Sourcing and Manufacturing Medical Products in Asia

Our experienced specialists can help you find the most qualified Asian suppliers for your medical products.

Sourcing and Manufacturing Medical Products in AsiaAsia has become the chief manufacturing center of the world for medical devices, components, pharmaceuticals, and active pharmaceutical ingredients (APIs). However, searching for a qualified manufacturing facility for your medical product in Asia is not an easy task. Extensive screenings of potential suppliers and stringent due diligence is necessary to ensure that you find a capable, trustworthy supplier.

Pacific Bridge Medical can help you locate and qualify supplier candidates, conduct due diligence, ensure compliance with local standards, and more. We can even act as your supply chain management consultant.

Our services to assist you in importing from Asia include:

  • Determining the best Asian country to source products from
    China and India are powerhouses for sourcing or manufacturing medical products. Vietnam is also a low cost country that is developing quickly. In some cases, India and Vietnam can offer costs as low as half of China’s. We will conduct an in-depth assessment of the client’s product and needs in order to determine the most strategic and cost-effective Asian country to source from.
  • Identifying, contacting, and building relationships with Asian suppliers
    We will correspond and negotiate with potential suppliers on the client’s behalf as needed, and set up with meetings between the client and the most qualified candidates.
  • Providing a detailed supplier report
    We will submit a detailed report summarizing each supplier’s capabilities and ability to make the required medical products, and will discuss the report with the client and answer any follow-up questions.
  • Conduct quality audits at the manufacturing facilities
    Our on-the-ground teams in Asia will perform on-site quality audits to ensure that the Asian manufacturers are in compliance with local and international standards. For example, we will look for the appropriate GMP or ISO licenses at each of the Asian factories.
  • Conclude a sourcing agreement
    We will assist the client with negotiating a sourcing agreement. After the agreement is signed, we will monitor the manufacturing and sourcing process to ensure that the products are properly manufactured and meet all of the client’s expectations. If needed, we can also manage the supply chain.

Whether you need quality auditing, supply chain management, or any kind of consulting on sourcing and manufacturing medical products in Asia, our consulting team is here to help. Contact us today to discuss your specific needs, or select your target market for more detailed information.

Select your target market

Sourcing and Manufacturing Medical Products in China

China has become a key global site for medical device, pharmaceutical, and API sourcing and manufacturing. This is a function of its relatively low costs, huge industrial base, and large foreign investment. There are two key reasons why Western medical companies currently source and manufacture their products in China: 1) to reduce the cost of components, API’s, and finished medical products; and 2) to make or source medical products for sale in the expanding domestic Chinese market.

However, there are some common issues associated with sourcing and manufacturing in China that can make the process challenging:

  • Fast economic development is rapidly changing the country.
    Medical manufacturing costs are increasing dramatically in the key coastal urban areas, such as the Pearl River Delta in Guangdong and the greater Shanghai area. To deal with this, some foreign and Chinese medical manufacturers are moving their factories farther inland to less developed parts of China, while other factories are staying put and moving up the value chain by manufacturing more sophisticated medical products.
  • The research and fieldwork involved can be complex and time-consuming.
    Finding the right factories and subcontractors and/or setting up your own local facilities takes a great deal of patience and due diligence.
  • Finding quality, honest, and reliable suppliers can be difficult.
    Ensuring that your suppliers in China are reliable and have quality systems based on international standards is not an easy process. In China, suppliers and manufacturers are notorious for taking advantage of Western medical companies who are not familiar with Chinese business practices or know little about the China market. Chinese suppliers and manufacturers have been known to exude unethical practices. For example, if you assist a Chinese supplier with improving their manufacturing processes, you must ensure they will not replicate and sell products to your competitors later on.

Sourcing and Manufacturing Medical Products in India

India is becoming a more attractive country to source and manufacture medical products. Technical and quality standards are improving quickly. Medical products made in India are oftentimes cheaper than comparable products made in China. India also has over 100 FDA-approved drug factories. Additionally, more and more Class I and II medical devices are being made in India, and API sourcing is growing very quickly as well. Today there are a number of Western medical companies sourcing and manufacturing their products in India in order to reduce costs and target the growing domestic Indian market.

In searching for the best facilities to manufacture your medical products in India, be sure to keep these points in mind:

  • Dependable manufacturers can sometimes be difficult to find.
    It may take a great deal of time and effort to locate Indian manufacturers that are capable, reliable, and have quality systems that are up to international standards. Having local assistance in your manufacturer search can help solidify a relationship with a factory or subcontractor to guarantee that you will get precisely the service that you need.
  • Trying to reform manufacturing processes overseas can pose potential threats.
    If you help the supplier improve their manufacturing processes so you can import a better medical device product, how can you be sure that manufacturer will not also sell such products to your competitors? Security of intellectual property and loyalty of the producer can be uncertain in India, where this practice is prevalent.  This can come at a huge expense for foreign medical companies. Our team of experts can help your company feel safe about your operations in India because we have helped so many others overcome these same issues.

Sourcing and Manufacturing Medical Products in Vietnam

Vietnam is often referred to as the “next China,” with many similarities to China’s economy ten years ago. Costs tend to be significantly lower in Vietnam compared to China; as a result, some international medical firms are moving medical product sourcing and production from China to Vietnam. The success of medical product sourcing and manufacturing in Vietnam will be a function of how quickly international quality standards can be met. Nowadays, there are many Western medical companies sourcing and manufacturing their products in Vietnam. The reason for this is twofold; the first reason is to reduce the cost of components and finished medical device products, and the second is to make or source medical products for sale in the emerging domestic Vietnamese market.

When setting up your manufacturing business in Vietnam, it is important to take into consideration a few things that may make operations a little rocky:

  • Vietnam’s quality systems are often not up to standards.
    Although costs are lower in Vietnam, the production quality should not be compromised. In general, Vietnam’s quality standards are not as developed as China’s. However, that’s where we come in. Our team on the ground in Vietnam can help assure that your company is working with a manufacturer who will provide you with exceptional service.
  • Finding the right manufacturer for your particular medical product can be complicated.
    We understand that whenever you decide to go overseas, a lot of time and effort is spent on selecting the right manufacturers.  Even so, how do you know if this is the right one for your business? Making sure that your source is efficient, legitimate, and responsible are crucial ingredients for success.

Sourcing and Manufacturing Medical Products in Other Southeast Asian Countries

Indonesia, Malaysia, the Philippines, and Thailand

Other Asian countries in Southeast Asia are also low-cost centers for sourcing and manufacturing medical products. Although costs in these ASEAN countries are generally higher than costs in India and Vietnam, there are various reasons international firms choose to source or manufacture medical products in these countries. Such reasons may include more sophisticated manufacturing environments and better intellectual property protection.

To ensure that you are getting the most out of manufacturing or sourcing in these Southeast Asian countries, there are various challenges that may require a certain expertise. For example, you may question:

  • How do I know if the supplier is honest and trustworthy?
  • Are my products being made at international quality standards?
  • How do I deal with copying and competition?

Pacific Bridge Medical can help you secure a competitive manufacturer, make sure the products made meet your specifications, and help protect your intellectual property.

Pacific Bridge Medical’s local offices in Asia can assist your company in finding experienced, reliable, Asian medical manufacturers for long-term sourcing and manufacturing partnerships. We also have the expertise to help you set up your own wholly owned greenfield factory for medical products in the Asian countries. For a free consultation with our sourcing experts, contact us.

Need more information?

Visit our Resource Center to view free webcasts and charts or read publications, news, and research reports on the Asia medical markets.