Where are the Vulnerabilities in the U.S. Pharma Supply Chain? (.PDF Download)

Sept. 13, 2021
A new study from Washington University highlights the lack of U.S.-made APIs as one of the biggest key vulnerabilities in the nation’s pharmaceutical supply chain.

The nation’s pharmaceutical supply chain may be in need of some reshoring, onshoring and/or near-shoring of key manufacturing activities in the near future. According to a new report from the Center for Analytics and Business Insights (CABI) at Washington University’s Olin Business School, more than 80% of active pharmaceutical ingredients (APIs) for essential medicines across key therapeutic areas lack a U.S. manufacturing source.

The report found that less than 5% of large-scale API sites are located in the U.S., and that the nation relies heavily on countries like India and China, both of which are home to most of the world’s large-scale manufacturing sites. These realities could pose a problem both in terms of navigating current supply chain interruptions and for pharmaceutical companies that are planning for the future.

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