House members want drugmakers to end their existing contracts with WuXi AppTec and other Chinese firms by 2032, two sources told Endpoints News.
The Biosecure Act, under its current Senate iteration, proposes to essentially ban popular Chinese contractors from inking new US deals. Now, newly drafted language would go a step further by sunsetting work that’s already in progress. A 2032 deadline, while still years away, would impact an industry that deals in long timelines.
The draft language is expected to be released before a House markup of the bill that’s slated for May 15, according to the two people familiar with the matter, who cautioned that the plans could change.
WuXi AppTec and WuXi Biologics did not respond to a request for comment.
The proposed clause could intensify drugmakers’ searches for WuXi alternatives. It can take eight years, and sometimes longer, to switch manufacturers, companies reported in a recent survey conducted by the trade group Biotechnology Innovation Organization, or BIO.
In March, a Senate committee voted to advance a version of the Biosecure Act that allows existing WuXi contracts to continue indefinitely. Drugmakers have said a so-called grandfather provision, in some form, is important to minimize manufacturing disruptions.
Lawmakers have cited national security concerns in proposing the Biosecure Act. But nearly all of the top pharmaceutical companies – and many small biotechs – rely on a family of WuXi companies to develop and produce medicines.
The proposed 2032 deadline was reached after talks among lawmakers, BIO and another trade group called Pharmaceutical Research and Manufacturers of America, or PhRMA, according to the two sources.
BIO and PhRMA did not respond to requests for comment.
The sunset clause would also apply to DNA sequencing companies that are named in the bill, including BGI and Complete Genomics.
BGI did not respond to a request for comment. A Complete Genomics spokesperson said company representatives had not seen the proposed sunset clause.
The House could vote on the Biosecure Act as soon as this month, Axios reported on Tuesday.