New survey: U.S. biotechs warn tariffs could impede access to cures, stifle innovation
New survey: U.S. biotechs warn tariffs could impede access to cures, stifle innovation
March 26, 2025
WASHINGTON (March 26, 2025) -- Today, the Biotechnology Innovation Organization (BIO) released results from a membership survey that underscores the significant, global integration of the biomedical supply chain. According to the findings, nearly 90% of U.S. biotech companies rely on imported components for at least half of their FDA-approved products -- making the supply of medicines for US patients and families especially vulnerable to proposed tariffs on the European Union, China, and Canada.
According to the survey, tariffs will:
- Reduce Access to Affordable Medicines: A staggering 94% of biotech firms anticipate surging manufacturing costs if tariffs are placed on imports from the European Union.
- Stall Medical Innovation: Proposed tariffs on the EU would force 50% of companies to scramble for new research and manufacturing partners. Half of those surveyed say they would have to rework or potentially delay regulatory filings, jeopardizing the pace of innovation.
- Create Red Tape: In the face of sudden tariffs, 80% of biotech firms report needing at least 12 months to find alternative suppliers, and a remarkable 44% would require more than two years -- delays that could disrupt the pipeline of breakthrough treatments.
"This survey demonstrates the far reaching and potentially damaging impacts of the proposed tariffs on our biotechnology industry, on biomedical research and on patients,” said BIO President and CEO John F. Crowley. “We fully support strong policies and programs that incentivize the manufacture of medicines here in America. Re-onshoring key parts of the biotechnology supply chain to the U.S. and our allies and strengthening the American manufacturing base should be a high priority for both national and economic security. It will take years, though, for this shift and we need to be mindful of the negative consequences of these proposed tariffs. We look forward to working with the Administration and Congress to develop incentives and policies that drive private sector dollars to spur a renaissance of U.S. biotech manufacturing." Conducted in February 2025, the survey captures perspectives ranging from small, start-up companies to large-cap corporations with more than $1 billion in revenue.
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About BIO
BIO is the world's largest trade association representing biotechnology companies, academic institutions, state biotechnology centers and related organizations across the United States and in more than 30 other nations. BIO members are involved in the research and development of innovative healthcare, agricultural, industrial, and environmental biotechnology products. BIO also produces the BIO International Convention, the world's largest gathering of the biotechnology industry, along with industry-leading investor and partnering meetings held around the world.
