The National Association of Chain Drug Stores (NACDS) today submitted comments regarding the U.S. Department of Commerce’s investigation into the impact of pharmaceutical and active pharmaceutical ingredient imports on America’s national security. NACDS’ submission underscores the importance of fortifying domestic pharmaceutical manufacturing while ensuring Americans’ access to vital medications and to their trusted pharmacies remains uncompromised.
The Department of Commerce’s investigation, initiated under Section 232 of the Trade Expansion Act of 1962, seeks to determine whether America’s reliance on imported pharmaceuticals and ingredients puts national security at risk. Recognizing the intricate and global nature of the pharmaceutical supply chain, NACDS validates the priority of fostering domestic production and details methods to prevent disruptions to patient care. The Association calls for a strategic approach that builds capacity at home while maintaining uninterrupted access to essential medications and pharmacies that millions rely on daily.
“NACDS and our members are committed to helping achieve the Administration’s objectives to enhance America’s national security interests and reduce dependence on foreign pharmaceutical manufacturing,” said Steven C. Anderson, president and CEO of NACDS. “This goal can be achieved while maintaining a careful balance to prevent disruptions in medication access for the American people and further strain on the nation’s pharmacies.”
Should the Administration move forward with tariffs on pharmaceuticals and pharmaceutical ingredients, NACDS is advocating for carefully designed structure that leverages incentives, building U.S. manufacturing capacity without jeopardizing patients’ access to essential medications. The comments outline a roadmap for policymakers:
- Pursue a phased and targeted approach to supporting domestic manufacturing,
- Provide essential exclusions for certain pharmaceuticals such as generics or those in shortage, and
- Implement pharmacy benefit manager (PBM) reform to strengthen the domestic pharmaceutical supply chain; however, PBM reform, alone, is not a complete solution.
“Given how deeply Americans rely on the nation’s pharmacies for access to healthcare, and as the ‘last mile’ of the pharmaceutical supply chain, we urge the Department to carefully consider the impacts of this investigation on pharmacies,” said Anderson. “Our members serve as healthcare lifelines in communities nationwide — we cannot afford disruptions that leave pharmacy shelves empty.”
Safeguarding the nation’s access to pharmacies and improving the affordability of prescription drugs is critical to improving health, reducing healthcare spending, and protecting American taxpayers. NACDS looks forward to partnering with the Administration to strengthen the pharmaceutical supply chain, implement comprehensive PBM reform, and advance broader goals to Make America Healthy Again — all of which promote national security.
