MOHW's advisory council to respond to US’s Bio initiative

MOHW organizes a rrade advisory council on healthcare to respond to the US Executive Order

Will collect opinion through communication with industry and promptly reflect it in the trade policies

The government has organized a trade advisory council to address the trade issues that may arise from the National Biotechnology and Biomanufacturing Initiative that the Biden administration launched via an Executive Order.

 

Through the council, the government plans to strengthen communication with the pharmaceutical and bio industry and promptly respond to rising issues.

 

The advisory council, which consists of trade experts, will hold regular meetings every quarter and actively collect industry opinions to reflect on trade policies established in the healthcare and the pharmaceutical industry.

 

Until a specific plan is set to regulate the pharmaceutical and bio industry by the US government, the Korean government will preemptively draw up a policy framework that reflects the difficulties expressed by the industry and establish an organic public-private consultative body.

 

On the 20th, an MOHW official said, “We organized a trade consultative council with domestic industries including the pharmaceutical and bio industries, and held the first trade policy meeting on its regular operation.” Members of the Korea Pharmaceutical and Bio-Pharma Manufacturers Association, Korea Pharmaceutical Traders Association, Korea Medical Devices Industrial Cooperative Association, Korea Medical Devices Industry Association, Korea Cosmetics Association, and Korean Research-based Pharmaceutical Industry Association attended the policy meeting that was held at the Korea Chamber of Commerce and Industry (KCCI) office by the MOHW and the Korea Health Industry Development Institute (KHIDI).

 

The MOHW recently evaluated that US’s Executive Order for the National Biotechnology and Biomanufacturing Initiative was made to protect its industries and reduce dependence on foreign countries such as China in the pharmaceutical and bio sectors, in addition to the measures it had previously made in the semiconductors and electric vehicles sector.

 

Korean companies that heavily rely on exports to the US are expected to have a negative impact if the US promotes and reinforces domestic manufacturing, but MOHW believes its immediate impact will be limited due to its characteristics, being pharmaceuticals products.

 

The MOHW plans to analyze the impact the Bio Executive Order will have on Korea’s pharmaceutical and bio markets from various angles and strengthen the role of domestic supply networks that have price and technological advantages.

 

In addition, through external expansion of the advisory council by adding industry opinions, the government will enhance its response to trade frictions and regularize roundtable meetings between the government and the pharmaceutical and bio industry around the trade advisory council to respond promptly to trade issues that may arise.

 

An MOHW official said, “The response to the US bio executive order will be decided through pan-ministerial discussions with not only the MOHW but also the Ministry of Trade, Industry, and Energy, etc.

 

Starting with the trade advisory council that covers both the pharmaceutical and bio fields in healthcare, we plan to hold as many meetings with the industry as possible." The official added, “We will hold the first healthcare trade forum this October.

 

Then, we plan to institutionalize, regularize, and activate this forum in the future.

 

Then, we plan to regularly hold forums to share information and inform the industry of the government's direction of response in advance when trade issues arise for their rapid and efficient response.” At the trade meeting, a KHIDI official explained, “The meeting was held to explain the government’s course of direction regarding the difficulties that the pharmaceutical and bio industry may face with regards to the Biden administration’s Bio Executive Order.

 

As it may be difficult for the associations and pharmaceutical and bio industries to take individual action, there was also a request for the government to take the lead in making such response.” The official added, “The trade support counter within KHIDI acts as a channel for communication that responds to questions and requests made by associations and companies for rising trade issues.

 

It will act as part of a network that will be established to directly convey opinions of the Trade Advisory Council.”