Medical Device Manufacturers NAICS 339112, 339113

Aug 1, 2025 - Medical Device Manufacturers Urged To Improve Operational Security

• The US Food and Drug Administration (FDA) is urging medical device manufacturers to ensure the security of connected operational technologies due to the increasing threat to manufacturing supply chains. The FDA previously focused on the cybersecurity of medical devices themselves and is now warning medical device manufacturers that their manufacturing infrastructure can be particularly vulnerable to cyberattacks, especially due to the proliferation of connected devices, Industrial Internet of Things (IIoT) technology, and other smart technologies, according to the HIPAA Journal. Device manufacturers may have a lack of visibility of systems and devices and may also be unaware of third-party components embedded within other equipment, which can easily result in vulnerabilities remaining unaddressed.
• Medical technology companies are expanding their US manufacturing presence, according to Modern Healthcare. Firms are investing millions — and in one case, billions — of dollars to boost capacity by adding facilities and expanding existing ones. Medical device maker Autocam Medical, for example, plans to build a $70 million assembly plant in Indiana. The company hopes to break ground on the 100,000-square-foot factory in August or September of 2025, with construction expected to take 18 to 25 months. The plant is expected to create up to 300 new jobs within three to four years.

• Medicare payments to Medicare Advantage plans are expected to increase an average of 3.7%, or over $16 billion in 2025, according to the Centers for Medicare & Medicaid Services. Medical device manufacturers are likely to benefit from the increase in expenditures. The finalized the Calendar Year 2025 Rate Announcement for Medicare Advantage is projected to result in payments of between $500 and $600 billion in Medicare Advantage payments to private health plans in 2025.
• Medical device manufacturing industry employment and averages wages for nonsupervisory employees increased slightly during the first five months of 2025, according to the US Bureau of Labor Statistics (BLS). Miscellaneous durable goods inventories, which include medical devices, remain significantly above pre-pandemic levels in early 2025. The Producer Price Index for medical equipment & supplies manufacturers increased 1.91% year over year in June, according to the BLS.