The Trump administration U.S. government is preparing to impose a 100% tariff on imported, patent-protected pharmaceuticals starting in October—unless manufacturers relocate production to American soil. This move could hit European pharma giants hard, especially those based in Germany, Ireland, and Denmark, whose exports to the U.S. totaled €120 billion last year. With research and development costs driving high drug prices, companies argue the tariffs could disrupt innovation. The proposed measures also raise questions about their compatibility with a recent EU-U.S. trade deal capping tariffs at 15%, and mark a sharp departure from the 1995 Pharmaceutical Agreement, which aimed to eliminate import duties for public health.
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