Boston Scientific‘s (NYSE:BSX) new medical device manufacturing plant in Batu Kawan Industrial Park in Penang, Malaysia is set to open in the 4th quarter of 2017, according to Malaysia’s StarBiz paper.
Construction of the new facility is slated to begin in the 1st half of 2016 with a planned completion in the 2nd half of 2017, according to the paper.
“The plant will be operational in the 4th quarter of 2017, and we expect to ship our first “Made-in-Malaysia” product before the end of 2017,” operations veep Dave Mitchell told StarBiz.
The site and facility is being designed to accommodate “at least 10 years of growth” including new products, volume and capabilities that could include R&D, the paper said.
“We anticipate having more than 400 employees at the Penang site within four years of operation, with room to grow significantly beyond that. Initially we will focus on building manufacturing capability and capacity in the Penang facility. We have the space and ability for additional capabilities at the site, including both R&D and distribution,” Mitchell said.
Mitchell said that, according to the research group Euromonitor, the 2016 medical device industry is slated to see growth of 6% to reach $315 billion.
“Unlike the traditional markets such as Western Europe and the U.S., the Asia-Pacific medical device market is projected to to grow and gain a wider market in 2016,” Mitchell told StarBiz.
Last month, Boston Scientific and the Mayo Clinic revealed a 3-year-old development program that has about a dozen new products in the pipeline, including a centering catheter for replacement heart valves and a heart failure application for the Precision Spectra spinal cord stimulator.
Four of the roughly 12 products in the hush-hush program, reportedly winnowed from a field of 50 initial ideas, are expected to reach the 1st-in-human trial stage this year. A Boston Scientific executive said the repeal of the medical device tax this year allowed it to take its spend on the program into the multi-million-dollar range.