Japan Next Generation Sequencing Market Size, Share & Trends Analysis Report By Technology (Targeted Sequencing & Resequencing), By Product (Platforms, Consumables) By Application, By Workflow, By End-use, And Segment Forecasts, 2024 - 2030

Market Size & Trends

The Japan next generation sequencing market size was estimated at USD 297.94 million in 2023 and is anticipated to grow at a compound annual growth rate (CAGR) of 23.60% from 2024 to 2030. The decreasing cost of genetic sequencing and technological advancements in cloud computing and data integration are major factors contributing to the market growth. Moreover, increasing spending on cancer treatment and wide utilization of NGS in cancer diagnosis and treatment is expected to boost the market growth. The rising prevalence of cancer across the country is anticipated to support the market expansion over the forecast period. The study  published by the National Library of Medicine in December 2022 projected an annual average of 1.09 million new cases from 2020 to 2054 in Japan.

Over the years, there has been a significant reduction in the cost of genetic sequencing, which is expected to boost the demand for genome sequencing. Major market players are bringing novel solutions to the market, which is helping decrease the cost of sequencing. For instance, Illumina, a key player operating in Japan, has helped reduce the cost of NGS, enabling the $1000 human genome project. Furthermore, the company offers low-cost NGS instruments. In addition, Nebula Genomics also offers DNA sequencing and reports with a cost ranging between USD 149 to 999. Thus the reduction in the cost of genetic sequencing coupled with the availability of low-cost instruments for sequencing is expected to increase the accessibility of genetic sequencing.

The increasing adoption of cloud-based solutions that effectively manage the parallelization and distribution of input data & user code on many computer nodes is driving the market. Cloud computing provides a very clear advantage of performing tasks across different parallel computing nodes and processors coupled with a significant reduction in waiting time. The introduction of cloud computing for processing NGS-generated data has substantially propelled the NGS data analysis market. Furthermore, industry participants are involved in providing workflow and data management services for genome sequencing data on cloud platforms. For instance, according to a study published by the National Library of Medicine in February 2023, a team of researchers in Japan has developed a hybrid cloud computing system for genomic analysis. With technological advancements, data integration tools have also improved through the advent of cloud computing to analyze & process massive NGS-sequenced data. This technological improvement is anticipated to propel the market in the coming years.

Market Concentration & Characteristics

Japan's next-generation sequencing market is characterized by a high degree of innovation, with new technologies and instruments being developed and introduced at regular intervals. For instance, in September 2023, INTEGRA Biosciences, a major market player, introduced MIRO CANVAS, a microfluidics platform for fully automated NGS sample preparation. Such innovations are anticipated to drive market growth.

Several market players such as Illumina Inc., and BGI operating in the Japan market are involved in merger and acquisition activities. Through M&A activity, these companies can expand their product and services portfolio. In Japan, many projects are run by the government to test the safety and efficacy of noninvasive prenatal testing. Healthcare providers in Japan have been using integrated NGS technologies for the past few years.

End-use Insights

Based on the end-use, the market is segmented into clinical research, academic research, pharma & biotech entities, hospitals & clinics, and other users. The academic research segment accounted for the largest revenue share in 2023. The segment's growth can be attributed to the availability of various institutes offering on-site bioinformatics courses and training programs that enhance knowledge about various sequencing data analysis solutions, which are expected to drive the segment growth.

The clinical research segment is estimated to register the fastest CAGR over the forecast period. Implementation of NGS for studying tumor heterogeneity, the discovery of new cancer-related genes, and the identification of alterations related to tumorigenesis are expected to result in significant growth of this segment.

Product Insights

Based on product, the market is segmented into consumables and platforms. The consumables segment accounted for the largest revenue share of 74% in 2023, and it is also anticipated to grow fastest, with a CAGR of 24.2% over the forecast period. The dominance can be attributed to an increase in investment in the development of advanced genomics techniques for prevention and detection, and a decrease in sequencing costs are contributing to the growth of the NGS consumables market. Moreover, companies are launching consumables such as sample preparation kits and target enrichment panels. For instance, in June 2022, PerkinElmer, Inc. launched three sample preparation kits for research purposes only, which include NEXTFLEX Rapid XP V2 DNA-Seq Kit, NEXTFLEX Small RNA-Seq Kit v4, and PG-Seq Rapid Kit v2.

The platforms segment is anticipated to witness significant market growth over the forecast period. NGS platforms allow the implementation of a broad range of techniques, enabling scientists to address questions related to transcriptome, genome, or epigenome. These applications make the platform a preferred choice in agriculture, clinical diagnosis, research, and sustainable development.

Workflow Insights

Based on workflow, the market is segmented into pre-sequencing, sequencing, and NGS data analysis. The sequencing segment accounted for the largest revenue share in 2023. This can be attributed to the availability of various platforms such as iSeq, MiniSeq, MiSeq, NextSeq, HiSeq X, & NovaSeq series from illumina and Ion Proton, PGM, & IonS5 system from Thermo Fisher Scientific for the next generation sequencing. Moreover, several players are providing sequencing services and platforms across the country. For instance, Novogene Japan K.K. started providing single-cell sequencing services in December 2021.

The NGS data analysis segment is estimated to register the fastest CAGR over the forecast period. NGS data analysis includes sequence assembly and data analysis. As terabytes of data are produced during a single run of NGS, data storage and interpretation equipment are essential to any NGS workflow. Furthermore, several recent developments for improving data analysis by the key market players are driving the segment's growth. For instance, in June 2022, Agilent Technologies Inc., announced utilizing Amazon Web Services (AWS) and NVIDIA technology to improve the data analysis speed of genomics bioinformatics pipelines.

