Observers argue that the longer protection period in the U.S. compared to foreign trading partners would lead to greater pressure at home.

“If you see too much of a price discrepancy (between the United States and trade partners), at some point you’re going to see a push back,” Steve Brozak, president of WBB Securities which focuses on smaller biotechs, told Reuters.

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For more information on the biotech sector, visit our biotechnology category.

Max Chen contributed to this article.