President Donald Trump signed an executive order Thursday imposing tariffs of up to 100 percent on certain pharmaceutical drugs, escalating pressure on companies to negotiate pricing agreements with his administration.
The order creates a tiered tariff structure based on company compliance with Trump's pharmaceutical agenda. Companies that have signed "most favoured nation" pricing deals and are actively building facilities in the United States face zero tariffs.
Those without pricing agreements but with ongoing US construction projects will face 20 percent tariffs, escalating to 100 percent within four years. Companies have limited time to negotiate — 120 days for larger firms and 180 days for smaller ones before maximum tariffs take effect.
to address the threatened impairment of the national security posed by imports of pharmaceuticals and pharmaceutical ingredients
Donald Trump, President — Executive Order
The administration has already secured 17 pricing deals with major drugmakers, with 13 companies having formally signed agreements, according to a senior administration official who briefed reporters anonymously before the order's release.
France 24 presents the tariff order as part of Trump's broader trade strategy, noting the one-year anniversary of his "Liberation Day" tariffs. The outlet emphasizes industry concerns about potential cost increases and investment risks.