Korea's health industry exports up 12.6% to $5.93 billion in Q1

The health industry’s exports reached $5.93 billion in the first quarter of this year, up 12.6 percent year over year. Exports of medicine increased, led by biopharmaceuticals, but those of medical devices declined.

The Korea Health Industry Development Institute (KHIDI) released the export statistics of the health industry, including pharmaceuticals, medical devices, and cosmetics, for the first quarter of 2024 on Tuesday.

According to the report, health industry exports totaled $5.93 billion in the first quarter of 2024, up 12.6 percent from a year earlier.

By sector, pharmaceuticals amounted to $2.18 billion, up 14.4 percent year-on-year, while medical devices amounted to $1.46 billion, down 1.3 percent.

More specifically, exports of pharmaceuticals and cosmetics increased due to the increase of shipments to the United States, led by biopharmaceuticals and basic makeup products. In contrast, medical device exports decreased yearly due to a decrease in exports of in vitro diagnostic devices.

Biopharmaceutical exports, which accounted for about 58.8 percent of total medicinal product exports, reached $1.28 billion, up 28.3 percent from a year ago. This marked the highest quarterly performance on record, with shipments to the United States and the United Kingdom growing especially steeply.

On the other hand, exports of toxins and toxoids, which showed the highest export growth rate in 2023, increased mainly in China and the U.S. but declined in Brazil and Thailand, showing a slight increase overall.

In the medical device sector, exports of dental implants and radiographic devices rose, but shipments of in vitro diagnostic devices fell, resulting in a 1.3 percent year-on-year drop in medical device exports to $1.46 billion in the first quarter.

In particular, exports of in vitro diagnostic devices declined due to the Covid-19 pandemic’s weakening to an endemic, especially in America.

“In the first quarter of 2024, health industry exports are on the rise, centered on cosmetics and pharmaceuticals, and exports of in vitro diagnostic devices are expected to increase further as exports have turned positive since March,” said Lee Byung-kwan, head of the Biohealth Innovation Planning Group at the KHIDI.

Lee added that multifaceted efforts are needed to spur the resurgent health industry exports and further develop the health industry as the nation’s major future growth engine.