China could weaponise drug exports to retaliate against US chip restrictions

China could weaponise drug exports to retaliate against US chip restrictions (Source scmp.com)

China should weaponise its exports of medicines and drug precursors if the US cuts the country’s access to computer chips, a prominent Chinese academic and government adviser says, as supply chain security emerges as a key theme in the upcoming American presidential election. The United States is heavily reliant on imported medicines from China, something both US President Donald Trump and Democratic nominee Joe Biden have vowed to address after the coronavirus pandemic exposed vulnerabilities in the nation’s pharmaceutical and medical device supply. The candidates have pledged to shift production of critical medical products back to the United States, creating jobs and loosening reliance on foreign manufacturers like China. Though Beijing has not yet used pharmaceuticals to put pressure on the US, high-profile economist Li Daokui said China could limit American access to medicines if it was starved further of semiconductors.

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