Currax CEO George Hampton on Pharmaceutical Tariffs and Global Production Strategy

Pharmaceutical Tariffs and Investigations

• 🇺🇸 The US administration is investigating pharmaceuticals and pharmaceutical ingredients for potential tariffs, a move that was anticipated by the industry.
• 💡 A 3-week comment period has been granted, allowing the industry to present its case and potentially delay the implementation of new policies.
• ⏳ While the investigation has a 270-day limit, it's expected to conclude much sooner due to the president's urgency.

Industry Impact and Company Responses

• 📉 Companies are already making their case to the administration, highlighting existing US investments and the challenges of rapid change.
• ⚠️ Generic drug manufacturers argue that moving production to the US is infeasible due to thin margins and high costs.
• 🇪🇸 Currax is moving some production from Canada to Barcelona, Spain, to diversify and meet global demand, while also stockpiling products in the US as a short-term solution.

Long-Term Strategy and R&D

• 🇺🇸 Currax is shifting its pipeline assets, R&D, and future manufacturing to the United States, acknowledging that this process requires significant time and investment.

Pharmaceutical Pricing and Delivery Systems

• 💬 Pharmaceutical pricing remains a contentious issue, with the system of delivery in the US, including PBMs and insurance rebates, identified as a driver of high costs.
• 💰 Currax highlights that its product, Contra, is offered at $99 per month in the US, which is cheaper than in most other countries.