US President Donald Trump has renewed threats to impose a 100% tariff on imported generic medications, a policy shift that would take effect in August 2028.
The measure is designed to compel pharmaceutical manufacturers to relocate production facilities to the United States, marking a significant escalation in the administration's industrial policy agenda.
The proposed levy targets generic drugs, which constitute a large share of the US pharmaceutical market and are predominantly manufactured abroad, particularly in India and China.
By imposing such a steep tariff, the administration aims to reshape global supply chains and reduce reliance on foreign production.
However, the policy introduces substantial uncertainty for the sector, as manufacturers face the prospect of either absorbing the cost, passing it on to consumers, or undertaking costly domestic relocations.
Markets are likely to scrutinize the exposure of major generic drugmakers to US import regulations.