2025 Forecast: Emerging Trends in Medical Device Markets

It’s often said that “the only constant in life is change,” which is certainly true for the Latin American healthcare landscape in 2025 and beyond. Emerging markets are undergoing a profound transformation, driven by a combination of technological innovation, demographic shifts, economic development, and policy reforms. 

As we look further into 2025, several key trends are shaping the future of healthcare in these regions, offering both challenges and opportunities for medical device manufacturers and other stakeholders across the industry. Understanding these trends is crucial for anyone involved in the global healthcare ecosystem.

In this forecast, we’ll review some of the developing trends in the healthcare market, followed by global economic shifts that will have a significant impact on the macro healthcare context. Finally, we’ll analyze all the impact of these trends, so you’ll know how to plan your business strategy for success in 2025 and beyond. First, let’s look at how healthcare is changing.

Developing Trends In Healthcare

Device manufacturers know that healthcare is constantly in flux due to changes in population health, emerging technologies, and shifting regulations. As healthcare settles into the post-COVID normal, 2025 is no different regarding these changes. We’ve identified a few trends to keep an eye on for this year and beyond.

1. Expansion of Digital Health Solutions

The adoption of digital health technologies is growing rapidly in emerging markets, driven by increasing mobile phone use and improving internet access. Telemedicine, electronic health records (EHR), and mobile health applications are becoming integral to healthcare systems, enabling better access to care, especially in remote areas. By 2025, telemedicine will be a mainstream option for non-emergency consultations and diagnostics, offering specialized care where infrastructure is limited. Additionally, mobile apps and wearables will help manage chronic conditions like diabetes and cardiovascular diseases, creating growth opportunities for medical device manufacturers. AI-powered diagnostic tools will also become more prevalent, enhancing the accessibility and accuracy of healthcare.

2. Increased Focus on Preventive Healthcare

There is a noticeable shift in emerging markets from reactive to proactive healthcare models. As chronic diseases like diabetes, heart disease, and respiratory conditions become more common, there is an increasing emphasis on prevention, including screenings, vaccinations, and health education. Medical device manufacturers are responding by developing more accessible diagnostic tools for early detection, such as handheld ultrasound machines and portable ECG monitors. Wearables that track activity, nutrition, and vital signs are also helping individuals monitor their health and prevent chronic conditions, creating new business opportunities.

3. The Need for Solutions to Treat the Aging Population

The aging population in many emerging markets is increasing rapidly, with a significant rise in chronic conditions requiring long-term care. By 2025, the number of people over 60 in developing nations will double. This demographic shift is creating demand for medical devices that cater to older adults, such as mobility aids, hearing aids, and fall-detection systems. Manufacturers will need to design user-friendly, intuitive products that can improve the quality of life for elderly individuals, making this a crucial area for innovation.

4. Rise of Public-Private Partnerships

To address the healthcare needs of expanding populations, governments in emerging markets are increasingly turning to public-private partnerships (PPPs). These collaborations allow for resource pooling and expertise sharing, improving healthcare delivery while controlling costs. In 2025, PPPs will become even more prominent, especially in the distribution of advanced medical devices and the implementation of digital health solutions. This trend is particularly important in low-resource settings where private companies can bring innovation to public healthcare infrastructure.

5. Expansion of Health Insurance and Financing Models

The growing middle class and economic development in emerging markets are driving a rise in demand for health insurance. By 2025, it is expected that health insurance penetration will increase significantly, improving access to healthcare services. New financing models, such as microinsurance and pay-as-you-go plans, are emerging to make healthcare more affordable for lower-income individuals. These models will increase the market for medical devices as more people can afford advanced diagnostics, treatments, and surgeries.

The Global Economy’s Impact on Healthcare

Just as more specific changes to healthcare technologies, regulations, and medical conditions are driving the emerging trends in the industry, so are larger global economic patterns. For example, worldwide issues related to the supply chain, currency strength, and foreign competitors will play a pivotal role in how device manufacturers will want to strategize for serving emerging markets in the years ahead.

1. Supply Chain Disruptions

The COVID-19 pandemic exposed vulnerabilities in global supply chains, highlighting the dependency of the healthcare industry on a global network of suppliers. The current geopolitical climate, including trade tensions and protective tariffs, is likely to disrupt these supply chains further. Medical device manufacturers will face challenges in managing costs and ensuring a steady supply of materials, particularly as tariffs and trade disputes create additional hurdles.

2. The Continuing Strength of the Dollar 

The US dollar’s strength, driven by factors like inflation and interest rates, will pose challenges for medical device manufacturers in emerging markets. With many devices in Latin America imported from North America or Europe, a strong dollar will make these products more expensive. This could squeeze margins and make it harder for manufacturers to achieve their sales targets. Emerging markets may see their healthcare markets grow in local currency terms but decline when measured in US dollars.

3. The Growing Role of China

China's economic challenges, coupled with trade tensions with the United States, will have a significant impact on emerging markets. As Chinese manufacturers flood global markets with subsidized products, medical device companies may struggle to compete, especially in sectors where China has an established production base. Rising tariffs and price increases for imported materials could raise production costs and stifle innovation. However, some emerging markets might benefit from the shift in global supply chains away from China, providing new opportunities for local manufacturing and foreign investment.

4. Tensions South of the Border

The relationship between the United States and Mexico is expected to remain strained under the Trump administration, particularly with threats of significant tariffs on Mexican goods. This could affect the competitiveness of medical devices made in Mexico, especially in the US market. Additionally, political instability in Mexico may deter foreign investment in the healthcare sector, potentially slowing the growth of medical device manufacturing in the region. However, Mexico’s favorable demographics and low labor costs could make it an attractive location for nearshoring production, particularly as companies seek alternatives to China.

How Manufacturers Can Respond to These Trends

As we enter 2025 and beyond, emerging markets will continue to be at the forefront of healthcare adaptation. The trends outlined above are not just reshaping healthcare systems, they are opening exciting opportunities for medical device manufacturers to provide solutions that address the unique challenges of these regions. From digital health solutions to the rising demand for preventive care and chronic disease management, the future of healthcare in emerging markets is bright — and the companies that can adapt to these trends will play a crucial role in shaping that future.

Of course, with these opportunities come great challenges from shifting currents in the global economy. The continued prominence of China and other Asian companies in the market, the economic hurdles of the new US administration, and the lingering supply chain issues will have an impact on sales throughout Latin America and other emerging markets. 

The companies that are best positioned for success are those that are aware of these potential risks and have contingency plans in place to turn them into business advantages rather than liabilities. For example, China may face some challenges in the years ahead due to potential tariffs or trade disputes that could offer advantages to manufacturers in other regions. Manufacturers will need to be agile to navigate the choppy waters ahead, but there’s no question that great opportunities exist as healthcare needs and access explode across the region in the coming years.

The next decade promises to be a period of remarkable change, one where emerging markets take significant steps toward improving health outcomes for millions of people. For those in the medical device industry, it is an opportunity to be part of this transformation, driving innovation and making healthcare more accessible, affordable, and effective for populations in need.