Australian Hospital Medical Equipment
Australia has a sophisticated and mature healthcare system, funded through a combination of public and private sectors. Australia’s hospital services are delivered by both public and private hospitals and the quality of care provided is high across both systems. More than half (54.6%) of Australians have private health insurance, which supports strong demand in the private hospital market.
Public hospitals are owned and operated by state governments while private hospitals are run by for-profit and not-for profit organizations. Public hospital care is free for public patients who are treated by available doctors and receive follow-up care through outpatient clinics. However, wait times for elective procedures can be significant.
Private hospitals charge for their services with costs typically covered by a mix of private health insurance, patient out-of-pocket payments, and state government contracts when delivering public services. Private hospital patients can choose their own doctor and generally experience shorter or minimal wait times for elective procedures.
In 2022-23, Australia had 700 public hospitals, 68.6% of which had 50 or fewer beds. Of the total number of public hospitals, 293 have purpose-built emergency departments. In 2021-22, there were 11.6 million hospitalizations nationwide, 59% in public hospitals and 41% in private hospitals. The most recent data for private hospitals (2016-2017) showed there were 657 across the country. While public hospitals handle the majority of hospitalizations, private hospitals play a key role in providing elective surgeries and are increasingly expanding their service offerings.
Total hospital expenditure in 2021-22 reached $50 billion for public hospitals and $12 billion for private hospitals. Most acute care beds and emergency outpatient clinics are located in public hospitals, particularly in large urban centers which also deliver most of the complex services such as intensive care, major surgery, organ transplants, renal dialysis, and specialist outpatient care. To increase efficiency, public hospitals aim to increase patient throughput and reduce average length of stay by adopting new surgical and treatment techniques and facilitating earlier discharge to appropriate care settings.
Historically, private hospitals have focused on less complex, non-emergency care such as routine elective surgeries, but many are now expanding into more complex care areas, including intensive care, cardiac care and oncology services.
Opportunities for U.S. suppliers of medical products are strong across both sectors. The trend toward adoption of advanced technologies and improving patient outcomes drives demand for high-quality medical equipment and solutions. U.S. suppliers offering innovative, cost-effective, and regulatory-compliant products are well-positioned to support Australia’s evolving hospital infrastructure and care delivery models.
Connect with your local U.S. Commercial Service office to learn how we can help you export successfully.
For more information contact the U.S. Commercial Service in Australia: Office.Australia@trade.gov.