US FDA's Gottlieb Warns Congress Of Shortages, Potential Job Losses In Puerto Rico
Executive Summary
Medical-product manufacturers in Puerto Rico took a major hit from Hurricane Maria, but some are slowly getting back up to speed as portions of the island's electrical grid go back online and additional generator power is deployed by device and drug companies, FDA Commissioner Scott Gottlieb told a US congressional panel Tuesday. But he warned that some facilities are "'sole-source" providers of devices and drugs, and that some longer-term government support may be needed to prevent future product losses.
You may also be interested in...
Saline Bag Shortages Continue As Flu Season Heats Up
The shortage of medical products caused by Hurricane Maria continues even as US FDA moves expiration dates and allows more imports to fill the need.
US FDA Fights Persisting IV Supply Shortages From Hurricane Maria
The September hurricane destroyed Puerto Rican medical device plants, causing a shortage of several key products that's still being felt. FDA Commissioner Scott Gottlieb said Monday that the agency is allowing more imports and considering other tactics to ease the shortage.
Puerto Rico Tax-Haven Status, R&D Credit Weakened By Tax-Reform Bill
Under tax reform legislation recently passed by Congress, a 20% tax on products made in domestic territories will adversely affect the many device firms with Puerto Rican plants that currently enjoy a lower, 4% tax rate on profits. And a second tax provision usually relied upon by medtech companies, the R&D tax credit, also loses ground under the final Senate bill passed Dec. 2.