Congress acts against Chinese health tech ties in San Jose
- Complete Genomics, a California biotechnology firm, may be barred from the U.S. market due to its connections with China.
- The BIOSECURE Act, recently passed by the House, aims to prevent federal funding from benefiting companies linked to China, citing national security concerns.
- The legislation has sparked debate over its potential impact on drug development, innovation, and the U.S. health care system.
A California biotechnology company, Complete Genomics, is facing potential exclusion from the U.S. market due to its ties with China, highlighting the tension between health innovation and national security concerns. The U.S. House recently passed the BIOSECURE Act, which aims to prevent federal funding from benefiting companies linked to China, citing risks to Americans' health care data and the need to reduce reliance on Chinese medical supplies. This legislation received bipartisan support, passing with a 306-81 vote, and is now headed to the Senate for further consideration. Supporters of the bill argue that it is essential for protecting U.S. interests and ensuring a competitive edge in the biotech sector, which is critical for both economic and national security. However, opponents warn that the legislation could hinder drug development, delay clinical trials, and increase medication costs, ultimately stifling innovation in the industry. Critics also express concerns about the bill's potential to unfairly target specific companies without due process. Complete Genomics, a subsidiary of the China-based MGI, has defended its operations, asserting that it does not compromise the privacy of Americans' personal information. The company emphasizes that its instruments are connected only to local U.S. servers. Meanwhile, other industry players, including WuXi AppTec, have voiced apprehension about the bill's implications for biotechnology innovation and patient care. As the Senate deliberates on the BIOSECURE Act, the future of U.S.-China partnerships in the biotech field hangs in the balance, with significant implications for the pharmaceutical supply chain and the broader health care landscape.