Trump Targets Pharmaceuticals with Proposed Tariffs
President Donald Trump has already imposed tariffs on products from nearly every major trading partner, including autos, steel, and aluminum. Now, he’s setting his sights on pharmaceuticals, a sector largely exempt from past trade disputes.
For decades, imported medicines have mostly entered the United States duty-free, but recent trade developments are changing that. U.S. and European leaders recently outlined a deal that includes a 15% tariff on certain European goods, including medicines, while Trump is threatening tariffs of up to 200% on drugs from other countries.
“Shock and awe,” says Maytee Pereira of PwC, describing the potential impact on the pharmaceutical industry. “This is an industry that’s going from zero tariffs to the possibility of 200%.”
While Trump has pledged to lower drug costs for Americans, experts warn that steep tariffs could have the opposite effect. Potential consequences include:
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Disrupted supply chains for critical medications
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Rising prices for imported drugs
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Shortages of affordable generic medications
The plan highlights the growing tension between trade policy and public health, as the U.S. pharmaceutical market braces for potential disruption.
