President Donald Trump on Thursday, Aug. 6, signed an executive order requiring the government to buy essential drugs from American companies. The measure aims to strengthen medical supply chains by bolstering the production of essential drugs and critical inputs locally.
“We cannot rely on China [the CCP] and other nations across the globe that could one day deny us products,” Trump said Thursday from the Whirlpool Corporation Manufacturing Plant in Clyde, Ohio. “As we’ve seen in this pandemic, the U.S. must produce essential equipment supplies and pharmaceuticals for ourselves.”
The executive order is aimed primarily at increasing U.S. production of drugs and medical equipment, reducing drug prices and protecting the United States against shortfalls in a future pandemic.
President Trump said the order also supports advanced manufacturing processes that will benefit U.S. pharmaceutical companies.
The long-awaited measure by the pharmaceutical industry includes a “Buy America” provision that mandates federal government purchases of certain medical supplies and equipment deemed essential to the local market. It also moves to remove regulatory barriers to the approval of new drugs in the United States.
President Trump pointed to Chinese Communist Party’s trade policies and criticized prospective Democratic presidential candidate Joe Biden and former President Barack Obama for failing to recognize the threat posed by Chinese Communist Party (CCP) to U.S. manufacturing in general.
Looking forward to winning the next election, President Trump said, “Over the course of the next four years, we will bring our pharmaceutical and medical supply chains home,” he said. “And we will stop depending on China [the CCP] like we did with the washing machines and dryers … we will make our product here.”
According to a White House report, the move seeks to realize the Trump administration’s vision of not only achieving drug independence and creating more jobs, but it builds on the president’s strong efforts to make the United States the world’s leading producer of medical supplies.
The idea of making the United States more independent from foreign drug production had already begun to materialize when the government announced a few days ago that Kodak would receive $765 million as a loan from the federal government—incentive to locally produce drugs and pharmaceutical raw materials.
As was reported when the measure was announced, in addition to generating employment and developing local industry, it seeks to cut off foreign pharmaceutical dependence, especially on the CCP, which currently produces more than 80% of the medicines consumed in the United States. The news was reported last Tuesday by Director of Trade and Manufacturing Policy Peter Navarro, in a FOX Business radio program.