Swiss pharmaceutical giant Novartis (NYSE: NVS) has reportedly become the first multinational corporation to publicly acknowledge actively revising its partnerships with China-based Contract Research, Development, and Manufacturing Organizations (CRDMOs) in light of the proposed BioSecure Act in the United States.
During a press call with US media accompanying the company’s Q1 2023 financial release, Novartis CFO Harry Kirsch disclosed that the company is “actively” managing the situation to ensure no exposure once the legislation takes effect. “By the time this comes into effect, we will have no exposure from our planning,” Kirsch stated, emphasizing that the adjustments are aimed at full alignment with the BioSecure Act regulations and will be addressed within a reasonable timeframe.
The BioSecure Act, initially proposed by a bipartisan Select Committee in late 2023, aims to prohibit companies receiving US government funding from engaging with biotechnology companies of concern, including China-based BGI, MGI, Complete Genomics, and WuXi Apptec, as well as their affiliates.
AstraZeneca CEO Pascal Soriot recently commented that the establishment of globally segmented supply chains for different regions will likely mitigate any significant impact from the BioSecure Act on his company if it becomes law.- Flcube.com
