Medical Devices Industry Analysis
Michigan's medical devices industry is robust and growing, with the state ranked as one of the top ten medical device sectors in the US, while Michigan-based medical devices companies continue to invest and expand their footprint in the state as well as nationally. Michigan's foothold in the industry and trend of growth in the medical devices sector overall are bolstered by the state's array of unique resources, ranging from established research and education institutions, to strong employment conditions, with Michigan serving as residence to the largest group of skilled engineers in the US.
MICHIGAN MEDICAL DEVICES INDUSTRY
- The state of Michigan is currently host to more than 500 manufacturers of medical devices and 14,000 medical device manufacturing facilities, making the state one of the top ten medical device sectors in the US.
- Michigan's medical devices industry also employs approximately 11,600 individuals, with a total employment impact of over 29,000 jobs, and a "more than $14 billion" impact on the local economy.
- Although Michigan may be best known for its longstanding dominance in automotive manufacturing, the state has a similarly "long and rich history" of manufacturing for devices and equipment, beginning in 1941, and has expanded its manufacturing industry "faster" than all other US states.
- Specifically within the state of Michigan, West Michigan is currently the leader of the state's medical device manufacturing, with the area home to the "highest concentration" of medical device manufacturers in Michigan and over 20% of the state's "medical device professionals" while also representing one of the "fastest growing medical clusters" across the entire Midwest.
- One factor influencing Michigan's overall competitiveness in the medical devices industry is the state's proximity to Canada, with Michigan located less than 500 miles from "almost half" of the "US and Canadian markets."
- Additionally, Michigan is able to uniquely leverage the expertise of researchers at Michigan State University and the University of Michigan, as well as material research insights from Lightweight Innovations for Tomorrow (LIFT) and the Institute for Advanced Composites Manufacturing Innovation (IACMI), both "national centers of manufacturing innovation" located within the state's borders.
- Similarly, medical device manufacturers benefit from other state organizations including MiDevice, MedHealth and MichBio.
- For example, Michigan-based medical technologies corporation, Stryker Corporation, recently announced a new $109 million investment to "expand its manufacturing" of medical devices in Portage, Michigan by 2025.
- Stryker's move followed a previous $130 million investment in Portage in early 2017, similarly aimed at developing its "instruments division" in Michigan.
- Moreover, Michigan-based medical devices companies continue to expand their reach, with Stryker Corp looking to purchase Massachusetts-based Boston Scientific Corp.
- Michigan is able to remain competitive in attracting medical device manufacturers due to its "highly skilled workforce," with more engineers than any other state at 123,000, as well as over 245,000 workers with skilled trades.
- These forces, among others, are supporting a trend of continued growth and investment in Michigan's medical devices industry.
- Also, there has been a growing trend of venture backed investments in Michigan based startups over the past 5 years. "Michigan is home to 141 venture-backed startups, a 70 percent increase."
- In parallel, Michigan "biosciences industry trade organization," MichBio, launched its first "Medical Device Summit" in Michigan this past May of 2019, yet another indication of Michigan's continued commitment and growth in the area of medical device manufacturing.