Trump Has Issued An Ultimatum To Pharmacists
- 3.04.2026, 7:37
US imposes duties of up to 100% on imported drugs.
Donald Trump has declared a "war" on foreign drug manufacturers. The US President's administration is imposing increased duties on imported drugs to force companies to move factories to America.
The Bloomberg informs about it.
The Trump administration is officially imposing duties of up to 100% on certain foreign-made drugs. The decision applies to patented drugs from countries that do not have special trade agreements with the United States.
Large corporations have 120 days to prepare for the new rules. Small businesses got a little more time - 180 days. For strategic partners, which include the EU, Japan and Switzerland, the rate was capped at 15%.
The move is part of Trump's "America First" strategy, the agency wrote. Most market leaders have already reached a deal with Trump. Merck & Co. and Eli Lilly & Co. have actually bypassed punitive measures. They agreed to the White House conditions in exchange for the old benefits.
The administration's requirements to the companies were as follows:
substantial price reductions under the Medicaid program;
direct sales of drugs to American consumers;
launch of new drugs in the United States at prices no higher than in other developed countries.
If the manufacturer undertakes to produce some products in the United States, the rate will fall to 20%. And if a special most-favored-nation agreement is signed, the duty could become zero until Jan. 20, 2029.
What's wrong with Trump's drug duties
Despite seemingly supporting domestic manufacturers and creating jobs, industry groups are already sounding the alarm. Bloomberg emphasizes that the industry fears shortages and the destruction of supply chains. Americans already pay the most in the world for healthcare. The new fees risk making treatment unaffordable for millions.
An immediate price hike may not happen, but experts are confident: patients will feel the effects later. It could manifest itself through higher co-pays or more expensive insurance policies. Generics (cheaper copies) have not yet been hit. But the Commerce Department will test them within a year. Most likely, the duties are waiting for them as well.
Pharmaceutical companies will have to choose: either build factories in the U.S. or raise prices for the end consumer.