.921 2.123.076
Korea's exports of medical devices grew rapidly during the latter half of the eighties and continued to grow steadily throughout the nineties.
In 2008, the export volume recorded minus 17 percent growth compared to the previous year.

As of 2007, Testing apparatus for Bio-phenomena became a major export item targeting the markets in the United States, China and Hong Kong and constituted growth 27percent of Korea's total exports of medical devices to overseas.
At the same time, the export of Physical devices for medical use to the United States, Pakistan and Vietnam accounted for growth 27 percent of the total export volume, while Sight corrective ophthalmic lens, exported mainly to Brazil, Spain, and Mexico, constituted 25 percent of the total.

Korea's imports of medical devices also grew rapidly in the latter half of the eighties, and recorded an impressive 17 percent growth rate in 2005 compared to the previous year. Korea's import business continue to experience healthy growth throughout the nineties, but in 1998, the import sector experienced a whopping 41 percent decline in its business volume as a result of Korea's recent economic crisis.
However, Korea's import sector for medical devices has been showing some signs of gradual recovery in 1999 in response to the nation's aggressive recovery efforts.

As of 2005, the United States, Japan and Germany successfully penetrated Korea's market for Testing apparatus for Bio-phenomena.
The imports of these apparatuses accounted for 7 percent of Korea's total import of medical devices. Infusion devices, on the other hand, have been mainly imported from the United States, Switzerland and the United Kingdom, constituting 7 percent of the total import volume.

Finally, imported from the United States, Japan and France, Orthopedic materials accounted for 12percent of the total. while Endoscope from Sweden and Japan constituted growth 1,2percent.

Domestic Market
(Unit : million won)
Category '00 '01 '02 '03 '04 '05 '06 '07 '08
Amount 1.004 1.432 1.640 1.956 2.193 2.445 3.056 3.337 3.516
Change(%) 8 43 15 19 12 11 25 9 5
Domestic market accounted for USD1,004 million in 2000 and continued to grow to reach USD3,516 million in 2008.
In 2008 Domestic maket recorded a 5percent growth compared to th previous year.