Seeing as how Tsunade could heal her own lungs and it's possible to repair a body thats organs and skin have been blown off, i would say Medical Ninjutsu has surpassed Earth's medical care, so yes. Probably.
I think the better question is how was he even a shinobi while smoking? You would think that he wouldnt be able to catch his breath. I mean, being a ninja has a high physical demand. And yet he pulled it off like it wasnt no thangggggg. Da Fuq!?!?!?