A new report on Ireland’s medical device manufacturing sector has found that access to a skilled workforce, economic uncertainties, and sector growth are among the chief concerns for sector participants.
Conducted by Irish Medtech, the trade body representing Ireland’s medtech sector, the report findings were based on responses to an online survey by 800 senior business leaders.
Attracting and retaining a quality workforce was cited by 63% of respondents as a major challenge, with labour costs and housing for employees key associated concerns at 72% and 67% respectively.
The report found business sentiment to be variable. Eight in 10 medtech businesses made a positive assessment of Ireland’s current medical device manufacturing environment, but 33% viewed weaker global growth as the biggest challenge faced. Irish Medtech said the sentiment may explain why 33% highlighted a greater focus on business expansion and 17% towards developing in new markets as priorities for 2025.
While concerns remain for the sector in Ireland, there is plenty of reason for optimism. With 54% of survey respondents actively integrating AI-powered initiatives and 67% planning to expand existing AI initiatives, Irish Medtech highlighted that the EU’s €200bn ($216bn) investment fund, including €20bn ($21.6bn) earmarked for AI gigafactories, represented a “unique opportunity” for Ireland to strengthen its position as a leader in advanced manufacturing and AI moving forward.
To address the concerns and expectations identified in the report, Irish Medtech director Eoghan Ó Faoláin called on the Irish government to focus on four key pillars to ensure sustained growth and development.
Under health and patient access, Ó Faoláin encouraged the implementation of the European Health Data Space (EHDS), an EU regulation intended to establish a common framework for the use and exchange of electronic health data across the EU, and the expansion of clinical research capabilities.
Regarding enterprise and innovation, and sustainability and environmental issues, he called on the government to “embrace” advanced manufacturing, support a circular economy, and invest in sustainable infrastructure.
To meet the foremost concerns reflected in the report findings around talent, the final pillar surrounded education, skills, and talent, with the government advised to support apprenticeship programmes, “promote lifelong learning”, and advance gender leadership in the sector.
“As global economic dynamics shift, Ireland’s strong domestic demand for infrastructure, goods, and services provides a foundation for resilience,” said Ó Faoláin.