Sen. Dick Lugar (R-Ind.)
Sen. Dick Lugar (R-Ind.), the head Republican on the Senate’s Foreign Affairs Committee, warned Chinese officials that its proposed price controls for medical products would hurt American companies and Chinese patients.
The letter from Lugar comes as China decides how to best provide basic medical care to all of its 1.3 billion citizens by 2020.
The U.S. med-tech industry is eyeing the future market, but worries that China will opt for price controls that would dig into industry profits and make expensive American devices less competitive, according to TheHill.com
“Both the United States and China would stand to benefit from a solution that achieves China’s healthcare objectives without harming this important industry,” Lugar wrote to in the letter to the Chinese Ambassador. “This approach would be consistent with our mutual support for transparency and consultation as we work together to find mutually beneficial ways to further harmonize our commercial relations.”
China has been under scrutiny from the U.S. lately in light of news of hundreds of cyber attacks from the economic superpower.
Med-tech titan Boston Scientific (NYSE:BSX) was one of 760 companies hit by Chinese cyber attacks that also targeted U.S. government agencies, research universities and Internet providers.
It’s not clear whether the Natick, Mass.-based medical device maker lost any sensitive information in the attack.
The attacks were aimed at the medical device, biotechnology, clean energy, advanced semiconductor, high-end manufacturing and information technology industries, according to Bloomberg.
"We’re talking about stealing entire industries," Scott Borg, director of the U.S. Cyber Consequences Unit, told the news service. "This may be the biggest transfer of wealth in a short period of time that the world has ever seen."