Medical Coveralls

Medical Coveralls Global Market Outlook:

MARKET OVERVIEW

Global market size: $1.3 billion (2021)

Expected to grow at a CAGR of 6 percent.

Key End-use Industries
Pharmaceuticals, healthcare (major market share), and chemicals

Market Trends
The emergence of new health threats: COVID-19, A(H1N1), SARS, bird flu, Ebola, H3N2, etc.

Stringent regulations for making coveralls mandatory for workers’ safety

• The global medical coveralls market was valued at $1.3 billion in 2021 and is expected to reach $2.6 billion by 2031, growing at a CAGR of 6–6.5 percent during the forecast period 2022–2031

• The coveralls market is majorly driven by the health care professionals that used these products daily for attending patients or performing surgeries

Global Coveralls Suppliers

• The global medical coveralls market was valued at $1,325 million in 2021, growing at a CAGR of 6.5 percent during the forecast period 2022–2025

• Advanced markets, like North America and Europe, collectively account for about 70 percent of global coveralls consumption, due to the high demand for these products in many industries

• According to the model developed by WHO, coveralls requirement of healthcare workers during the pandemic was ~30 million every month

• With a gap in demand–supply chain, many new players from developing regions, like India and China, are entering the market

• DuPont, 3M Company, Honeywell International Inc. are three major producers in North America

Cost Structure And Analysis : Medical Coveralls

• Increase in demand of the coveralls during COVID-19 pandemic resulted in the supply disruption

• The major supplier of raw materials for coveralls is China

• China accounted for more than 50 percent of global exports Growing demand and unavailability of raw materials will increase the cost of procurement

• Export ban in many countries further increased the demand–supply gap, due to which cost of manufacturing of the coveralls has increased

Porter's Analysis on Medical Coveralls

Coveralls is an essential part of the personal protective equipment in the medical sector. Various countries have also made it mandatory for healthcare professionals to use coveralls, which is expected to further drive the demand.

Supplier Power

• Fragmented Market: The supplier market for coveralls is fragmented due to the presence of various players from the low-cost countries.

• Coveralls demand is higher than supply however due to the regulatory measures, suppliers are having low or medium bargaining power in the coverall market.

Barriers to New Entrants

• Regulated Industry : The market is a highly capital intensive and regulated, so barriers to entry are higher.

• However, the recent outbreak of coronavirus opens high potential opportunities for new players to enter the market due to the huge demand and support from regulatory bodies to boost the production.

Intensity of Rivalry

• The supplier base is highly fragmented with more players entering the market due to the recent virus outbreak.

• Manufacturers are also continuously expanding capacity by introducing additional production lines to cater to the demand, however the expensive machinery and expertise required in making the coveralls make it a competition intense market.

• The above trends leave the intensity of the rivalry as high among suppliers.

Threat of Substitutes

• The coveralls used in medical industries are mostly manufactured by the guidelines issued by the regulatory authorities and are allowed in the market only after approval.

• Raw materials are crucial for differentiating the purpose of different coveralls.

• Therefore, threat of a substitute is low in terms of the specific coverall market, however new technologies and innovations by top players can be considered as a threat to current low key market players.

Buyer Power

• The gap in supply-demand along with the absence of sufficient options results in less buyer bargaining power.

• Due to the outbreak, the demand for coveralls has increased, however due to low availability, buyers are having very less or no option.

• Buyers are having low to medium bargaining power due to this demand supply gap issue.