Application Insights

Based on application, the market is segmented into oncology, HLA typing/immune system monitoring, clinical investigation, epidemiology & drug development, reproductive health, metagenomics, agrigenomics & forensics, and consumer genomics. The oncology segment accounted for the largest revenue share in 2023. This segment dominance can be due to the wide use of NGS in oncology, where gene mutations are sequenced to develop new cancer diagnostic & treatment methods. The NGS in oncology has also been aiding a better understanding of different tumor growth cell signaling pathways, which provides oncologists insights for better diagnosis and management of various forms of cancer. With the reduction in the cost of whole genome sequencing, the application of NGS in oncology is anticipated to witness a significant surge in the coming years.

The consumer genomics segment has been anticipated to grow fastest during the forecast period, owing to the rapid development in personal health awareness, paternity testing, and genealogy. Several key market players are constantly working toward expanding their product portfolio by launching new products, which would further drive the segment growth. For instance, in May 2022, PerkinElmer, Inc. expanded its genome testing services by adding ultrarapid whole genome sequencing to its portfolio. This would further help make informed clinical decisions and provide improved outcomes for ill patients in pediatric & neonatal intensive care units.

Technology Insights

Based on technology, the market is segmented into whole genome sequencing, whole exome sequencing, targeted sequencing & resequencing, and others. The targeted sequencing and resequencing segment accounted for the largest revenue share in 2023 and is also anticipated to grow the fastest CAGR over the forecast period. This segment’s dominance can be due to the several advantages offered by this technology for next-generation sequencing. This is a cost-effective technique and offers actionable and clear information to physicians.

The whole genome sequencing (WGS) segment is anticipated to witness significant growth during the forecast period, owing to the wide use of WGS to combat COVID-19. For instance, in March 2022, an article published in Frontiers stated that WGS has a potential application to detect SARS-CoV-2 Infection. Moreover, it helped differentiate community-acquired infection from hospital-acquired infection among pediatric oncology patients.

Key Companies & Market Share Insights

• Illumina, Inc., BGI, Oxford Nanopore Technologies, Inc., and Myriad Genetics. Inc. are some of the dominant players operating in the market.

• Illumina Inc. is a major player and offers a wide range of sequencing services and products including whole-genome sequencing services, next-generation sequencing services, and noninvasive prenatal testing services.

• BGI offers major sequencing services like DNA sequencing, RNA sequencing, and bioinformatics solutions across the country.

• QIAGEN, Pacific Biosciences and Bio Rad Laboratories are some of the emerging market players functioning in Japan next generation sequencing market.

• QIAGEN provides various types of sequencers, like bench-top sequencers and high-throughput sequencers, for laboratory applications and large, genome-wide studies.

• Bio-Rad Laboratories, Inc. provides tools and services for life science research, food science, and clinical diagnostics markets. It offers solutions to advance scientific research & development and for introducing new technology in proteomics, genomics, food safety, medical diagnostics, drug discovery

Recent Developments

• In September 2023, Astride, a major distributor of NGS services in Japan, collaborated with Basepair to distribute its visualization platform to the Japanese market,

• In April 2023, Agilent Technologies Inc. introduced NGS assay for comprehensive genomic profiling (CGP) for advancing precision oncology.

• In March 2023, Illumina, Inc. launched a product based on its innovative Illumina Complete Long Read technology for short- and long-read sequencing on one instrument.

Japan Next Generation Sequencing Market Report Scope

Japan Next Generation Sequencing Market Segmentation

This report forecasts revenue growth at country levels and provides an analysis of the industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the Japan next generation sequencing market report based on technology, product, end-use, workflow, and application:

• Technology Outlook (Revenue, USD Million, 2018 - 2030)

  • Whole Genome Sequencing

  • Whole Exome Sequencing

  • Targeted Sequencing & Resequencing

    • DNA-based

    • RNA-based

  • Others

• Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Consumables

    • Sample Preparation

    • Target Enrichment

  • Platforms

    • Sequencing

    • Data Analysis

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Oncology

    • Diagnostics and Screening

      • Oncology Screening

        • Sporadic Cancer

        • Inherited Cancer

      • Companion Diagnostics

      • Other Diagnostics

    • Research Studies

  • Clinical Investigation

    • Infectious Diseases

    • Inherited Diseases

    • Idiopathic Diseases

    • Non-Communicable/Other Diseases

  • Reproductive Health

    • NIPT

      • Aneuploidy

      • Microdeletions

    • PGT

    • Newborn Genetic Screening

    • Single Gene Analysis

  • HLA Typing/Immune System Monitoring

  • Metagenomics, Epidemiology & Drug Development

  • Agrigenomics & Forensics

  • Consumer Genomics

• Workflow Outlook (Revenue, USD Million, 2018 - 2030)

  • Pre-Sequencing

    • NGS Library Preparation Kits

    • Semi-automated Library Preparation

    • Automated Library Preparation

  • Sequencing

  • NGS Data Analysis

    • NGS Primary Data Analysis

    • NGS Secondary Data Analysis

    • NGS Tertiary Data Analysis

• End-use Outlook (Revenue, USD Million, 2018 - 2030)

  • Academic Research

  • Clinical Research

  • Hospitals & Clinics

  • Pharma & Biotech Entities

  • Other users