Donald Trump announces gradual tariff hikes on imported generic drugs

U.S. President Donald Trump announced a new tariff plan for imported generic pharmaceuticals to encourage domestic production. Starting August 1, 2026, these products will maintain a zero percent tariff rate for a two-year period. Following this grace period, tariffs will increase to 100 percent for one year starting August 2028. Subsequently, the tariff rate will rise to 200 percent. Trump communicated these measures via his Truth Social platform, noting that companies failing to establish manufacturing facilities within the U.S. during the transition will be penalized. This policy follows a directive given to Secretary of Commerce Howard Lutnick to review import strategies. Other imported pharmaceutical products remain unaffected by this new policy.