I
106TH CONGRESS
2D SESSION
H. R. 4764
To require the United States Trade Representative to enter into negotiations
to eliminate price controls imposed by certain foreign countries on pre-
scription drugs.
IN THE HOUSE OF REPRESENTATIVES
JUNE 27, 2000
Mr. EWING (for himself, Mr. MCCRERY, and Mr. THOMAS) introduced the
following bill; which was referred to the Committee on Ways and Means
A BILL
To require the United States Trade Representative to enter
into negotiations to eliminate price controls imposed by
certain foreign countries on prescription drugs.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. FINDINGS.
Congress makes the following findings:
(1) Americans should have access to the most
effective prescription medicines at affordable prices.
(2) The United States leads the world in the
development of new prescription medicines to help
and heal patients in the United States and around
the world.
(3) Americans pay disproportionately more for
many prescription medicines than most of their for-
eign counterparts.
(4) The use of price controls by foreign govern-
ments limits Americans access to prescription medi-
cines that can save, prolong, and improve lives by re-
quiring American patients to cover a dispropor-
tionate cost of pharmaceutical research and develop-
ment.
(5) The use of foreign price controls on innova-
tive medicines disadvantages Americans, distorts
trade, and constitutes an unjustifiable, unreasonable,
and discriminatory practice that burdens or restricts
United States commerce within the meaning of sec-
tion 301 of the Trade Act of 1974.
SEC. 2. ACTIONS TO ELIMINATE INEQUITIES IN PHARMA-
CEUTICAL TRADE.
(a) NEGOTIATIONS.—The United States Trade Rep-
resentative, with the advice of and in consultation with
the Secretary of Health and Human Services, shall enter
into negotiations with the Governments of the other G–
8 countries in order to achieve the agreement of those
Governments to eliminate price controls on innovative
medicines and the unfair trade practices that result from
the application of price controls.
(b) CONDITIONAL REQUIREMENT FOR ADDITIONAL
ACTIONS.—
(1) IN GENERAL.—If, within 12 months after
the date of enactment of this Act, negotiations under
subsection (a) have not achieved the objectives set
forth in that subsection, the United States Trade
Representative shall submit to Congress rec-
ommendations for the most effective measures (in-
cluding the effect of imposing measures under the
authority of section 301 of the Trade Act of 1974)
for eliminating the disparity between the price of
prescription drugs in the United States and the
price of prescription drugs in the other G–8 coun-
tries with the goal of reducing the price of prescrip-
tion drugs for United States consumers.
(2) MEASURES RECOMMENDED.—The measures
recommended under paragraph (1) shall be of a na-
ture and amount that fully reflect the economic
harm that is inflicted on patients and health care in
the United States, and the harm that is inflicted on
the United States economy when countries pay the
country specific marginal costs of prescription drugs
and let the United States cover the research and de-
velopment costs of innovative prescription drugs.
(3) CONSULTATION
WITH
FEDERAL
TRADE
COMMISSION.—In determining the measures to rec-
ommend under paragraph (1), the United States
Trade Representative shall consult with the Federal
Trade Commission and shall also seek the advice
of—
(A) the United States International Trade
Commission regarding the extent of the direct
and indirect harm to the United States econ-
omy;
(B) the Secretary of Health and Human
Services regarding the extent of the direct and
indirect harm caused to American patients and
health care;
(C) the relevant private sector advisory
committees established under section 135 of the
Trade Act of 1974 (19 U.S.C. 2155); and
(D) representatives of appropriate inter-
ested private sector and other nongovernmental
organizations.
(c) DEFINITION.—For purposes of this section, the
term ‘‘G–8 countries’’ means the group of 8 industrial
countries consisting of Canada, France, Germany, Great
Britain, Italy, Japan, Russia, and the United States es-
tablished to facilitate economic cooperation.
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