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    Home » Critical Medicines Act could be funded by EU defence package
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    Critical Medicines Act could be funded by EU defence package

    March 10, 2025
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    A coalition of 11 European Union health ministers has called for critical medicines to be included within the scope of new EU defence funds, arguing that medicine security is a vital component of Europe’s strategic autonomy. The ministers, representing Belgium, Czechia, Cyprus, Estonia, Germany, Greece, Latvia, Lithuania, Portugal, Slovenia, and Spain, outlined their proposal in an op-ed published on Euronews ahead of the expected unveiling of a Critical Medicines Act this week.

    Critical Medicines Act could be funded by EU defence package

    The ministers advocate for the proposed act to be integrated into broader EU security initiatives, effectively placing it under defence funding mechanisms. “The Critical Medicines Act must serve as a robust instrument. Part of its funding should be embedded in broader EU defence spending plans, including financial mechanisms in the new defence package,” they wrote, emphasizing that a lack of essential medicines could undermine Europe’s defence capabilities.

    Their proposal aims to tap into the €800 billion Rearm Europe plan, which EU leaders endorsed in principle at last week’s extraordinary summit. The initiative is designed to significantly increase member states’ defence and security expenditures, facilitated by the activation of an emergency provision within the EU’s Stability and Growth Pact that allows for higher spending under exceptional circumstances.

    A further €150 billion is expected to come from a new EU defence instrument, which would enable the European Commission to borrow from capital markets, issue bonds, and provide loans to member states. The ministers argue that incorporating critical medicines into this framework aligns with the United States‘ Defence Production Act, which treats pharmaceutical supply chains as a matter of national security.

    How the Critical Medicines Act aligns with EU security goals

    “Europe can no longer afford to treat medicine security as a secondary issue,” the ministers stated, warning that failure to act could leave the continent vulnerable. “Anything less would be a grave miscalculation one that could turn our dependence on critical medicines into the Achilles’ heel of Europe’s security.”

    The proposed Critical Medicines Act is a key health priority for the European Commission, aiming to tackle persistent shortages of essential drugs such as antibiotics, insulin, and painkillers. It targets medicines that are difficult to source due to limited manufacturers or supply chain dependencies on a small number of countries.

    The ministers underscored the risks of supply chain disruptions, particularly during crises or conflicts. “If the supply chain of antibiotics is interrupted in the midst of an escalating conflict, routine surgeries become high-risk procedures, and easily treatable infections could turn fatal,” they warned.

    If adopted, the proposal would loosen EU budget rules, allowing increased national health spending without triggering financial penalties. Specifically, it would exempt up to 1.5 percent of GDP in defence-related spending, including critical medicines, from EU fiscal limits for the next four years. – By EuroWire News Desk.

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