economy
Trump administration sets up to 100% tariffs on some imported drugs, with many companies exempt
The Trump administration is preparing to impose new tariffs on drugmakers that have not struck deals with the president to lower their U.S. drug prices.
TL;DR
- New tariffs of up to 100% are imposed on branded drugs from companies not agreeing to lower U.S. prices.
- Drugmakers can avoid tariffs by negotiating pricing deals with the Health and Human Services Department and committing to domestic manufacturing.
- Different tariff rates apply to specific countries, including the EU, Japan, Korea, Switzerland (15%), and the UK (10%).
- Genetic products, biosimilars, and certain specialty drugs are currently exempt but will be reassessed.
- Changes to metal tariffs alter how duties are calculated on imported raw materials and finished products containing steel, aluminum, and copper.
- Over a dozen major drugmakers have already signed deals with Trump to lower drug prices, exempting them from tariffs for three years.