The imposition of new tariffs by the USA on pharmaceuticals “will create the worst-case scenario,” estimated today the European Federation of Pharmaceutical Industries and Associations (Efpia), after President Donald Trump announced he would impose additional tariffs of up to 100%. Efpia’s Director General Nathalie Moll commented that these tariffs “create the worst-case scenario,” while reminding that “they increase costs, disrupt supply chains, and prevent patients from accessing vital therapies.” “The EU and the US already have a trade agreement. They should now continue discussions on how the EU can better support the cost of global research and development, in a way that does not harm patients in the EU and the US,” she added.
USA: Tariffs up to 100% on imports from October 1st
Yesterday Thursday, the Republican announced that from October 1st, the US will impose tariffs of up to 100% on imports of “any branded or patented pharmaceutical product,” with the exception of those from companies that will build manufacturing facilities in the country, as he wrote on Truth Social. Although the definition of these drugs “remains unclear,” as stated by Michael Wan, economist at Japanese bank MUFG in Singapore, “we assume this will not include generic drugs shipped from countries like India.”
Australia, which exported $1.35 billion worth of pharmaceutical products to the US in 2024, reacted strongly to Trump’s decision: “We buy far more pharmaceutical products from the US than they buy from us (…) It is not in the interest of American consumers to impose higher prices on Australian exports to America,” estimated today Australian Health Minister Mark Butler.
Trump: 25% tariffs on all heavy vehicles
In a separate post, Trump announced the imposition of 25% tariffs on all “heavy vehicles manufactured in another region of the world.” A measure that aims, according to him, to support American companies such as Peterbilt, Kenworth, Freightliner, and Mack Trucks. The American president explained that the reasons for imposing these tariffs “are many, but mainly for national security reasons!” In spring, the Trump administration had announced it was launching an investigation to examine whether imports of foreign trucks constitute a threat “to national security.” The Republican also plans to impose tariffs on various furniture items. “We will implement a 50% tax on all kitchen furniture, bathroom sinks, and related products” starting October 1st and “a 30% tax on upholstered furniture,” he wrote.
According to the US International Trade Commission, in 2022, 60% of furniture sold in the country was imported, mainly from Asia, including 86% of wooden furniture and 42% of upholstered furniture. This new tariff offensive reignites fears of rising inflation in the US, the world’s largest economy. Trump has stated that his mission is to revitalize American industry through protectionist policies, signaling a complete reversal of US policy. His administration has imposed 10% tariffs on imports from all countries, with the rate being much higher for some countries that import lower-value products from the US than they export. The American president has imposed additional tariffs on the country’s main trading partners, such as Canada, Mexico, the EU, and China.
