Puerto Rico Can Help Secure U.S. Drug Supply Chain Amid China Threat

Ongoing oil price volatility related to Iran is a cautionary tale of what can happen when a country is too dependent on foreign supply chains.

Washington, D.C. (March 18, 2026)—Today, the House Select Committee on China is holding a hearing to examine Beijing’s growing influence in the global prescription drug market. The Capitol Hill inquiry comes as China is working to unseat the U.S. as a leader in biopharma innovation, with the communist country already controlling much of the world’s Active Pharmaceutical Ingredients (APIs). 

Ahead of the hearing, Opportunity Puerto Rico is highlighting how the U.S. can reverse that trend by expanding domestic manufacturing in Puerto Rico. The Island already produces seven of the ten best-selling drugs in the world and maintains infrastructure specifically tailored to pharmaceutical production. Puerto Rico also has a high concentration of STEM professionals, providing the workforce needed to manufacture advanced biologics and other high-value medicines.

“The war in Iran and subsequent oil price volatility is a cautionary tale of what can happen when a country is too reliant on foreign supply chains,” said James Bowers, executive director of Opportunity Puerto Rico. “Puerto Rico can help the U.S. avoid a similar situation with prescription drugs in relation to China by ramping up production of Made in America medicines.”

Federal policymakers have already taken steps to make this strategic aim a reality. Last year, the Trump administration strengthened the nation’s strategic stockpile of APIs while cutting regulatory red tape for companies seeking to bring drug manufacturing back to the United States. Congress reinforced those efforts by passing pro-growth tax reforms that restored full and immediate expensing for research and development.

These incentives are opening the door for major American health companies to expand their footprint in Puerto Rico. Since the start of 2025, the Island has attracted $2.1 billion in private sector commitments, according to Puerto Rico’s Economic Development Secretary.

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