S-1784-119
Committee on Health, Education, Labor, and Pensions. Hearings held.
Sponsored by Gary Peters (D-MI)
What it does
This bill would require HHS, working with the Defense Department and other agencies, to maintain a list of "essential medicines" critical for public health and national security, conduct risk assessments of their supply chains, and build a data system mapping where these drugs and their ingredients are manufactured. It would also require the Defense Department to report every 180 days on drugs it purchases that are sourced from or manufactured in China.
Who benefits
Patients with chronic conditions who rely on medicines vulnerable to shortages, the military and national security agencies seeking supply chain visibility, and domestic pharmaceutical manufacturers who could benefit from federal attention to reshoring production. Federal agencies gain new coordination tools and data-sharing authority.
Who is hurt
Pharmaceutical companies and foreign manufacturers, particularly those in China, that may face new reporting burdens, increased scrutiny, or loss of Defense Department contracts. Companies may also bear costs from disclosing confidential commercial information to multiple federal agencies, even with protections in place. Taxpayers bear the modest administrative costs of new reporting and monitoring systems.
Supporters argue
Supporters argue that the COVID-19 pandemic exposed dangerous U.S. dependence on foreign, particularly Chinese, sources for critical drugs and pharmaceutical ingredients, and that the federal government currently lacks basic visibility into these supply chains. They contend that systematic mapping and risk assessment, building on existing Executive Order 13944, is a necessary first step toward preventing shortages of medicines needed for chronic disease treatment and military and national security readiness.
Opponents argue
Opponents argue that the bill creates additional reporting and data-sharing requirements without providing any concrete remedy, such as funding for domestic manufacturing or supply chain diversification, meaning it may generate bureaucratic reports without measurably reducing shortages. They contend that expanding data-sharing between agencies, even with confidentiality protections, increases the risk that sensitive commercial information could be inadvertently disclosed or misused, and that annual reporting requirements add compliance costs without a clear enforcement mechanism to change industry behavior.