Though Still Dominant, U.S. Share of Spinal Market Slipping

According to estimates from London, England-based market research firm GlobalData, the spinal fusion market in 2013 was valued at $4.78 billion across the 10 regions—the United States, France, Germany, Italy, Spain, the United Kingdom, Japan, Brazil, India and China.

By the end of the forecast period in 2020, sales will have grown to $6.98 billion, with a compound annual growth rate (CAGR) of 5.58 percent.

GlobalData forecasts that the United States will continue to occupy the majority of the global spinal fusion market through 2020, though U.S. dominance in the market will decline from 71 percent in 2013 to 63 percent in 2020, analysts predict. It will also experience one of the lowest CAGRs over the forecast given how mature the market is in the country and newly enacted reimbursement hurdles from public health payers.

Like other medical device markets, emerging economies will be a source of large growth rates. For example, China will experience double-digit growth through 2020 and this will increase its global market share from 5 percent in 2013 to 10 percent in 2020. Additionally, select established economies in the European Union will experience large growth rates over the forecast period including the United Kingdom and Italy. The primary reason for their growth is the increasing procedure volumes for spinal fusion surgeries owing to favorable reimbursement levels and patients’ willingness to undergo surgery with minimally invasive techniques.

One of the major barriers affecting the spinal fusion market in the United States is the increasing public payer scrutiny of the procedure being overused. Medicare has made its criteria for reimbursement much more stringent.