The federal government will not impose tariffs on generic pharmaceuticals manufactured overseas, and instead focus on brand-name drugs, according to an Oct. 8 report from The Wall Street Journal.
In a Sept. 25 post on Truth Social, President Donald Trump said the U.S. would levy 100% tariffs on branded medications beginning Oct. 1 — unless drug manufacturers built more domestic plants. A few days later, the White House delayed the proposed tariffs to continue negotiations with drugmakers.
For months, the Trump administration has been going back and forth on pharmaceutical tariff rates. This summer, the U.S. capped tariffs on pharmaceutical exports from the European Union to 15% and exempted generic drugs from a 15% baseline tariff applied to Japanese products.
The administration told the Journal that it does not plan to impose tariffs on generic medications produced in other countries.
Read more here about how drugmakers are attempting to avoid pharmaceutical tariffs.
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.
