Coronavirus: US funding domestic drug production as imports ‘put national security at grave risk’, says Peter Navarro
- Four-year, US$354 million contract with Phlow Corporation and others can be extended with additional US$456 million
- Trump adviser Peter Navarro says reliance on drug imports puts national security ‘at grave risk’
The US government is funding a consortium of drug makers and suppliers to boost domestic production of pharmaceuticals and reduce the threat of supply interruptions during public health emergencies such as the Covid-19 pandemic.
The Department of Health and Human Services (HHS) announced on Tuesday that its Biomedical Advanced Research and Development Authority (Barda) signed a four-year, US$354 million contract with the Phlow Corporation of Richmond, Virginia, and other entities to produce vancomycin, ketamine, morphine and other drugs used to treat Covid-19 patients. The contract can be extended for another six years, with an additional US$456 million worth of funding.
The move follows pledges by the administration of US President Donald Trump and Congress to address vulnerabilities in America’s reliance on offshore production, a concern that often draws angry rhetoric about China’s dominance as a supplier.
“For far too long, we've relied on foreign manufacturing and supply chains for our most important medicines and active pharmaceutical ingredients while placing America's health, safety and national security at grave risk,” Peter Navarro, Trump’s top trade adviser and one of the administration’s most vocal critics of China, said separately in a statement.
Navarro was put in charge of coordinating the American production of medical supplies after widespread reports that front-line medical workers trying to manage a surge in Covid-19 cases in New York and other major cities in March and April were hamstrung by a shortage of personal protective equipment.