Former President Donald Trump has doubled down on his aggressive trade stance, signaling that the pharmaceutical industry could be next in line for sweeping tariffs.
Following his controversial ‘Liberation Day’ announcement that introduced tariffs on a wide range of countries, Trump has now hinted at a new wave of duties—this time targeting essential goods.
On Wednesday, April 9, the U.S. officially began enforcing tariffs on imports from 90 countries, implementing a minimum 10% baseline tariff across the board. The move has sparked backlash from numerous global leaders, many of whom have announced retaliatory measures in response.
Despite the international criticism, Trump remains defiant. In a recent speech at a National Republican Congressional Committee event, he revealed plans to impose tariffs on pharmaceutical imports.
“We’re going to tariff our pharmaceuticals,” Trump said. “And once we do that, they’re going to come rushing back into our country because we’re the big market.”
The former president claimed the policy would encourage drug manufacturers to relocate operations to the United States, further reinforcing his broader agenda of economic nationalism.
Donald Trump has said he has plans to unveil more tariffs (Kevin Dietsch/Getty Images)
“We’ll soon be announcing a major tariff on pharmaceuticals,” Trump declared. “When that happens, companies will leave China and other countries—they’ll have no choice. Most of their products are sold here, and they’ll start opening plants across the U.S.”
In his Liberation Day speech last week, Trump made clear that such a move is not a matter of if, but when and how severe the impact will be.
“The pharmaceutical companies are going to come roaring back,” he said. “Because if they don’t, they’ve got a big tax to pay.”
But some experts remain skeptical that things will unfold as he envisions.
Rajiv Leventhal, a healthcare analyst at eMarketer, noted that generic drug manufacturers—responsible for 90 percent of all U.S. prescriptions—could bear the brunt of these tariffs.
Experts have questioned whether Trump’s plan will actually work however(Getty Stock Image)
He emphasized that 47 percent of all generics prescribed in the US are made in India, and the country currently faces a 26 percent tariff.
With this in mind, some companies may have to reconsider whether the American market is even worth the extra cost, which could ultimately hurt the American consumers who rely on those low-cost alternatives to brand-name drugs, for everything from antibiotics like penicillin to blood pressure medication.
He said: “Most of them are selling with low profit margins and some are operating at a loss.
“They could be forced to consider whether it’s even worth it to be in the market.”
