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Prioritizing US-Made Generic Drugs for Government Health Programs.

This law aims to secure the supply of essential generic drugs by prioritizing domestic manufacturers. Starting January 1, 2025, major government health programs like Medicare and Medicaid will generally only cover generic drugs made in the US. Exceptions apply if domestic drugs are scarce, in shortage, or if foreign access is deemed essential, ensuring beneficiaries maintain access to necessary medications.
Key points
Effective January 1, 2025, Medicare, Medicaid, VA, and TRICARE must primarily purchase or cover generic drugs manufactured domestically.
Foreign-made generic drugs can still be covered if domestic supply is insufficient (fewer than two manufacturers) or if the domestic drug is experiencing a shortage.
The FDA gains authority to speed up the approval process for new generic drugs to quickly boost domestic manufacturing capacity when supplies are low.
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Additional Information
Print number: 118_S_2683
Sponsor: Sen. Scott, Rick [R-FL]
Process start date: 2023-07-27