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Protecting Drug Supply Chain: Origin Registry and Ban on China-Made Purchases

This act aims to enhance the security of drug supplies in the U.S. by creating a registry of drug ingredient origins and gradually phasing out federal agency purchases of drugs and their ingredients manufactured in China. Citizens can expect greater transparency regarding drug origins and a potential increase in domestic pharmaceutical production, which might affect the availability and pricing of certain products.
Key points
A public registry will be established for the country of origin of all drugs and their active ingredients marketed in the U.S., with a specific focus on those produced in China.
Federal agencies (Health, Veterans Affairs, Defense) will gradually restrict, and by 2024, completely ban the purchase of drugs whose active ingredients originate from China.
Tax incentives (100% expensing) will be introduced for companies investing in building or expanding pharmaceutical and medical device manufacturing facilities in the U.S., encouraging domestic production.
Drug labeling will be required to specify the country of origin for each active ingredient, increasing transparency for consumers.
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Additional Information
Print number: 117_HR_7121
Sponsor: Rep. Gallagher, Mike [R-WI-8]
Process start date: 2022-03-17