Bristol-Myers Squibb (BMS; NYSE: BMY), a leading U.S. pharmaceutical company, is reportedly drafting ‘contingency plans’ to address the potential implications of the Biosecure Act, which is currently under legislative review in the United States. As detailed by the Financial Times, BMS’s CFO, David Elkins, disclosed on a media call that WuXi Biologics is a key manufacturing partner for the company’s top-selling cancer drug, Revlimid (lenalidomide). Elkins emphasized that BMS will be prepared to safeguard the continuity of supply in the event of any political shifts in Washington concerning the use of Chinese manufacturers.
The Biosecure Act, initially proposed by a bipartisan Select Committee in late 2023, aims to prohibit companies receiving U.S. government funding from engaging in contracts or commercial deals with certain biotechnology companies, including China-based BGI, MGI, Complete Genomics, and WuXi Apptec, as well as their affiliates.
BMS’s COO, Adam Lenkowsky, highlighted the company’s proactive stance, stating: “We are tracking any and all legislation, regulatory, and administrative actions that might impact the industry, cell therapy, and our company in relation to the Biosecure Act.” Elkins added that the leadership team’s role is to ensure backup supply strategies are in place to tackle regulatory issues, natural disasters, or geopolitical challenges.
BMS joins other multinational corporations in publicly acknowledging steps to mitigate the impact of the Biosecure Act. Recently, Novartis announced it is actively realigning its Contract Research Organization (CRO) partnerships. In contrast, AstraZeneca and Roche have downplayed potential disruptions, asserting that efforts to establish independent local supply chains globally will offset any effects. Roche CEO Thomas Schinecker recently stated that the company’s exposure is relatively ‘minor,’ citing their diversified supply chain strategy, as reported by Endpoints News.- Flcube.com
