|
If approved by the House Committee on Oversight and
Accountability, the Biosecure Act would still need to be voted
on by the full House and Senate before the president could sign
it into law. The bill would push U.S. pharmaceutical and
healthcare companies to lessen their reliance on Chinese
research and manufacturing.
The U.S. Senate Homeland Security and Governmental Affairs
committee voted in favor of similar legislation in March.
The latest version of the House bill gives U.S. companies until
2032 to end work with the Chinese firms, news that lifted shares
of potentially impacted Chinese companies in trading in Hong
Kong earlier this week.
The latest draft also adds WuXi Biologics to a list of company
of concern that includes WuXi AppTec, as well as BGI, MGI and
Complete Genomics.
Supporters say the legislation is needed to keep Americans'
health and genetic information from foreign adversaries, who
could weaponize the data. They also say it is dangerous for
China to dominate the biotechnology supply chain.
The targeted companies say the proposed legislation is based on
false and misleading allegations and would limit competition.
They say they do not pose a threat to U.S. national security and
that they should not be included in the bill.
The Biosecure Act would bar federal agencies from contracting
with biotech companies deemed of concern. It also would prohibit
contracts with companies that use those companies' equipment or
services.
In 2023, Wuxi Biologics earned about 47% of its 17 billion yuan
in annual sales from North America and about 18% from China,
according to its annual report.
Two-thirds of WuXi AppTec's revenue came from the U.S. market in
the first nine months of 2023, according to an investor.
Complete Genomics - another "company of concern" - is a U.S.
founded company, headquartered in San Jose, Calif. It is a
subsidiary of China's MGI, a publicly traded global company.
BGI, a leading provider of genetic sequencing services around
the world, has said the legislation will drive the company out
of the U.S.
(Reporting by Karen Freifeld; Editing by Michael Erman)
[© 2024 Thomson Reuters. All rights
reserved.]
Copyright 2022 Reuters. All rights reserved. This material may
not be published, broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|
