Sen. Scott Urges Federal Government to Impose Tariffs on Foreign Generic Drugs
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Sen. Rick Scott (R-Fla.) is urging the Trump administration to immediately impose Section 232 tariffs on foreign generic medicines, warning that the U.S. pharmaceutical supply chain is vulnerable because of its “overreliance on adversaries,” particularly communist China.
“In pursuit of this goal, I urge you to take decisive action in the Section 232 investigation into U.S. dependence on imported pharmaceuticals,” he wrote.
“We’ve also seen China place export restrictions on rare earth elements over trade negotiations before, and there’s no reason they can’t do the same for pharmaceuticals. The integrity of our supply chain requires reducing exposure to strategic vulnerabilities, and generic medicines from China and India present a clear vulnerability for any American who steps foot into a pharmacy.”
Scott cited some data to show that the U.S. pharmaceutical chain “is dangerously exposed.”
“Generics make up 90 [percent] of prescriptions filled in the United States, yet 70 [percent to] 80 [percent] of these generics use active pharmaceutical ingredients from Communist China and India,” he wrote, noting that 83 percent of the top 100 generic drugs taken by Americans lack a U.S.-based source of these ingredients.
“Cancer drug shortages, heparin supply disruptions, and instability in antibiotics and injectables demonstrate the risks this overreliance poses to the American people.”
The senator also expressed health concerns about foreign pharmaceutical products, citing a study that found that such generic drugs sold in the United States are associated with a 54 percent greater risk of serious adverse events such as hospitalization, disability, and death compared with their U.S.-made equivalents.
To address the issue, Scott requested the immediate application of Section 232 tariffs on foreign generic medicines, including active pharmaceutical ingredients and key starting materials. At a minimum, the senator urged a public commitment to a “phased-in tariff regime” over the next 12 months, putting generic drugs on the same level as other imported pharmaceuticals.
“To protect Americans’ health and safety, it is critical that we take action to ensure they can buy quality, generic drugs,” Scott wrote.
The report states that China controls 80 percent to 90 percent of the global production for antibiotics and other key compounds and that India relies on China for 70 percent to 80 percent of its active pharmaceutical ingredients.
“Notably, 40 [percent] of U.S. generic drugs have only one [Food and Drug Administration-approved] manufacturer, meaning even finished drug production is frequently a single-source vulnerability,” the report reads. “This exposes the U.S. to cascading risk: if China falters, India follows, and America is left scrambling.”
