Medical Devices: China MedTech Reimbursement call takeaways

Research evidence excerpt

Medical Devices: China MedTech Reimbursement call takeaways

Idea

May 12, 2026 03:30 AM GMT

Morgan Stanley & Co. International plc+MMedical Devices | Europe Aisyah Noor

Equity Analyst

China MedTech Reimbursement Aisyah.Noor@morganstanley.comMorgan Stanley Asia Limited+ +44 20 7425-6177

Alexis Yan, CFA

Equity Analystcall takeaways Alexis.Yan@morganstanley.com +852 2239-7953

Clinton Ng

We summarize key takes from our May 8 investor call discussing Equity Analyst

Clinton.Ng@morganstanley.com +852 2848-6659

recent reimbursement developments in China and implications

Morgan Stanley & Co. International plc+

for European and China MedTech. Alejandra Galindez

Research Associate

Hospital capex and China equipment tenders declined by low-teens% y/y, Alejandra.Galindez@morganstanley.com +44 20 7677-2699

according to Joinchain data (an independent third-party consultancy for medtech),

Medical Devices

mainly due to tough comps (1Q25 tenders were up c.65%). Weakness remains Europe

concentrated in lower-ASP categories such as ultrasound, patient monitoring, and Industry View In-Line

life support, where channel inventory continues to be a challenge (Mindray

takeaways). In contrast, high-end imaging and radiotherapy continued to see healthy

growth (United Imaging takeaways). Importantly, the policy environment remained

largely stable YTD, and we remain cautiously optimistic on a back-loaded recovery

for China medtech industry for 2026 (China hospital survey).

EU MedTech performance in China remains mixed. Philips continues to expect

stable China sales in 2026, following resilience in Personal Health and modest

declines in D&T in 1Q. Siemens Healthineers indicated slight growth in Imaging in

China. However, diagnostics remained weak, with SHL reporting a double-digit