March 19, 2020--Amid the coronavirus outbreak, the administration has announced an executive order that would extend “Buy American” provisions to pharmaceutical companies, an industry that relies heavily on the global supply chain. While we commend efforts to diversify the flow of resources that may impact our current and future economic and health interests, this particular mandate may cause undue harm to the drug supply chain if not carefully considered. At a time when U.S. pharmaceutical companies are depending on accessibility to supplies and swift distributions to work to find solutions, the National Puerto Rican Chamber of Commerce (NPRCC) believes the mandate, as currently proposed, will impede such progress during a critical stage of the public health crisis.
After Hurricane Maria, many pharmaceutical manufacturing facilities were affected, but companies were able to source from facilities in several different countries, limiting the number of resulting shortages. Patients and businesses in Puerto Rico already experience delays in access to medications and we fear restricting flexibility in the supply chains will exacerbate issues and limit our community’s ability to receive timely care. Not to mention, this action comes at a time when the U.S. global trade and financial systems are under tremendous strain; disrupting trade amongst the world’s strongest economies will likely result in retaliatory measures that may further exacerbate supply shortages.
While we understand the need to examine the global drug supply chain—which includes ensuring appropriate diversity to foster continuity in times of global health emergencies—revisions today may jeopardize efforts to combat this crisis. On behalf of our members and the thousands of Puerto Ricans we represent, we urge the administration to reconsider the timing and wording of such Buy American provisions to ensure any future proposed changes to the supply chain allows our research and development intensive industries to remain collaborative and globally competitive.