Business & Economics
Trump Imposes 100% Tariff on Imported Brand-Name Drugs
On 2 April 2026 President Trump signed a Section 232 order slapping a 100 % duty on patented pharmaceuticals made abroad, with lower interim rates for firms that on-shore production or cut U.S. prices, effective within 120–180 days.
Focusing Facts
- Tariffs take effect 31 Jul 2026 for large drugmakers and 29 Sep 2026 for smaller ones; firms with approved U.S. manufacturing plans pay 20 %, otherwise 100 %.
- Imports from the EU, Japan, South Korea and Switzerland face a capped 15 % rate, while the U.K. gets 10 % under a separate deal; generics are fully exempt.
- The proclamation cites that 53 % of patented drugs sold in the U.S. are currently manufactured overseas.
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