AHA Urges Congress to Protect Medical Supply Chains from Tariff Impacts

The American Hospital Association (AHA) is calling on Congress to strengthen the nation’s medical supply chains.The healthcare sector is sounding alarms about rising costs linked to tariffs on essential medications and life-saving equipment.

In a recent address to the U.S. Senate finance committee, the AHA emphasized that many U.S.healthcare providers depend significantly on international manufacturers for various drugs, including those for cancer treatment, heart conditions, immunosuppressants, and antibiotics. While pharmaceuticals were spared from the 10% tariffs introduced by the White House in early April, President Trump has indicated plans for substantial future taxes on imported medications.

“Even with efforts to enhance domestic production capabilities, a large portion of critical medical supplies still comes from abroad,” stated the AHA. “For numerous patients, even a brief interruption in access to these vital drugs could lead to severe health risks or even fatalities.”

The association also pointed out concerns regarding tariffs affecting imported medical devices and equipment—these are not exempt from recent levies. Approximately 70% of medical devices sold in America are produced overseas; this includes everything from blood pressure monitors and stethoscopes to syringes and anesthesia tools.

A survey conducted by Becker’s Medical Review revealed that 82% of 200 healthcare professionals anticipate tariff-related costs will hike hospital expenses by as much as 15% within six months. Additionally, an overwhelming 94% of administrators indicated they would need to postpone upgrades on equipment due to financial pressures.If Trump’s proposed higher tariff rates take effect, hospitals may have no choice but to find new suppliers without assurances regarding their reliability or quality.

To mitigate these challenges, the AHA is advocating for two key legislative measures: first is the “Pharmaceutical Supply Chain Risk Assessment Act,” which aims for an extensive evaluation of America’s drug supply chain; second is “Mapping America’s Pharmaceutical Supply Act,” designed to leverage data analytics in identifying potential vulnerabilities before they escalate into significant disruptions. The AHA also seeks continued exemptions for pharmaceuticals from existing tariffs while pushing for similar exceptions concerning imported medical supplies.

“Taking proactive steps like mapping out our pharmaceutical supply chains—and those related to other medical devices—is crucial for enhancing resilience within U.S. supply networks and ensuring patients maintain access to necessary care,” concluded the AHA.