United States to impose 100% tariffs on patented and patented drugs unless companies build locally, Trump says

President Donald Trump announced on Thursday that the United States will impose a 100% tariff on “any brand or patented pharmaceutical product” that enters the country from October 1.

The measure will not apply to companies that build drug manufacturing plants in the United States, Trump said. He added that the exemption covers projects in which construction has begun, including sites that have broken the land or are under construction.

“Therefore, there will be no tariff on these pharmaceutical products if the construction has begun,” Trump said in a publication about Social truth.

Brand or patented pharmaceutical products are medications sold with commercial names and protected by patents or other intellectual properties, which block generic competition until these protections expire.

The announcement occurred when Trump also presented a 25% service in heavy trucks and a 50% tax in “all kitchen cabinets, bathing dresses and associated products”, which will also begin on October 1.

The Trump Administration in April initiated a so -called section 232 on pharmaceutical products, which allows the Secretary of Commerce to examine the impact of imports on national security. The president similarly used that power to impose tariffs on other goods, such as cars and aluminum.

The rates give a long -awaited coup to pharmaceutical companies, many of which have pushed back And warned that taxes could increase costs, deter investments in the US. UU. And interrupt the medication supply chain, which finally puts patients at risk.

But the levies are lower than the tariff rate of up to 250% in the pharmaceutical products that Trump floated in August in an interview with the “Squawk Box” of CNBC. Trump said he would initially impose a “small fee” to pharmaceutical products, but then a year and a half “maximum”, that rate will increase to 150% and then to 250%.

The industry is already navigating the consequences of Trump’s drug price proposed policies, which drug manufacturers argue that both their results and their ability to invest in research and development, and a massive review of the Department of Health and Human Services under Prominent Skeptic Department of Vaccine Robert F. Kennedy Jr.

It is the latest development in the Evolutionary Rate Policy of Trump, whose objective is to recover manufacturing in the United States

The new duties follow the launch of new national security investigations announced Wednesday in robotics imports, industrial machinery and medical devices.

The latest probes of the Department of Commerce expand the list of goods that could face higher rates to include personal protective equipment, such as surgical masks, N95 respirators, gloves and other medical consumables, including syringes and needles.

Any new resulting tariff of the specific probes of the sector would be stacked in addition to the specific tariffs of the Trump country, although the European Union and Japan have reached agreements that could protect them from additional taxes.

– Annika Kim Constantino of CNBC contributed to this report.