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Pharma Tariffs Announcement Still Weeks Away, New Report Says
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Key Takeaways
- The pharmaceutical industry is uncertain about potential tariffs, pending an investigation under Section 232 of the Trade Expansion Act of 1962.
- Conflicting statements from the administration suggest potential tariffs on pharmaceuticals could reach up to 200%.
Sources say the President’s focus has shifted.
The President is still weeks away from announcing the tariffs on pharmaceuticals, according to a new report from Reuters.
It might be a while before the pharma industry knows what’s going to happen. A new report suggests that the White House is still weeks away from releasing the results of an investigation into pharma imports that will impact the President’s tariff plans.1
When will pharma tariffs be announced?
So far, the regulatory landscape in 2025 for the pharma industry can be summed up in one word: uncertainty. When President Trump took office in January, he promised to make big changes. During his campaign, he pledged to place tariffs on imported goods from almost every country around the world. Since taking office, President Trump has implemented some tariffs, but he’s promised more to come.
Pharmaceuticals have been specifically singled out by the administration. While many countries face broad tariffs on all imports to the United States, pharmaceuticals are often left off of those lists. This doesn’t mean, however, the pharma won’t face tariffs.
Instead, the White House will determine those tariffs on several issues, including the results of an investigation launched under Section 232 of the Trade Expansion Act of 1962. Launched in April, the goal of the investigation is to determine the effect of imports on national security.
In recent weeks, President Trump has made conflicting comments about tariffs on the pharma industry. At one point, he told CNBS’s Squawk Box that pharma tariffs could potentially reach 200%.2
Whatever tariffs are going to be, the industry needs to know what’s happening sooner rather than later. While many companies have announced plans to increase domestic manufacturing investments, it will still take years for those sites to be up and running.
Commerce Secretary Howard Lutnick originally stated the investigation should be completed by mid-June. However, a new report from Reuters says that any official announcement on tariffs is still weeks away. While this contradicts statements Lutnick made in late July that suggested that the report would be ready in mid-August.
One reason for the delay is a shift in the President’s focus, as he is set to meet with Russian President Vladimir Putin in Alaska on Friday, August 15.
Reuters also reports that a spokesperson for the White House would not confirm the reports and called them speculation. They would not, however, go into more details about the timing of the report’s release.
Regardless of the reason, it leaves the industry in a continued stated on uncertainty. Aside from tariffs, the pharma industry is also facing calls from the President to reduce pharma prices in the US and treat the country as a most-favored-nation. This means that US drug prices should be as low as, if not lower, than how they’re priced in other countries or regions.
President Trump recently put 17 major pharma companies on a 60 day timeline when he published letters reaffirming his stance on the MFN order. With the report deadline potentially being pushed back again, however, this puts pharma in a difficult position. Reducing drug prices in the US while also bracing for potentially major tariffs in the US at the same time is essentially pulling the industry in opposite directions.
Reports surfaced earlier this week that some pharma companies are discussing options with the White House for raising prices in other regions in order to meet the MFN requirements. However, it’s unclear how this would work, as many other major drug markets have much stricter pricing regulations than the US.
Sources
- Exclusive: US pharma tariffs likely weeks away as Trump plans for Alaska, sources say. Reuters. August 13, 2025. https://www.reuters.com/business/healthcare-pharmaceuticals/us-pharma-tariffs-likely-weeks-away-trump-plans-alaska-sources-say-2025-08-13/
- Trump says pharma tariffs could eventually reach up to 250%. CNBC. August 5, 2025. Accessed August 13, 2025. https://www.cnbc.com/2025/08/05/trump-says-pharma-tariffs-could-eventually-reach-up-to-250percent.html
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