The Department of Health and Human Services today announced a $354 million agreement with a private partnership to make more active pharmaceutical ingredients and generic drugs in the United States to treat patients hospitalized with COVID-19 and prevent shortages of essential medicines.

Under the four-year agreement, Phlow Corporation will partner with Civica Rx, the nonprofit generic drug company created by hospital systems and others; AMPAC Fine Chemicals; the Medicines for All Institute at Virginia Commonwealth University’s College of Engineering and others to rapidly make the active pharmaceutical ingredients and medicines using advanced manufacturing processes.

The contract can be extended up to 10 years to maintain the system and supplies.

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