House Oversight and Accountability Committee advances BIOSECURE Act

Via Politico:

A group of China-based biotech companies faced a setback on Wednesday as the House Oversight and Accountability Committee overwhelmingly advanced legislation that has them in the crosshairs, Megan reports.

The bill, called the BIOSECURE Act, would effectively ban the operations of Chinese “companies of concern” in the U.S. by prohibiting them — and any businesses that use their products — from receiving federal contracts, grants or loans.

One of those companies, WuXi AppTec, is used by many large drugmakers to help develop and bring medicines to market. In the leadup to the markup, WuXi AppTec and WuXi Biologics, which have China-based parent companies, had been urging lawmakers on the House panel to remove them from the bill.

The companies have been pushing back on lawmakers’ accusations that they have ties to the Chinese government and pose a national security risk. WuXi AppTec flew executives, including Richard Connell, the company’s U.S. and EU president, to Washington as part of the push. Elizabeth Steele, one of WuXi Biologics’ lobbyists, said the company has been working to “educate legislators on what our company does and doesn’t do.”

Last month, a spokesperson for Complete Genomics, a California-based company owned by MGI Tech, said its inclusion in the bill “is based on misunderstandings and representations about the company.”

The BIOSECURE Act has continued to gain momentum since a Senate committee approved its version in March.

It will be fascinating to see what happens with this. I predict passage in the House, and either passage in the Senate, or a quiet death there.