Low-Cost ASEAN Medical Device Imports Raise Concerns for Indian Manufacturers

August 3, 2026

Indian medical device manufacturers are raising concerns over a 14% increase in imports from ASEAN countries, which reached nearly Rs 13,000 crore in FY25-26. The influx of low-priced medical products, including dialysis equipment, syringes, gloves, and imaging devices, is creating significant competition for domestic companies that have made investments under the government’s Production Linked Incentive (PLI) scheme.

What Happened

A recent anti-dumping investigation into dialyser imports from China and Malaysia has highlighted the challenges faced by local producers. Industry leaders and experts report that products originating from China are increasingly being routed through ASEAN nations to take advantage of zero-duty access under the Free Trade Agreement (FTA). Over the past two years, imports of renal care dialysers from Malaysia and China doubled to reach Rs 256 crore.

Key Highlights

Imports from ASEAN rose by 14% to nearly Rs 13,000 crore in FY25-26, covering items like syringes, medical gloves, dialysis products, consumables, and X-ray machines.
Dialyser imports from China and Malaysia doubled over two years to Rs 256 crore, triggering an anti-dumping investigation.
Industry representatives report that Chinese products are taking advantage of zero-tariff entry via ASEAN free trade arrangements.
Domestic companies that invested in local manufacturing under the Production Linked Incentive (PLI) scheme are finding it difficult to remain competitive against depressed import prices.
Cheaper imported disposables and equipment put local producers at a disadvantage in government tenders, which prioritize the lowest price.

Why This Matters

The influx of low-cost imports directly impacts domestic companies that have invested in local manufacturing, research, and quality standards under the government’s PLI scheme. Industry representatives note that artificially lower import prices reduce the ability of local manufacturers to recover their investments or commit to further expansion. Furthermore, low prices make it difficult for domestic manufacturers to compete in government procurement tenders that rely heavily on lowest-price evaluation. In imaging equipment, key components like X-ray tubes and flat-panel detectors remain largely imported, making scaling indigenous production challenging when facing low-priced finished goods imports.

What to Watch Next

Industry stakeholders, including representatives from the Association of Indian Medical Device Industry (AiMeD) and individual manufacturing firms, have urged the government to tighten rules of origin and renegotiate terms under the ASEAN Free Trade Agreement. The ongoing anti-dumping investigation regarding dialyser imports will also be monitored to determine potential policy or duty adjustments.

Frequently Asked Questions

Why are medical device imports from ASEAN increasing?

Imports have surged partly due to zero-duty benefits provided under the ASEAN Free Trade Agreement, with industry representatives reporting that Chinese-origin goods are being routed through ASEAN countries.

How are domestic manufacturers under the PLI scheme affected?

Depressed prices from low-cost imports make it difficult for Indian manufacturers to compete fairly in the market, causing hesitation among companies regarding future investments under the PLI scheme.

Which medical products are most affected by these imports?

Products affected include dialysers, syringes, surgical gloves, consumables, and imaging equipment such as X-ray machines.

Source: Times of India