Schumer says Texas Instruments will help Baxter in Medina with micro-chip shortage

Photos by Tom Rivers: Baxter International CEO and President José (Joe) E. Almeida stands next to Sen. Charles Schumer on Aug. 11 near the production floor of Baxter’s Medina plant in the Olde Pickle Factory. Almeida said then the company had a shrinking supply of microchips and was reaching out to many suppliers.

Posted 30 January 2023 at 12:32 pm

Press Release, U.S. Senate Majority Leader Charles Schumer

MEDINA – After standing with workers of Baxter International in Orleans County promising to fight to help solve their microchip supply chain issues, U.S. Senate Majority Leader Charles Schumer announced that the company has now said that his relentless advocacy for months has been successful and that the previous shortages that hindered production have been resolved.

“We cannot thank Senator Schumer and his staff enough for their relentless work on behalf of our Medina employees and patients to help us secure the chips necessary to produce our life-saving devices,” said José (Joe) E. Almeida, chairman, president and chief executive officer, Baxter International. “Hospitals need our infusion pump technology to care for patients in New York and across the country – a need that is even more critical now given the rising flu, RSV and Covid-19 cases.”

U.S. Senate Majority Leader Charles Schumer was at Baxter International in Medina on Aug. 11, touting federal legislation to boost microchip manufacturing in the United States. He is holding part of a Baxter infusion pump which requires 70 microchips.

Schumer wrote a letter and personally called Texas Instruments, pushing for months alongside Baxter to work with TI on delivering the chips needed to address shortage challenges and ensure bottlenecks did not impact Baxter’s 300-person workforce in Medina or the company’s ability to make essential medical technology like infusion pumps that are used in the treatment of Covid-19.

“Now after months of advocacy, I am proud to say a promise made is now a promise kept and the company has informed me that they received the orders and commitments needed to address the critical microchip supply  chain problems they faced with their pumps,” Schumer said. “Hospitals and patients in New York rely on Baxter’s life-saving products built in Medina and I will always pump up the pressure to protect NY jobs and ensure people can receive the healthcare they need. In tandem with my historic CHIPS and Science Bill, already spurring major investment like Edwards Vacuum in Genesee County, this is just what the doctor ordered to keep up manufacturing in Western New York.”

In August, the senator personally visited Orleans County to launch a two-pronged plan to address the microchip shortage that hindered production at the facility in Medina. Schumer explained that Baxter’s Spectrum IQ infusion system, built in Medina, requires approximately 70 chips per pump, and in previous months they have had to slow down production significantly due to the lack of a sufficient supply of chips.

Schumer said that Baxter’s infusion pumps are classified as in “critical need” by the U.S. Department of Health and Human Services for the nation’s pandemic response and so it was crucial their manufacturing supply chain be preserved to continue to produce these critical devices.

Schumer immediately began working with Texas Instruments, one of Baxter’s primary chip suppliers for this site, to help prioritize components for their lifesaving medical devices so that Baxter’s production of these pumps would not be impacted. After months of working closely with Baxter and TI with the senator even personally calling TI’s top brass to discuss the supply chain challenges, Baxter has confirmed that Schumer’s support has been successful and they have the necessary chips in hand to produce their critical infusion pump technology and preserve the company’s 300-person workforce in Medina.