Medical Devices is one of the leading sectors in the Israeli industry. The local market is characterized by a wide range of activities in the field of research and development, as well as the export of a variety of medical devices. Over 800 Israeli companies engage in this sector, representing approximately 70% of all companies active in the life sciences industry. In addition, the average of Israeli patents confirmed in the US stands at 51 per a million residents in 2013, a higher figure than many other leading countries in the world. This field is an advanced manufacturing field by definition, given the accuracy and quality standards that are required in many countries for regulatory reasons.
The Japanese market has great potential from the medical device sector perspective. This market is the second largest in the world, after the United States; its value is estimated at $26 billion as of 2016. In addition, in light of the continuing increase in rates of aging populations and the increase in the percentage of patients with chronic diseases, it seems that in the coming years we will witness an increase of interest and demand in the Japanese market around medical equipment for pain relief, preventive medical equipment, equipment that supports and improves quality of life, domestic medical equipment technology and equipment in the field of Telemedicine (Health IT). In addition, Japan is home to many leading companies in this field such as Terumo, NIPRO, Olympus medical Systems, Toshiba medical Systems, Hitachi Medico, Nihon Koden, and Fukuda Denshi.
But it’s not just data: Japanese life sciences companies have already expressed an active interest in Israeli innovation. In the medical devices sector, a particularly notable investment is that of the Japanese robotics company Yaskawa, which invested in Israeli ReWalk, which manufactures a robotic framework for the physically disabled. At the end of 2013 the company took part in ReWalk’s investment round totaling $ 17 million, a year before its Nasdaq IPO. It was recently reported that the company is currently setting up a fund worth tens of millions of dollars to invest in Israeli startups in a number of fields that are also related to advanced manufacturing.
This investment is a great example of cooperation between a major Japanese company and an innovative Israeli company in the field of medical devices. The great potential of cooperation between these two countries in this sector has definitely not been realized yet, so there is much to look forward to.
Invest in Israel will hold two investments conferences in Japan on March 8 (Tokyo) and March 9 (Osaka). Come hear why Israel is your next best opportunity!