Section 232 Pharmaceutical Tariffs - Biocom Statement

SOUTH SAN FRANCISCO, Calif. & LOS ANGELES & SAN DIEGO--(BUSINESS WIRE)--Biocom, the largest life science membership association, representing companies across California and major life science markets, issued the following statement in response to the recent tariffs on patented pharmaceuticals and their ingredients under Section 232 of the Trade Expansion Act. This statement may be attributed to Tim Scott, president and CEO of Biocom:

Biocom shares the Administration’s interest in protecting our country’s national security and ensuring that our pharmaceutical supply chain remains strong and stable.

However, tariffs on pharmaceutical products and their ingredients will significantly harm domestic drug development and innovation, increase patient costs, disrupt essential supply chains and lead to drug shortages. Ultimately, these impacts would weaken national security and leave the United States further behind in the global biotech race.

The U.S. maintains a symbiotic relationship with many foreign nations, whose pharmaceutical manufacturing capabilities are integral to the strength and reliability of the U.S. drug supply chain and meeting domestic patient demand.

While we appreciate the Administration’s consideration of exemptions for certain pharmaceuticals, tariffs on any pharmaceutical products or inputs will still lead to significant unintended consequences for American patients. Drug shortages would reduce timely access to care and increase the cost of life-saving medicines at a time when health care affordability is already under strain.

Small and mid-sized biopharma innovators, many of which have only a few patented products on the market, would be disproportionately impacted as tariffs are leveraged to further most-favored nation (MFN) drug price control policies. These small and mid-sized companies make up the overwhelming majority of Biocom members, and of the biopharma universe at large.

As we have said time and time again, MFN schemes send the wrong message to innovators who rely on predictable, fair and value-based market environment to research and develop the next generation of breakthrough medicines.

California, the global leader in biomedical innovation, would be among the first to feel these damaging effects.

About Biocom

Biocom is the largest life science membership association, representing companies across California and major life science markets worldwide. Founded in 1995, Biocom works to drive innovation and industry competitiveness across the life science ecosystem. Our community includes biotechnology, pharmaceutical, medical device, genomics and diagnostics companies at every stage, as well as research institutions, investors, service providers and emerging technology innovators.

Biocom works on behalf of its members to build meaningful connections and deliver valuable insights through Conferences & Events, expand access to Funding & Partnering opportunities, provide Group Purchasing solutions that drive efficiency and savings, champion Policy & Advocacy that protects and advances innovation, and strengthen talent pipelines through Workforce Development.

Biocom maintains offices in San Diego, Los Angeles, and the San Francisco Bay Area, with satellite offices in Sacramento, Washington, D.C., and Tokyo, and a growing presence in Seattle, bridging regional ecosystems and global markets to strengthen growth.