U.S. President Donald Trump announced plans to impose tariffs of up to 200% on imported pharmaceuticals, giving drug manufacturers about a year to adjust before enforcement begins.
“We’re giving people about a year, maybe a year and a half, to get their act together,” Trump said during a cabinet meeting at the White House. He emphasized that if companies continue importing medicines, “they’re going to be tariffed at a very, very high rate.”
The move follows an ongoing investigation launched in April by the Commerce Department, which is examining whether U.S. dependence on foreign drug manufacturing poses a national security threat. Trump also mentioned upcoming tariffs on semiconductors and copper, though he did not provide detailed timelines.
Commerce Secretary Howard Lutnick confirmed the pharmaceutical and semiconductor tariff reports will be finalized by the end of the month, after which the president will set official policy.
The pharmaceutical industry has pushed back, warning that such high tariffs could cause drug shortages and disrupt patient access. “Every dollar spent on tariffs is a dollar that can’t be invested in U.S. manufacturing or future cures,” said Alex Schriver, spokesperson for the industry group PhRMA.
Despite Trump’s remarks, the stock market response was limited. Shares of major drugmakers—Pfizer, Merck, Eli Lilly, Bristol Myers, and Johnson & Johnson—dipped during the cabinet meeting but closed the day slightly higher, with gains between 0.3% and 1.4%.
