Trump’s 200% tariffs on pharma: Why India’s generic medicines could still remain competitive
The Trump administration has announced a tariff plan that will impose up to 200% duties on imported generic medicines starting in 2028. The policy aims to incentivize pharmaceutical companies to relocate manufacturing facilities to the United States.
Why it matters
This shift in trade policy could significantly disrupt the global pharmaceutical supply chain and increase costs for generic drug consumers.
In a blow to India’s pharmaceutical industry, the Donald Trump administration has announced up to 200% tariffs on generic drugs that will be applicable in the coming years.US President Donald Trump on Tuesday announced the final stage of his pharmaceutical tariff plan, under which imported generic medicines will continue to enter the US without duties until August 1, 2028. After that, they will be subject to some of the highest tariffs ever proposed for the pharmaceutical sector.The latest announcement effectively completes Trump's broader strategy to bring nearly every category of pharmaceutical imports under a tariff framework.The United States imported pharmaceutical products of $213 billion in 2025.
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