Bill restricting US contracts with Chinese biotech firms among first to pass House in ‘China Week’

The congressional chamber began voting Monday on a series of bills to limit Beijing’s political, economic and technological influence

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The Hong Kong Economic and Trade Offices in San Francisco is one of three locations that a US House bill targeted on Monday. Photo: Handout

Published: 8:38am, 10 Sep 2024Updated: 10:12am, 10 Sep 2024

In the first legislative moves of “China week”, the US House passed a bill on Monday that would restrict the federal government from contracting with Chinese biotech firms involved in the US medical supply chain, along with over a dozen bills targeting Beijing’s political, economic and technological influence.

The Biosecure Act, which passed 306-81, targets five Chinese companies – BGI Group, Complete Genomics, MGI, Wuxi AppTec and Wuxi Biologics – and establishes an inter-agency process for identifying additional companies.

Meant to encourage US firms to reduce their reliance on Chinese manufacturing and limit the risk of American health data going to Beijing, the bill – a version of which has cleared a Senate committee – has faced backlash from biotech executives who contend it could contribute to widespread drug shortages in the US.

In response, lawmakers had extended the deadline for halting existing contracts with the named Chinese firms to January 2032.

Having enjoyed bipartisan support, it was not expected to face hurdles on the House floor. But Democratic congressman Jim McGovern of Massachusetts cast doubt on the process used for determining the list of targeted companies, and garnered the support of House Democratic leadership in voting against the bill.

“If we’re going to name companies, there ought to be a clear, transparent process,” said McGovern, whose district is home to a facility that Wuxi Biologics is building.