Trump Slaps 100% Tariff on Branded Drug Imports
Donald Trump has announced a sweeping new set of tariffs, including a 100% duty on imported branded or patented pharmaceuticals starting October 1st, unless the manufacturer is building a facility in the U.S. The move, aimed at boosting domestic production, also includes a 25% tariff on heavy-duty trucks, and steep duties on furniture, cabinets, and vanities. "The reason for this is the large scale 'FLOODING' of these products into the United States by other outside Countries," Trump wrote on Truth Social.
The pharmaceutical industry reacted sharply, warning of higher drug prices and potential shortages. Critics said the tariff could drive up healthcare costs for Americans, especially with the U.S. importing $233 billion in medicines last year. “We are already being crushed by the highest prescription drug costs in the world and this will cause them to skyrocket further,” said advocacy group 314 Action. UK-based firms like AstraZeneca and GSK, which already have U.S. operations, believe they will be exempt, but shares in several pharma companies still dipped following the announcement.
The UK government said it was "actively engaging" with U.S. officials, calling the move "concerning for industry." With no clear exemption for U.S. allies, countries like Ireland and members of the EU are also bracing for impact. While the U.S. and UK had previously pledged to negotiate preferential terms on pharmaceuticals, no follow-up agreement has materialized.
Trump's broader tariff strategy— which previously targeted metals, cars, and now healthcare—has rattled global markets. Critics argue that these duties, framed as protecting national security and jobs, risk hurting consumers and supply chains. Trade groups across North America and Asia have called on the White House to reverse course, warning the tariffs could damage both economic and public health outcomes.
