[BIO USA] "AI and Bioindustry Have Strong Synergy... We Should Focus on Areas with Tangible Results"

"Negative Regulation Needed for Industry Development"
"US Drug Price Reduction Policy Likely to Have Limited Impact on Korea"

As the government has made clear its policy commitment to fostering artificial intelligence (AI) as a core national strategic industry, there have been calls to focus on AI development specifically within the bioindustry sector. Some argue that investing in the bioindustry, where greater synergy can be achieved, is more efficient than making uniform investments across all AI sectors.

Noh Yeonhong, chairman of the Korea Pharmaceutical and Bio-Pharma Manufacturers Association, held a meeting with the press at the 2025 BIO International Convention (BIO USA) held in Boston, USA, on the 17th (local time) and answered questions from reporters. Photo by Choi Taewon

Noh Yeonhong, chairman of the Korea Pharmaceutical and Bio-Pharma Manufacturers Association, held a meeting with the press at the 2025 BIO International Convention (BIO USA) held in Boston, USA, on the 17th (local time). He stated, "The bioindustry sector has been included in the newly established Office of the Senior Secretary for AI Future Planning within the Presidential Office. If the policy direction is set to foster the bio sector through AI, it would be very encouraging."

Chairman Noh said, "The bioindustry can achieve the greatest results when AI investment is concentrated in this area," and added, "Rather than investing equally across all sectors, it seems better to focus on areas where tangible outcomes can be achieved." He continued, "We have been continuously conveying these opinions to the government," emphasizing that "this could be a way to revitalize the bioindustry and enable it to play a leading role in the national economy."

He also pointed out the need to shift to a negative regulatory (minimum regulation) approach for industry development. He explained that when technological advancement is rapid, trying to start by first regulating new fields can lead to significant difficulties.

Noh highlighted that, excluding the United States, Korea had the largest number of participants at this year's BIO USA, saying, "Recently, domestic companies have been actively participating in international exhibitions and events. Our pharmaceutical and bioindustry is entering a new phase of global expansion." He added, "Since pharmaceuticals and bio are strictly regulated industries, there is a high risk of falling behind in the competition without a negative regulatory system. While it may not be possible to switch all sectors at once, negative regulation is extremely important in advanced industries such as new drug development."

Noh also predicted that even if the United States implements drug price reduction policies, the impact on Korea's pharmaceutical and bio sectors would be relatively limited. He explained, "Korean pharmaceutical and bio companies do not have a large market share in the United States. Although the biosimilar and CDMO sectors have been making strides recently, their situation is somewhat different from that of general pharmaceuticals or other new drugs. Therefore, even if drug price reductions are implemented, the immediate impact will not be significant."

He further analyzed that, since President Donald Trump's goal is to supply medicines to Americans at lower prices, domestic products with price competitiveness would be less affected. Noh said, "It is uncertain how long the US policies such as drug price reductions will last in the long term, but ultimately, they seem intended to encourage domestic production of pharmaceuticals in the United States," adding, "We need to be prepared for these aspects domestically as well."