US President Donald Trump in the Oval Office of the White House in Washington. Evelyn Hockstein / Reuters President Donald Trump stated this Tuesday (21) that all generic medicines imported into the United States will continue to have zero tariffs for two years, starting August 1st. After this period, the rate will rise to 100% for one year and then to 200%. "This is done to BRING BACK generic drug production to the United States by imposing a penalty on companies that decide not to build factories and install equipment within the deadline set for them," Trump wrote in Truth Social. ? The Republican has been pressuring pharmaceutical companies, through their pricing policy based on the most-favored-nation clause, to reduce drug prices to levels similar to those practiced in other high-income countries.
Trump says generic medicines will have zero tariff for 2 years, but foresees 100% rate afterwards
US President Donald Trump in the Oval Office of the White House in Washington. Evelyn Hockstein / Reuters President Donald Trump stated this Tuesday (21) that all generic medicines imported into the United States will...
More than 90% of medicines sold in the US are generic, according to the country's Food and Drug Administration (FDA). The policy for patented, branded or innovative medicines will remain unchanged, Trump said. The world's biggest pharmaceutical companies signed deals with the U.S. government last year that freed billions of dollars' worth of medicines from tariffs. In April, Trump signed an executive order that imposed 100% tariffs on imported brand-name drugs unless manufacturers agree to pricing agreements with the government or commit to producing their products domestically.
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