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China’s Emerging Trade Strategy: Pharmaceuticals as a New Challenge for the US

As tensions between the United States and China continue to escalate, the focus on trade relations has intensified. While much attention has been given to rare earth elements, another critical sector poses a significant challenge: pharmaceuticals.

The pharmaceutical industry is crucial for both countries, with the US relying heavily on China for active pharmaceutical ingredients (APIs) and other essential components. This dependency raises concerns about supply chain vulnerabilities, especially amid geopolitical tensions.

China’s strategic approach to trade includes leveraging its position in the pharmaceutical sector as a potential weapon against the US. With the ongoing trade disputes, China could restrict exports of vital medications and ingredients, impacting healthcare and pharmaceutical availability in America.

Moreover, the COVID-19 pandemic highlighted the fragility of global supply chains, prompting US policymakers to reconsider their reliance on foreign suppliers for critical drugs. As a result, there is a growing push for reshoring pharmaceutical production and securing alternative sources.

In conclusion, as the US navigates its complex trade relationship with China, the pharmaceutical industry emerges as a significant area of concern. Policymakers must address these vulnerabilities to ensure a stable and secure supply of essential medications.

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Source: Original