Trump warns of tariff ‘wall’ for pharmaceutical companies, raising cost concerns

US President Donald Trump said on Wednesday that there will be a tariff “wall” for pharmaceutical companies operating in the United States after a certain amount of time.

A 25% US tariff on pharmaceutical imports would increase US drug costs by nearly $51 billion annually, boosting US prices by as much as 12.9% if passed on, a report commissioned by the industry’s US trade group and reviewed by Reuters shows.

The analysis, conducted by Ernst & Young, found the United States imported $203 billion in pharmaceutical products in 2023, with 73% coming from Europe — primarily Ireland, Germany and Switzerland. Total US sales of finished pharmaceuticals that year were $393 billion.

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