Jeon Seung-ho, CEO of Daewoong Pharmaceutical, "Virtually Victorious... Cleared of Strain Theft Allegations"

[Asia Economy Reporter Cho Hyun-ui] On the 17th, Jeon Seung-ho, CEO of Daewoong Pharmaceutical, evaluated the US International Trade Commission (ITC)'s final ruling on the botulinum strain dispute, which favored Medytox, as "virtually a victory for Daewoong Pharmaceutical."

In a phone interview with Asia Economy on the same day, CEO Jeon stated, "It has been recognized that the botulinum strain is not a trade secret."

On the 16th (local time), the ITC ordered a 21-month import ban on Daewoong Pharmaceutical's product 'Nabota' in its final ruling. Considering that the preliminary ruling in July recommended a 10-year import ban due to allegations of strain and manufacturing technology theft, this is a significant reduction.

CEO Jeon said, "I am most pleased that the allegations of strain theft have been cleared," adding, "It has been acknowledged that the strain is not subject to trade secret protection."

Earlier in October, the ITC's Office of Unfair Import Investigations (OUI) supported the ITC's preliminary decision, stating, "Daewoong Pharmaceutical's strain theft should result in a permanent import ban, and manufacturing process and R&D theft should result in a 21-month import ban."

CEO Jeon asserted that the 21-month import ban related to manufacturing technology theft can also be resolved.

He said, "I have heard that there was intense debate within the ITC during the process of reaching the final ruling regarding manufacturing technology theft," and added, "I expect that through presidential veto power or appeals to federal courts, the manufacturing technology-related issues can be resolved within up to six months."

Daewoong Pharmaceutical expressed satisfaction with the ruling, as the dispute with Medytox was essentially a strain war.

CEO Jeon said, "The strain war is over," and added, "Even if the part concerning manufacturing technology theft is not overturned, 21 months is a short period, so it is virtually not a problem," and "We will continue to prepare smoothly for our entry into China in 2022."