New act advocates boosting U.S. medical manufacturing with tax incentives

New act advocates boosting U.S. medical manufacturing with tax incentives
U.S. Rep. Nicole Malliotakis, District 11 — Twitter Website
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Congresswoman Nicole Malliotakis and a bipartisan group of lawmakers introduced new legislation aimed at revitalizing the U.S. domestic medical manufacturing industry. Known as the Medical Manufacturing, Economic Development, and Sustainability (MMEDS) Act, this initiative seeks to bolster the production of medical supplies within the United States by providing federal tax incentives to pharmaceutical companies operating domestically or planning to relocate to U.S. territories.

The act emphasizes specifically enhancing production in economically distressed zones across the country, regions that have faced persistent economic hardships, including poverty and unemployment. By encouraging companies to re-shore operations from foreign nations, the legislation aims to strengthen the U.S. medical supply chain—a priority underscored during the COVID-19 pandemic when medical supply dependencies became apparent.

Congresswoman Malliotakis expressed her commitment to this cause, saying, “I am proud to introduce the bipartisan MMEDS Act to bring medical manufacturing to the United States and revitalize an industry that once thrived in regions such as Puerto Rico.” Governor Jenniffer González-Colón, who played a significant role in the bill’s earlier introduction, reiterated the importance of incentivizing manufacturing repatriation to boost economic growth and job creation.

Supporting lawmakers hailed from various districts and shared a common goal of fortifying the national medical supply chain. Rep. Maria Salazar underscored the necessity for change, “As recently as 2019, data has shown that the United States imports nearly two-thirds of its medicines and medical supplies from Europe and Asia. This must change.”

The legislation also proposes a collaboration between public and private sectors, spearheaded by the Biomedical Advanced Research and Development Authority (BARDA), to fuel innovation in population health medicines. Tax incentives will be extended to encourage this innovation in regions that are economically disadvantaged.

The introduction of the MMEDS Act was not an isolated effort. Earlier, Malliotakis had reintroduced the Supply Chain Security and Growth Act of 2025, aiming to shift important U.S. supply chains to Puerto Rico and away from less trustworthy locations like China.

View the Bill text HERE.

The MMEDS Act traces its origins to legislation initially presented by then Resident Commissioner of Puerto Rico, Jenniffer González-Colón, in the 118th Congress.



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