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opinion: how turmoil in u.s. can be canada’s healthcare advantage

canada can become a world leader in pharmaceutical research, development, healthcare delivery and medical device manufacturing.

unlike the current situation in the u.s., canada offers a safe environment for investment and research. getty images
donald trump’s return to the white house has created chaos and uncertainty. if we are smart, trump’s turmoil can be canada’s opportunity. we are well-regarded throughout the world. in canada, up is still up, good is not bad and friends are not enemies.
unlike the current situation in the u.s., canada offers a safe environment for investment and research. we uphold the rule of law, have stable institutions, outstanding universities and research hospitals, world-class manufacturing and are open to the world.
trump’s delusional ramblings about making canada the 51st state underline how necessary it is for canada to become less dependent on the u.s. we need new economic relationships. for these to be healthy, we must build expertise, products and services in areas that add value and are in demand.
one such area is healthcare. specifically, canada can become a world leader in pharmaceutical research, development, healthcare delivery and medical device manufacturing. despite its many challenges and limitations, the canadian healthcare system is a defining feature of canadian identity and will remain so.
but it is stuck in a crisis. wait times are too long. too few diagnostic and screening procedures (cts, mris, etc.) are available when needed. it takes too long for promising lethal disease treatments to be approved and made available to patients. we don’t have enough doctors, both specialists and general practitioners. the healthcare system is broken and going broke. spending is out of control.
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yet we have the building blocks to transform all this into a world-class healthcare system. our health research infrastructure is excellent. there are renowned universities and other centres of excellence in many provinces. we have solid manufacturing know-how. the canadian entrepreneurial spirit is alive and well. it’s not hard to find investors for the right projects. our workforce is highly educated.
our reforms are usually rational. we belong to the world health organization. we do not remove people without due cause. we don’t have a doge that makes indiscriminate, across-the-board cuts to essential healthcare research and programs. we learned long ago that such an approach hurts much more than it helps.
what should be our priorities for reform? in part, canada’s lagging health-related productivity has arisen from insufficient investment in research and infrastructure. we can transform ourselves into a world-renowned centre of excellence in developing pharmaceuticals, medical device innovation and build a healthcare system worthy of envy.  we can tackle our healthcare challenges, expand access to therapies and medical devices and reap the economic benefits. but it will require bold and quick action to create an attractive regulatory framework that is progress-centred, not process-centred. we need a robust, well-funded research environment freed from stultifying bureaucracy.
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we need incentives for investors and entrepreneurs. pharmaceutical research and medical device development usually require funding for many years, much like mineral exploration and development, oil and gas, and wind power companies. the income tax act allows these resource companies to attract investment by offering tax deductions to investors. specifically, flow-through shares provide a 100 per cent deductible investment from federal tax for investors, plus an additional provincial tax credit. why not construct a similar incentive for the healthcare sector, which is designed to attract domestic and foreign investors?
these will spur the healthcare industry to invest more and increase research activities in canada.  they will create an atmosphere that retains and grows homegrown talent, and attracts the best, including american scientists and other experts fired by doge. we can become an important partner with the eu and others.
trump’s tariffs include raw materials and components used to manufacture lifesaving pharmaceuticals and medical devices. the u.s. administration has recently threatened to put tariffs directly on pharmaceuticals. this will likely result in higher costs of all pharmaceuticals, not just lifesaving medications. inevitably, insurance premiums will rise as actuaries re-balance risks associated with tariff-driven cost increases.
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we cannot allow this to happen. our suggestions will require major financial investment and political commitment. provinces and the federal government will have to cooperate. for starters, perhaps best practices can be shared and implemented canada-wide. change will need to be bold yet measured.  we have a window of opportunity to transform the canadian healthcare system and create an important competitive advantage for canada. but we should act quickly before the window closes.
anris kica is co-ceo of the life-saving therapies network whose family has been touched by cancer.
dr. stewart, md is a professor of medicine at the university of ottawa, a medical oncologist at the ottawa hospital and chairman of lstn.
dr. bradford, phd is a co-founder and co-ceo of lstn, a two-time cancer survivor and caregiver to his wife, who died from cancer.
lstn (www.lifesavingtherapies.com) is a canadian-based, patient-led advocacy coalition dedicated to accelerating access to better treatments, diagnostics, and care for people with lethal diseases.

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