U.S. Has No Backup Plan if Foreign Generic Drugmakers Bow Out, Senator Says

Senator warns of national security risks and quality concerns if major overseas suppliers stop selling drugs or ingredients to the U.S.

Jan. 30, 2026 at 5:15pm

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Sen. Rick Scott (R-Fla.) warned during a Senate hearing that the U.S. has no good backup plan if major overseas suppliers of prescription drugs and their ingredients decide to stop selling to the country. He noted that 91% of prescriptions in the U.S. are for generic drugs, with 94% of those using active pharmaceutical ingredients produced primarily in India and China, with little FDA oversight. Scott said if China or India wanted to stop the drug supply, the U.S. would have no way to keep these life-saving generic drugs available. Experts also voiced concerns about quality issues stemming from inadequate oversight of foreign drug facilities.

Why it matters

The U.S. reliance on foreign, largely unregulated suppliers of generic drugs and their ingredients poses significant national security and public health risks. If major overseas suppliers were to halt exports, it could lead to widespread drug shortages and potentially endanger the lives of millions of Americans who depend on these medications.

The details

Sen. Scott's bill, the CLEAR LABELS Act, would require country-of-origin labeling for finished drug products and their active pharmaceutical ingredients (APIs), providing consumers with information about the location of original manufacturers, packers, and distributors. Witnesses at the hearing supported greater transparency, with one researcher finding that both consumers and hospital pharmacists prefer drugs manufactured domestically or in countries closer to the U.S. over those made in India or China, even when told the drugs are FDA-approved. Experts also called for stronger foreign manufacturer inspections and increased testing of imported drugs.

  • In 2007 and 2008, officials discovered U.S. patients were being sickened by contaminated heparin from China, which was thought to be responsible for around 100 deaths.
  • In 2023, contaminated eye drops were linked to drug-resistant infections, leading to permanent vision loss and at least one death.
  • In late 2022, the FDA started testing unannounced inspections in India as part of a pilot project.

The players

Sen. Rick Scott

A Republican senator from Florida who chairs the Senate Special Committee on Aging.

John Gray

A business professor at the Ohio State University in Columbus who conducted research on the idea of country-of-origin labeling for drugs.

Stephen Schondelmeyer

A professor of pharmacy at the University of Minnesota in Minneapolis who discussed New Zealand's approach to drug supply chain transparency.

Michael Ganio

The senior director for pharmacy practice and quality at the American Society of Health-System Pharmacists (ASHP).

Sen. Ron Johnson

A Republican senator from Wisconsin who called country-of-origin labeling an "incredibly important first step."

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What they’re saying

“If the government of Communist China -- a self-described 'enemy of the United States' -- or India wants to stop the supply of prescription drugs to the United States, they can do so at any moment. If that happens, the United States has absolutely no plan to keep these generic life-saving drugs needed by millions of Americans available.”

— Sen. Rick Scott (medpagetoday.com)

“This kind of transparency would allow generic manufacturers to compete on something other than price, and it could help slow or even stop the 'race to the bottom' that has been present in this industry for the past several years.”

— John Gray, Business professor, Ohio State University (medpagetoday.com)

“Every step along the way is transparent.”

— Stephen Schondelmeyer, Professor of pharmacy, University of Minnesota (medpagetoday.com)

What’s next

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The takeaway

This case highlights growing concerns in the community about repeat offenders released on bail, raising questions about bail reform, public safety on SF streets, and if any special laws to govern autonomous vehicles in residential and commercial areas.