Congressman Scott Peters on China, FDA reform, and protecting U.S. biotech on the Making Medicine podcast

Congressman Scott Peters (D-CA) joined Incubate Executive Director John Stanford on the Making Medicine podcast for a wide-ranging conversation on U.S.-China biotech competition, drug pricing policy, and the future of American competitiveness.

Representing San Diego -- one of the world's leading biotech hubs -- Peters offered a candid look at the intersection of healthcare policy, biotech industry, venture investment, and national security, and biotech industry.

China is no longer just copying. It is competing.

Peters warned that policymakers can no longer dismiss China as simply a fast follower in biotechnology. He argued that maintaining U.S. leadership will require continued investment in NIH-funded basic science, policies that encourage private-sector risk taking, and a regulatory system capable of keeping pace with breakthrough discoveries.

FDA modernization is becoming a competitiveness issue.

One of the sharpest critiques in the conversation focused on the FDA and growing concerns from companies about regulatory slowdowns. "The FDA was the gold standard. I think that under this administration I hear a lot of complaints from companies trying to get through it about how it's become an impediment that's got to be fixed."

Peters emphasized that scientific dialogue between innovators and regulators is essential to maintaining America's edge in life sciences.

Peters defends investment incentives and the EPIC Act.

Peters described opposing parts of his own party's original Inflation Reduction Act drug pricing framework because he believed immediate government price negotiation would undermine biotech investment: "If you don't give some return on investment to people who've made these risky investments to create these drugs, they're not going to invest in private drug discovery."

The congressman reflected extensively on his role shaping the Inflation Reduction Act's drug pricing provisions and his support for the EPIC Act to address the pill penalty. Peters specifically pointed to reduced investment in small molecules following the IRA's implementation, warning that future Alzheimer's treatments could be at risk without policy fixes. "Alzheimer's is going to bankrupt the country if we don't deal with it," he said.

Immigration and talent remain strategic advantages for the U.S.

Peters expressed concern about declining international graduate applications and argued that maintaining U.S. leadership in biotechnology will require policymakers to once again make America the world's top destination for scientists, engineers, and entrepreneurs. 

The next healthcare fight is PBM reform.

Looking ahead, Peters suggested the next major healthcare reform debate should focus less on manufacturers and more on insurance middlemen. "The real thing that people don't appreciate yet is what's happening on the insurance side with the PBMs." Peters argued that addressing PBM incentives and broader insurance market distortions represents the "low hanging fruit" for lowering patient costs.

From FDA reform to China competition to drug pricing and PBM reform, Peters framed biotech policy as central not only to healthcare, but to America's broader economic and national security future. To hear Stanford and Congressman Peters' full conversation, check out the Making Medicine podcast on YouTube, Spotify, or Apple Podcasts.