ABC Safe Drug Act

# ABC Safe Drug Act Summary **What the Bill Would Do** The ABC Safe Drug Act would gradually reduce the federal government's purchases of medications containing active ingredients manufactured in China. Starting immediately, the bill phases in restrictions, with a complete ban taking effect by January 1, 2030, on any drugs with Chinese-sourced active ingredients unless they meet FDA safety standards. The bill also includes tax incentives to encourage pharmaceutical and medical device manufacturing in the United States, and requires all drugs to clearly label which country produced each active ingredient. **Who It Affects and Key Provisions** This bill primarily affects federal health care programs (like Medicare and Medicaid), pharmaceutical manufacturers, and potentially patients who take medications with Chinese-sourced ingredients. The Department of Health and Human Services can issue temporary waivers for programs that cannot meet the requirement, though this waiver authority expires in 2031.

Drugs without country-of-origin labeling would be considered misbranded and potentially removed from the market. The bill aims to address supply chain concerns by incentivizing domestic pharmaceutical production through tax benefits. **Current Status** As of now, the bill (S 1407) is in committee and has not yet been voted on by the full Senate. It was introduced in the 119th Congress by Senator Tom Cotton (R-AR).