Every component of the US healthcare supply chain, from manufacturing to patient care, depends on a complex web of global commodities. Oil moves medical supplies around the world; petrochemicals support pharmaceutical manufacturing, liquid helium helps power MRI machines, and semiconductor chips are essential to many medical devices. When global events disrupt any part of that system, the effects can quickly reach patients and providers here at home.  

The ongoing conflict in the Middle East is just one example of how geopolitical instability can expose vulnerabilities in the healthcare supply chain. But this is not a new or isolated problem.  It is a long-standing, systemic challenge that requires coordinated action from policymakers, industry leaders, and healthcare stakeholders to strengthen resilience across the system.  

Our latest report, in partnership with The Community Impact Policy Institute, reinforces this reality. It shows how disruptions in critical commodities – including oil, plastics, helium, semiconductors, pharmaceuticals, and aluminum – can drive up costs and threaten continuity of care in the U.S. These risks ripple through the healthcare system in ways that are often invisible until they reach the bedside.  

Nearly half of the generic drugs prescribed in the U.S. are manufactured in India, and India relies heavily on oil imported through the Strait of Hormuz to support pharmaceutical production. Roughly 20% of global oil supplies move through the same route, creating volatility that can affect transportation costs, manufacturing inputs, and access to care. Other essential materials, like medical-grade plastics, helium, semiconductor chips, and aluminum, also face pressure when global supply chains are disrupted.  

We understand that supply chain resilience is healthcare resilience. The report’s findings make clear that building a stronger system will require more than short-term fixes. It will take smarter inventory planning by moving away from just-in-time ordering strategies, working with supply chain leaders and clinical staff to build up a critical supply list, and working to diversify suppliers geographically. It will also require stronger partnerships across sectors, including state and local governments, nearby healthcare facilities, and healthcare coalitions, to assist before, during, and after an event occurs. Greater attention must also be paid to access of care by implementing thresholds into their business continuity plans to account for supply chain disruptions, promoting telehealth capabilities, and advocating with state and local governments to improve transportation to and from medical appointments. Finally, it will require sustained investment in domestic manufacturing and preparedness so critical resources and inputs can be conserved and repurposed into new medical supplies.  

To learn more the full report can be found here.