The announcement is they are working with Kodak to return our drug supply.
When the coronavirus outbreak was beginning to gain a foothold here in the States one of the surprising pieces of news to come out was how much of our national drug supply was dependent on China. Roughly 90% of the base ingredients for generics and antibiotics derive from China, and we were facing a potential crisis. The trump administration is now making moves to remedy that dangerous condition.
It was announced yesterday that a new initiative has been struck with the Kodak Corporation to begin the production of the core chemical ingredients for many generic drugs. Invoking the Defense Production Act the government will supply Kodak with a loan of $765 million to begin the production capabilities. This is expected to eventually lead to 25% of the drug production to ease back to this country.
“Our 33rd use of the Defense Production Act will mobilize Kodak to make generic, active pharmaceutical ingredients,” Trump said in a press conference Tuesday evening. “We will bring back our jobs and we will make America the world’s premier medical manufacturer and supplier.”
While Kodak is obviously known for film production and related industries, the chemical production needed for the film process shares many of the same elements, and the company is primed to transition some of its manufacturing to this cause. The company stated that it will be focusing on the pharmaceutical base elements that have fallen into short supply domestically, as laid out by the Food and Drug Administration.
As was experienced in the early portion of this year we were beholden to China for much of our drug supply. But as that nation was locking itself down and much of its international commerce was halted as a result we realized how much at risk this could place the US. This start to have drug production return to a domestic foundation is a needed correction to that potential crisis situation.
Author: Brad Slager