Medical Supply Chain Resiliency Act
Medical Supply Chain Resiliency Act
Plain Language Summary
# Medical Supply Chain Resiliency Act Summary **What the bill would do:** This bill would give the President authority to negotiate special trade agreements with other countries to improve the availability and reliability of medical supplies in the U.S. Under the bill, the President could reduce or eliminate tariffs (import taxes) and other trade barriers on medical goods—including pharmaceuticals, medical devices, and their components—if he determines it would strengthen national security and public health. The President would also have power to modify existing duties on these goods to carry out such agreements. **Who it affects:** The bill primarily impacts the medical supply industry, pharmaceutical companies, medical device manufacturers, and ultimately U.S. patients and healthcare consumers.
It could affect trade relationships with countries that produce or supply medical goods to the U.S. market. **Current status:** The bill was introduced by Senator Thomas Tillis (R-NC) in the 119th Congress and is currently in committee, meaning it has not yet been debated or voted on by the full Senate. The bill remains in the early stages of the legislative process.
CRS Official Summary
Medical Supply Chain Resiliency ActThis bill authorizes actions to facilitate trade in medical goods (i.e., medical devices, pharmaceutical goods, or inputs for such devices or goods).Specifically, the bill authorizes the President to (1) negotiate, enter into, and enforce a trusted trade partner agreement with a country or countries with respect to medical goods; and (2) proclaim a modification of any existing duty, a continuance of existing duty-free or excise treatment, or additional duties to carry out the trade agreement. These actions may only be taken if the President determines, based on specified considerations, that the reciprocal elimination of existing duties or other import restrictions with respect to medical goods would contribute to U.S. national security and public health. A trusted trade partner agreement may include certain provisions, such as those to (1) reduce or eliminate duties, quotas, or other trade barriers; (2) diversify and expand supplier networks to secure a reliable supply of medical goods; and (3) harmonize regulatory procedures.Not later than 60 days before initiating negotiations with a trusted trade partner, the President must submit written notice to Congress. The bill requires congressional consultation and review of these trade agreements. A trade agreement shall not take effect if, during the required review period, Congress enacts a joint resolution of disapproval.The Office of the U.S. Trade Representative must monitor compliance by a trusted trade partner with the trade agreement's commitments and obligations. Further, the President may take certain actions in response to a failure to comply.
Latest Action
Read twice and referred to the Committee on Finance.