Trump’s Call to Pharma Firms to Move Back to U.S. Could Hit Indian Exporters
Express News Global
Published: February 01, 2017
WASHINGTON — Foreshadowing “Buy American” moves that could affect the largest market for Indian pharmaceutical companies, President Donald Trump told drug makers Jan. 30 to bring back manufacturing to the United States.
“I want you to manufacture in the United States,” he told leaders of seven major pharmaceutical companies. “I want you to move your companies back into the United States.”
To facilitate this, Trump said, “We’re going to be lowering taxes, we’re going to be getting rid of regulations that are unnecessary.”
Trump also hinted at the possibility of ending a multi-layered pricing system for medicines by which rates are often set lower for drugs sold abroad than in the U.S.
“Our trade policy will prioritize that foreign countries pay their fair share for U.S.-manufactured drugs so our drug companies have greater financial resources to accelerate the development of new cures,” he said. “And I think it’s so important. Right now, it’s very unfair what other countries are doing to us.”
The meeting was part of a series of meetings he has been holding with leaders of different sectors to get them to increase jobs and investment in the U.S. to further his campaign promises. The chief executive officers of Amgen, Novartis and Eli Lily were among those who attended.
Trump emphasized deregulation of the strict controls on marketing medicines in the U.S.
“We’re going to be cutting regulations at a level nobody’s ever seen before,” he said. “And we’re going to have tremendous protection for the people, maybe more protection.”
He criticized the Food and Drug Administration’s approval process for new drugs saying that he was troubled that a terminally-ill patient could not get a vital medicine because of the approval delays.
“A lot of the companies have moved out, they don’t make the drugs in our country anymore,” Trump said. “A lot of that has to do with regulation, a lot of it has to do with the fact that other countries take advantage of us with their money and their money supply and devaluation.”
Trump also took aim at big pharmaceutical companies over their pricing policies.
“We have to get lower prices. We have to get even better innovation,” he said. For this he said that he would favor smaller companies.
“I’ll oppose anything that makes it harder for smaller, younger companies to take the risk of bringing their product to a vibrantly competitive market,” he said. “That includes price-fixing by the biggest dog in the market, Medicare, which is what’s happening. But we can increase competition and bidding wars, big time.”