U.S. President Trump had announced a 100% import tariff on branded and patented medicines, but it was not implemented by October 1, 2025. The delay is due to ongoing negotiations with pharmaceutical companies and the encouragement of their manufacturing. Pfizer has pledged to invest $70 billion in the U.S. and reduce drug prices.
Donald Trump Pharma Tariff: Donald Trump had announced a 100% tariff on the import of branded and patented medicines, which was slated to be implemented from October 1, 2025. However, this tariff has not yet been applied because the government intends to promote their manufacturing through negotiations with companies and is considering agreements on prices. Pfizer has promised to invest $70 billion in the U.S. and reduce drug prices. Concurrently, the Trump administration is preparing to launch a website named 'TrumpRx' to make discounted medicines available to patients.
Why is there a delay in implementing the tariff?
Experts state that despite October 1 having passed, there are several reasons for the non-implementation of the tariff. The primary reason is that the Trump administration wants to guide pharmaceutical companies' manufacturing activities in the right direction through negotiations. Furthermore, several companies have also put forth proposals to reduce drug prices, which are currently under consideration. The White House has clarified that the tariff has not been implemented yet due to ongoing discussions, but it may be implemented in the future.
If this 100 percent pharma tariff were to be implemented, medicines imported into the U.S. from abroad would become more expensive. This would not only increase the financial burden on patients but could also disrupt the global supply chain. Experts suggest it could also impact relations among trade partners.
The Pfizer and U.S. Government Deal
Following the tariff announcement, Pfizer, a major pharmaceutical industry company, entered into a deal with the U.S. government. Under this deal, Pfizer has pledged an investment of $70 billion in the U.S. The company has also assured a reduction in drug prices. This signifies Pfizer's intention to expand its production and operations within the United States.
This deal indicates that the U.S. government aims to control foreign pharmaceutical companies through local production and investment rather than through tariff threats. It also clarifies that the Trump administration's main objective is to boost domestic drug production and reduce reliance on imports.
TrumpRx: The Government's New Initiative
Furthermore, the Trump administration is preparing to launch a new website, potentially named ‘TrumpRx’. The purpose of this platform is to provide patients with information on available discounted medicines. The website will detail which drug offers what discount on which platform.
According to experts, TrumpRx will function as a search tool, enabling patients to purchase affordable medicines directly from companies. Its aim is to provide relief to patients and ensure better competition among pharmaceutical companies.
