Vizient, a healthcare performance improvement company, recently voiced its concerns to the Office of the United States Trade Representative about proposed tariffs on Chinese products.
Vizient, a healthcare performance improvement company, recently voiced its concerns to the Office of the United States Trade Representative (USTR) about proposed tariffs on Chinese products.
The original list of products affected by the tariffs, published last month by the USTR, comprised more than 1300 Chinese products worth about $50 billion each year. Included in the list were key ingredients used by drug makers to produce products including insulin, epinephrine, antibiotics, vaccines, and immunological products, as well as some medical devices.
However, China and the United States are currently in negotiations with regard to the tariffs. Despite the fact that talks are continuing, the White House said yesterday that it will be releasing a revised list of products affected by the potential tariffs on June 15, 2018, and that will begin imposing the tariffs “shortly thereafter.”
According to Vizient’s letter, while well-intentioned, USTR’s proposals could inadvertently impact the healthcare industry and the supply chain, because China is a major provider of raw ingredients that US drugmakers need.
Jody Hatcher, MBA, president of sourcing and collaboration services for Vizient, told The Center for Biosimilars® in an email, “Our current concern is focused on both component parts (eg, for medical devices) and on various raw materials (eg, ingredients for drugs such as insulin, epinephrine, and vaccines), as well as other critical patient care products.”
Added Hatcher, “The hospitals we serve already face immense pressure to care for a growing population amid rising prices, tight resources, and thin margins. We are concerned that the USTR proposals could result in higher prices for products and services being paid by providers, patients, and all American taxpayers; and more importantly, these challenges to affordability and accessibility could potentially negatively impact patient care…We encourage the USTR to work with other healthcare industry stakeholders—especially providers—to take steps to ensure that the proposed tariffs do not adversely impact the healthcare industry,” said Hatcher.
In addition to the tariffs, the White House has also said that it will announce investment restrictions and enhanced export controls on Chinese individuals and entities to prevent the acquisition of American technology. These restrictions are set to be announced by June 30, 2018.
Challenges and Guidance in Biosimilar Assessment: An ISPOR Report on HTA Agency Approaches
May 14th 2024The ISPOR report highlights the urgent need for clear guidance on when and how to conduct health technology assessments (HTAs) for biosimilars, emphasizing the challenges faced by HTA agencies and the evolving role of HTAs in evaluating biosimilar value.
Biosimilars Policy Roundup for April 2024—Podcast Edition
May 5th 2024On this episode of Not So Different, The Center for Biosimilars® glances back at all the major biosimilar policy updates from April, including 2 FDA approvals, 1 European approval, and several insights into possible policy changes from the Festival of Biologics USA conference.
Cordavis Report Outlines Strategies for Biosimilar Development, Access in the US Health Care Market
May 8th 2024Cordavis, a CVS Healthspire company, released a report detailing the current hurdles faced in developing and commercializing biosimilars in the US and highlighting efforts by the organization to enhance access and affordability for these products.
Exploring the Biosimilar Horizon: Julie Reed's Predictions for 2024
February 18th 2024On this episode of Not So Different, Julie Reed, executive director of the Biosimilars Forum, returns to discuss her predictions for the biosimilar industry for 2024 and beyond as well as the impact that the Forum's 4 new members will have on the organization's mission.
Cencora Analysis Shows Differences in Payer Coverage Between G-CSF Biosimilars
May 2nd 2024Data from a Cencora study showed some misalignment in payer coverage of granulocyte colony-stimulating factor (G-CSF) biosimilars, highlighting that while filgrastim biosimilars are often favored over the originator, reference pegfilgrastim still dominates over its biosimilars.