The BIOSECURE Act: Implications For US-Based Biopharmaceutical Companies

By Nicolas Schmitz, Senior Manager – Strategic Market Analyst, KBI Biopharma

The BIOSECURE Act, currently under consideration in the US Congress, has the potential to significantly disrupt the biologics contract manufacturing industry. This legislation aims to restrict US federal funding and contracts with biotechnology companies from certain countries, particularly China. The implications of this act are far-reaching, impacting US-China trade relations and forcing US-based pharmaceutical companies to re-evaluate their partnering strategies.

US-based pharmaceutical companies will be compelled to seek new partners and CDMOs outside of China, which is expected to increase drug development and manufacturing costs. This shift will create significant opportunities for US-based CDMOs to reclaim market share previously dominated by Chinese firms.

In response to the BIOSECURE Act, US-based CDMOs are actively forming strategic alliances to enhance their service offerings and meet the evolving needs of the biopharmaceutical industry. These partnerships will not only help US CDMOs to capitalize on the market opportunities created by the legislation but will also contribute to a more resilient and innovative US-based manufacturing landscape.

Uncover the implications of the BIOSECURE Act and how US-based pharmaceutical companies and CDMOs are adapting to the new legislative landscape in order to remain competitive and ensure the continued development and supply of critical therapeutics.