USA Durable Medical Equipment Market Outlook to 2030

USA Durable Medical Equipment Market Overview

• USA Durable Medical Equipment (DME) market size reached USD 113 billion, driven by an aging population, increased prevalence of chronic diseases, and rising demand for home healthcare services. The market's expansion reflects a combination of technological advancements, increased healthcare spending, and a broader acceptance of DME in managing long-term care.
• The USA DME market is dominated by several key players, including Medtronic, Inc., Invacare Corporation, Hill-Rom Holdings, Inc., and Drive DeVilbiss Healthcare. These companies play a crucial role in market growth by continually innovating and expanding their product portfolios to meet the evolving needs of healthcare providers and patients.
• In 2023, Medtronic announced plans to expand its research and development operations in Hyderabad, India with $350 million investment. This investment will build on Medtronic's existing $160 million investment in the Medtronic Engineering & Innovation Center (MEIC) in Hyderabad, which already serves as the company's largest R&D facility outside the United States.
• Major cities such as New York, Los Angeles, and Chicago dominate the USA DME market due to their large populations, extensive healthcare facilities, and high concentration of elderly residents. These urban centers have a significant demand for DME, driven by both the volume of patients and the advanced healthcare infrastructure available, which supports a wide range of durable medical equipment needs.

USA Durable Medical Equipment Market Segmentation

The USA Durable Medical Equipment Market can be segmented based on several factors:

By Product Type: USA Durable Medical Equipment Market is segmented by product type into mobility aids, bathroom safety devices, and respiratory equipment. In 2023, mobility aids dominated the market share due to the increasing aging population requiring wheelchairs, walkers, and scooters for enhanced mobility.

By End-User: USA Durable Medical Equipment Market is segmented by end-user into hospitals, home healthcare, and ambulatory surgical centers. Home healthcare has a dominant market share in 2023, driven by the increasing preference for home-based care due to the convenience and comfort it offers to patients, especially the elderly.

By Region: USA Durable Medical Equipment is segmented by region into North, East, South, and West. The South region dominates the market share in 2023, primarily due to its large population, higher incidence of chronic conditions like diabetes and cardiovascular diseases, and increased government funding for healthcare facilities.

USA Durable Medical Equipment Market Competitive Landscape

• ResMed Inc.: In 2024, ResMed Inc. launched a new line of sleep apnea devices, targeting both the hospital and home healthcare segments. This development was aimed at addressing the growing demand for home-based respiratory care equipment. This strategic move aligns with their ongoing commitment to innovation in sleep apnea and respiratory care products, as well as the growing trend towards out-of-hospital care settings.
• Stryker & Project C.U.R.E.: In 2024, Stryker partnered with Project C.U.R.E., the world's largest distributor of donated medical equipment and supplies, to donate medical equipment and supplies to under-resourced countries since 2007. This partnership demonstrates Stryker's commitment to advancing access to healthcare and healthcare technology globally.

USA Durable Medical Equipment Industry Analysis

Growth Drivers

• Rising Prevalence of Chronic Diseases: The increasing prevalence of chronic diseases such as diabetes, heart disease, and respiratory disorders is significantly driving the demand for durable medical equipment in the USA. In 2022, more than 29 million adults were reported to be suffering from three or more chronic conditions. These chronic conditions require long-term care and the use of various durable medical devices, contributing to the market's growth.
• Aging Population and Increased Life Expectancy: The growing elderly population in the USA is a major driver for the DME market. As of 2022, nearly58 million adults aged 65 and abovereside in the U.S., making up 17.3%of the total population. The elderly population is more prone to chronic conditions and disabilities, which require the use of durable medical equipment to enhance mobility, ensure safety, and improve quality of life, thereby driving market expansion.
• Expansion of Home Healthcare Services: The shift towards home healthcare services has been a significant driver of the DME market. Medicare and Medicaid play a crucial role in making DME more accessible. For example, Medicare covers a wide range of DME products, which helps defray costs for elderly patients and those with disabilities, thereby facilitating the transition to home healthcare settings. The demand for home-based medical care has increased the need for home-use DME such as hospital beds, portable oxygen concentrators, and home dialysis machines.

Market Challenges

• Stringent Regulatory Framework: The Food and Drug Administration (FDA) imposes rigorous standards on the approval and post-market surveillance of DME products. These regulations are necessary to ensure patient safety but can delay product launches and increase compliance costs for companies, posing a challenge for market players.
• Supply Chain Disruptions and Raw Material Shortages: The DME market in the USA has been impacted by supply chain disruptions and shortages of raw materials. These shortages have led to increased production costs and delays in product deliveries, hindering the ability of manufacturers to meet the growing demand.

Government Initiatives

• American Rescue Plan Act (ARPA) of 2021: The American Rescue Plan Act (ARPA) of 2021 is a significant economic stimulus bill aimed at addressing the ongoing impacts of the COVID-19 pandemic. The ARPA is valued at $30.5 billion and aims to reduce out-of-pocket expenses for patients and encourage the adoption of DME for home care, thereby boosting the market.
• FDAs Digital Health Innovation Action Plan (2024): The FDA's Digital Health Innovation Action Plan (2024) outlines a comprehensive strategy to enhance the regulation and oversight of digital health technologies. It aims to include guidance that clarifies the medical software provisions established by the 21st Century Cures Act to streamline the regulatory process for digital health products, particularly those that are lower-risk and do not require extensive pre-market review.

USA Durable Medical Equipment Future Market Outlook

USA Durable Medical Equipment Market is projected to witness significant growth by 2028, driven by an aging population, rising prevalence of chronic diseases, and advancements in medical technology. The market is expected to benefit from government initiatives aimed at improving healthcare infrastructure and expanding insurance coverage for essential medical equipment.

Future Trends

• Integration of Digital Health Technologies: In the next five years, the integration of digital health technologies into durable medical equipment is expected to revolutionize the market. Devices like smart wheelchairs with GPS tracking and home monitoring systems with real-time health data analytics will become more prevalent.
• Growing Demand for Home-Based Care Solutions: The trend towards home-based care is anticipated to continue, with an increasing number of patients opting for treatment in the comfort of their homes. This shift will drive the demand for portable and user-friendly durable medical equipment, such as home oxygen therapy devices and patient lifts.