US President Donald Trump has proposed imposing tariffs of up to 100% on imported pharmaceutical products, aiming to pressure drug companies to lower prices and shift manufacturing to the United States. The policy is part of a broader strategy to reduce healthcare costs and strengthen domestic industry.
The tariffs would mainly target branded and patented medicines, as well as key raw materials used in their production. Generic drugs, which make up a large share of prescriptions in the US, are likely to be spared initially to avoid shortages and maintain affordability.
Under the plan, pharmaceutical companies could avoid the highest tariffs by agreeing to government pricing rules or by investing in US-based manufacturing. Firms that begin relocating production may face a lower tariff rate during a transition period, but duties could rise sharply if they fail to meet requirements within a set timeframe.
The administration argues that drug prices in the US are significantly higher than in other countries and that reliance on foreign suppliers poses risks to supply stability. By introducing tariffs, officials hope to bring down costs for consumers while also boosting domestic production capacity.
Some pharmaceutical companies have already entered into agreements with the government, securing temporary relief from tariffs in exchange for commitments to reduce prices or expand US operations.
However, the proposal has sparked debate. Supporters believe it could make medicines more affordable and reduce dependence on imports. Critics, including industry experts, warn that tariffs may have the opposite effect, as companies could pass higher import costs on to consumers.
The announcement is part of a wider shift in US trade policy, which also includes changes to tariffs on industrial metals.
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