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US to impose steep tariffs on generic medicine imports from Aug 2028
US to impose steep tariffs on generic medicine imports from Aug 2028
Washington, US President Donald Trump on Wednesday announced steep tariffs on imported generic medicines from August 2028, asserting that the move was aimed at onshoring the manufacturing of such pharmaceutical products.
The move could affect India, which is the largest exporter of generic drugs to the US.
In a post on Truth Social, Trump said beginning August 1, the US will continue to have a zero per cent tariff on all generic drugs brought into the country for two years, after which it will be raised to 100 per cent for one year, and 200 per cent thereafter.
"Effective August 1st, 2026, all Generic Drugs being brought into the United States will continue to have a TARIFF of ZERO PERCENT for two years, after which the TARIFF will be raised to 100 per cent for one year, and 200 per cent thereafter," Trump said.
"This is done in order to RESHORE Generic Pharmaceutical Production into America, with a penalty to those Companies that decide not to build Plant and Equipment within the stated period of time given to them," Trump said.
The president said the objective of this policy is to protect the people of the United States.
"The Policy on Patented, Branded, or Innovative Drugs, which has been so successful, will remain as is," he said.
India is often called the "pharmacy of the world" as it supplies generic medicines to countries across the globe.
In 2025, India exported USD 9.7 billion worth of pharmaceuticals to the US, accounting for 38 per cent of its total global pharma exports of USD 25.8 billion, a Global Trade Research Initiative report said.
Indian generic medicines are widely prescribed for hypertension, diabetes, cancer, infectious diseases, and mental health.
This article was generated from an automated news agency feed without modifications to text.
