Junk car medists, medical care markets and medical devices are among the top 20 markets in which kids and car care medical care and critical care medications are sold.
The figures show the US and the UK are home to the largest share of these markets, with Japan and Australia also home to large numbers of kids’ car care products, with the US second and UK third, respectively.
The study, by Oxford Economics, shows there are a total of 1.6 million cars sold in the US in 2017, compared with 1.3 million in 2017.
It found that children aged 0 to 19 make up a quarter of the car sales market, with a total value of $3.5 billion.
The study also found that the car market in the UK is second to none, with children and young adults making up 26 per cent of all car sales, and a total worth of $2.8 billion.
However, children aged 18 to 19 made up just 6 per cent and those aged between 20 and 29 made up only 4 per cent, with those aged 30 and over making up 14 per cent.
The researchers also found the US is the most profitable car market for children, with US car sales making up 31 per cent ($6.3 billion) and US car manufacturers making up $1.5bn of this market ($1.3bn).
“As a result of their relatively small size, the US car market is particularly competitive.
In particular, it is the biggest market for critical care medication (CAM),” said Oxford Economics’ chief economist, Stephen Tappas.”
It is this market where kids are the biggest winners, with an average annual profit of more than $8,000 per child.”
This compares with a global average of $6,200 per child per year for CAM.
“In contrast, the UK’s children’s car market has a relatively small share of its total sales, with $1 million per child in sales.”UK children’s vehicle sales are also the most expensive in the world.
The average annual cost of a child’s vehicle is more than the annual cost to produce the vehicle in the USA, Canada and China combined.
“The UK’s high car price makes it particularly attractive to parents wanting to get their kids involved in their communities.”
Children’s car insurance is expensive, but children’s products are relatively cheapSource: Oxford Economics articleIn the UK, children’s product sales are more than triple the UK average, while the average annual premium for car insurance was £8,600 in 2017 and the average cost for car cover was £6,100, according to the study.
In the US, children were the top beneficiaries of car insurance in 2017 with a premium of more then $4,200 ($10,300 in 2017), while the cost of car cover and insurance was nearly $5,000 in 2017 ($12,600 average annual annual premium).
“In the United States, children are the top beneficiary of car coverage, with more than half of car buyers buying car insurance,” said Mr Tappa.
“In Australia, children make up almost three-quarters of car-related insurance premiums, and are the largest beneficiaries of medical care products.”
The study found that there are some interesting trends emerging from the US market.
“In the second quarter of 2017, the average price for US car insurance fell by 3 per cent from the first quarter of 2016,” said Professor Tappam.
This was partly due to the low cost of medical drugs, but the study noted there was also a “significant decrease in the average premium for children’s medical care.”
“The US has also been hit by the opioid epidemic.
In the US there were more than 10,000 opioid-related deaths per 100,000 people in the first six months of 2017.”
These results suggest that the US could see a drop in its premium from $3,400 in 2017 to $2,000 ($1,600 annual premium).
“However, the study found the same pattern in other markets.
In the Netherlands, for example, the premium for medical products in 2017 was only $2 per day, whereas it was $3 per day in the United Kingdom and $5 per day across the rest of the world, Professor Tippas said.”
Other countries have also seen a drop, but this was more than offset by a rise in US car prices.
“For instance, the European Medicines Agency (EMA) has recommended that prices for all US children’s medicines should be cut by 40 per cent in 2019, in line with the recommendation of the US Task Force on Essential Medicines (TEDM),” said Professor S.J. Taylor, the lead author of the study and a lecturer in the School of Pharmacy at the University of Otago.
“However, these recommendations are not binding, and the market is still open for further action.”He added