Virtue Diagnostics Adds Investment, Aims to Make Indonesia the ASEAN Diagnostic Equipment Manufacturing Base

JAKARTA - PT Virtue Diagnostics Indonesia is increasing its investment in Indonesia by expanding its molecular diagnostics production line amid a slowdown in government health equipment spending.

The company is optimistic that Indonesia has the opportunity to become a manufacturing center for In Vitro Diagnostics (IVD) in Southeast Asia if supported by more conducive industry policies.

Virtue Diagnostics Founder & Global CEO Johnson Zhang said the company chose to build a production facility in Indonesia because it saw the large need for diagnostic services as well as the potential of the national medical device industry.

According to him, Indonesia is not only a market, but also a regional production base.

"We choose to build manufacturing in Indonesia, not just sell products to Indonesia," said Johnson at the Industrial Symposium at the INDOHEALTHCARE GAKESLAB Expo 2026.

Currently, the company has a production facility of 12,200 square meters in Cikarang with a capacity of more than 1,000 units of diagnostic instruments per year and reagent production reaching 6,000 liters per day.

In 2026, the company added investments through the development of molecular diagnostic products and cartridge-based immunology technology to expand its product portfolio.

To date, Virtue Diagnostics has obtained distribution permits for 193 diagnostic products. Immunological, biochemical, hematological, and molecular diagnostic platforms produced in Indonesia also have a Domestic Component Level (TKDN) of over 40 percent.

Johnson assessed that the national health equipment industry still faces challenges in the form of market uncertainty and government procurement slowdown.

Therefore, the company hopes that the government will strengthen policies that support long-term investment, including the implementation of value-based procurement, multi-year procurement contracts, and protection of products with high TKDN.

Meanwhile, Associate Commercial Director of PT Virtue Diagnostics Indonesia Kurniasari Endah said the company shifted its business strategy by increasing penetration into the private market, such as hospitals and laboratories.

The strategy is starting to bear fruit. By mid-2026, the company has produced more than 150 units of diagnostic instruments and 31,000 reagent kits that have been used in various health facilities.

In addition to meeting the domestic market, the company has also started exporting VIRTUEDX reagents and VERCENTRA diagnostic instruments to the Philippines as an initial step in expanding the export market.

"This achievement is proof that Indonesian-made IVD products are able to compete in terms of quality, performance, and reliability. We are proud that more and more health workers entrust their diagnostic services to domestically produced products," said Dr. Kurniasari.

The success of these exports is proof that Indonesian-made diagnostic products have competitiveness and are beginning to gain recognition in the global market.

Going forward, the company will continue to expand investment in research and development, increase manufacturing capacity, introduce the latest diagnostic innovations, and expand its distribution network both domestically and abroad.