Japan’s Dental Clinics Shutting Down in Record Numbers

Japan’s dental industry, once so prolific that clinics outnumbered convenience stores, is facing a significant crisis. According to an article published on Asahi Shimbun’s website by Eiichiro Nakamura, data from Teikoku Databank Ltd. reveals that a record 126 dental clinics either declared bankruptcy or closed operations between January and October 2024. This marks a 1.8-fold increase compared to the same period in 2023.

The closures are primarily attributed to the aging demographic of clinic operators and the rising cost of materials. The average age of dental professionals shutting down their businesses in 2024 was 69.3, underscoring the industry’s struggle to sustain itself amidst an aging workforce.

Adding to the strain is the declining number of dental technicians in Japan. Statistics from the health ministry show that only 33,000 dental technicians were active nationwide at the end of 2022, a 5% drop from 2020. More than half of these technicians are in their 50s or older, signaling a looming shortage of skilled professionals.

Rising Costs and Uneven Adoption of Technology

Another critical challenge is the surge in the cost of materials used for dental treatments, such as alloys for crowns. At the same time, clinics are under pressure to invest in advanced digital technology to attract patients. However, not all clinics can afford the steep costs of these upgrades.

“The gap will likely widen even faster between successful operators, who can offer high value-added therapeutic options via capital investment and other means, and clinics forced to close for a range of reasons, including aging staff members,” stated Daisuke Iijima, a representative from Teikoku Databank.

Adapting Through Advanced Technology

Some dental clinics, like Takabe Dental Clinic in Tokyo’s Shinjuku Ward, are turning to high-tech solutions to stay competitive. In February 2023, the clinic introduced an integrated medical system from U.S. manufacturer Dentsply Sirona. The system allows patients to complete the entire treatment process—including cavity removal, mold creation, and the placement of crowns or fillings—within a single visit.

Director Yutaka Takabe highlighted the innovative nature of this technology, stating, “Only a limited number of dental clinics, even in the capital, have incorporated the comprehensive system like us.”

This system eliminates the traditional method of creating gypsum molds and manually adjusting silver crowns over several weeks. Instead, the one-stop solution can produce and apply crowns in a single day.

Affordability Remains a Barrier

Despite the technological advancements, the cost of treatment remains a concern for many patients. While some parts of the procedure, like scanning and basic fillings, are covered by health insurance, others are not. For instance, placing a crown on a front tooth can cost between 140,000 and 180,000 yen, while fillings for back teeth range from 80,000 to 140,000 yen.

Takabe shared an example of a bride who expressed gratitude for the clinic’s ability to fix her broken front tooth just before her wedding ceremony. However, such treatments are out of reach for many patients due to their high price.

Technology as a Solution for Labor Shortages

Representatives from Dentsply Sirona argue that their technology could also help address labor shortages in the industry. “Replacing the lengthy manual process of creating fillings with our faster option may help dental technicians improve work efficiency and handle the problem of manpower shortages,” said an official from the company’s Japanese division.

As Japan’s dental clinics face increasing closures, the industry finds itself at a crossroads. For clinics that can afford the investment, adopting advanced technologies may provide a path forward. However, for many operators grappling with rising costs and an aging workforce, the outlook remains uncertain.