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China could weaponise drug exports to retaliate against US chip restrictions, Beijing adviser says

  • High-profile economist Li Daokui says Beijing could restrict drug exports to the US if the Trump administration was to cut China’s access to semiconductors
  • Washington has been ratcheting up attacks on Chinese tech firms, including starving Huawei of components made by American companies

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Chinese economist Li Daokui said Beijing could limit American access to medicines if it was starved further of semiconductors. Photo: David Wong

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.

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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.

Of course, we will not take the lead in doing this, but if the US dares to play dirty, we have these countermeasures
Li Daokui

“For vitamins and antibiotics, more than 90 per cent of their raw materials are produced in China,” Li recently told local media, reiterating comments he made last year.

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