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Home » Report: U.S. may shield medical device makers from antitrust rules amid pandemic

Report: U.S. may shield medical device makers from antitrust rules amid pandemic

May 22, 2020 By Sean Whooley

800px-White_House,_Blue_Sky
[Image courtesy of Zach Rudisin, CC BY-SA 3.0]
U.S. officials are reportedly set to invoke a law that would protect companies from antitrust regulations to keep medical supplies available during the COVID-19 pandemic.

The Associated Press reported that the government began formal discussions with private industry representatives yesterday, the subject of those discussions centering around a five-year agreement that would ensure supplies of protective materials, medical equipment, medicine and vaccines.

According to the report, the agreement involves a provision of the Defense Production Act that President Trump invoked recently in response to the COVID-19 pandemic. The provision enables competitive businesses and the government to discuss price and supply without flouting antitrust regulations, Federal Emergency Management Agency senior official Joel Doolin told the AP.

Over the course of the ongoing COVID-19 pandemic, there have been numerous reports of equipment shortages and insufficient supplies as healthcare facilities attempt to combat the virus. A recent study found that there remains a shortage of personal protective equipment (PPE) in hospitals, while last month it was reported that demand for kidney dialysis equipment and supplies jumped in hospitals in COVID-19 hot spots, leading to spot shortages.

Last month, the U.S. Dept. of Defense issued contracts totaling $133 million for the production of N95 respirator masks, while earlier this month, Congressional Democrats brought forward a bill that would give the government $75 billion to produce or purchase personal protective equipment (PPE) and medical devices like ventilators.

Filed Under: Business/Financial News, Featured, Legal News, Regulatory/Compliance, Respiratory Tagged With: Defense Production Act, Donald Trump

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About Sean Whooley

Sean Whooley is an associate editor who mainly produces work for MassDevice, Medical Design & Outsourcing and Drug Delivery Business News. He received a bachelor's degree in multiplatform journalism from the University of Maryland, College Park. You can connect with him on LinkedIn or email him at [email protected].

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