Staten Island Reporter

Today, Congresswoman Nicole Malliotakis (NY-11) introduced the Supply Chain Security and Growth Act, a bipartisan legislation aimed at leveraging Investment Tax Credits (ITCs) to relocate critical U.S. supply chains to Puerto Rico from less reliable locations such as China. The initiative is supported by Reps. Bill Pascrell (D-NJ), Gus Bilirakis (R-FL), Nydia Velázquez (D-NY), Mike Lawler (R-NY), and James Moylan (R-GU).

"Right now, the lion share of our active pharmaceutical ingredients are being manufactured in Asia, predominately China, posing a severe threat to our medical supply chains and national security," said Congresswoman Malliotakis. "Our legislation seeks to incentivize manufacturers to 'near shore' their facilities to friendlier locations, such as Puerto Rico, to not only reduce our reliance on foreign nations and protect Americans from life-threatening drug shortages but promote American jobs and economic development in our U.S. territories."

The legislation addresses current shortages of 252 drugs in the U.S., including antibiotics and chemotherapies, with no pattern of predictability. Presently, 80 percent of all active pharmaceutical ingredients for essential medicines have no domestic manufacturing source. In 2021, China was the leading source for U.S. pharmaceutical imports by weight and value.

"The global pandemic exposed the absolute need for America to fix its broken supply chains and become less reliant on foreign nations for our critical needs," said Congressman Pascrell. "This legislation will fill a big piece of the puzzle and bring our nation even closer to where we need to be by incentivizing crucial investments in Puerto Rico."

"Throughout the country, Americans are continuing to suffer from shortages in critical medications because our pharmaceutical supply chain relies too heavily on foreign sources – especially those located in China," said Congressman Bilirakis. "I’m proud to be working with my colleagues on this important legislation that will solve this problem by encouraging the development of medications that are Made in the USA."

"The COVID-19 pandemic highlighted the precariousness of our supply chains and the negative impact that shortages can have on working families," said Congresswoman Velázquez. "Resilient supply chains are imperative to protecting consumers and national security."

Congressman Lawler emphasized the importance of securing supply chains: "The global economic crisis of the past few years was a wakeup call... This legislation will help shake our reliance from China on critical supplies such as pharmaceuticals by incentivizing manufacturers to near shore their facilities."

Delegate James Moylan highlighted his long-term efforts: "The Supply Chain Security and Growth Act of 2024 is a practical measure which would offer tax incentives... I look forward to seeing this spur investment in Guam and the Lower 48."