The Trump administration is reportedly preparing to announce new tariffs on pharmaceutical companies as early as Thursday if they fail to reach agreements ensuring lower drug prices in the United States.
According to a Bloomberg report citing sources familiar with the matter, the proposed tariffs could be as high as 100% on imported branded and patented medicines. The move is said to stem from an ongoing investigation under Section 232 of the Trade Expansion Act, which allows trade restrictions on national security grounds.
Several major drugmakers, including Pfizer and AstraZeneca, have already secured multi-year exemptions by entering pricing agreements and commitments through the newly introduced TrumpRx.gov platform. Meanwhile, companies such as Eli Lilly, Johnson & Johnson, and Merck have pledged substantial investments to expand their manufacturing presence in the US to avoid potential penalties.
Firms that have not signed agreements or are not in active negotiations with the administration could face the steep 100% tariff, although reports suggest the final plan is still under discussion and may change. Limited exemptions for certain medicines and disease categories are also being considered.
President Donald Trump has repeatedly signaled plans to impose tariffs on the pharmaceutical sector over the past year, with earlier proposals ranging between 100% and 200%. The broader objective is to push pharmaceutical companies to relocate manufacturing to the US and reduce drug prices for American consumers.
The industry had previously been exempt from global tariff measures introduced in 2025, which were later struck down by the Supreme Court, following separate agreements with multiple companies.
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