On April 2, 2026, President Trump issued a proclamation imposing various actions on pharmaceutical products imported into the United States. Details are below.
Tariffs:
- A 100% tariff will be imposed on patented pharmaceuticals and associated pharmaceutical ingredients identified in Annex I.
- a 20% tariff will be imposed on patented pharmaceuticals and associated pharmaceutical ingredients produced by companies that have plans approved by the Secretary of Commerce to onshore production of such. The rate will increase to 100% on April 2, 2030.
- A 15% tariff will be applied to patented pharmaceuticals and associated pharmaceutical ingredients that are products of Japan, the European Union, the Republic of Korea, and Switzerland & Liechtenstein.
- A 10% tariff will be applied to patented pharmaceuticals and associated pharmaceutical ingredients that are products of the United Kingdom.
Exceptions:
- Pharmaceuticals and phamaceutical ingredients listed in Annex IV.
- Pharmaceuticals and phamaceutical ingredients produced by companies that have or are negotiating agreements with the Secretary of Commerce and Secretary of Health and Human Services.
- Generic pharmaceuticals and their associated ingredients, including biosimilar products and purchases for the Strategic API Reserve.
Effective Dates
- 12:01 am eastern daylight time on July 31, 2026 for companies listed in Annex III
- 12:01 am eastern daylight time on September 29, 2026 for other companies
ST&R offers a three-pronged approach for avoiding, mitigating, and/or recovering these and other tariffs. For more information on which of these strategies might be most effective for your business, please contact ST&R.
Section 232 Investigation
These tariffs result from a Section 232 investigation initiated on April 16, 2025. The investigation assessed the national security risks related to imports of semiconductors and semiconductor manufacturing equipment and their derivative products. The Secretary of Commerce concluded the investigation on December 22, 2025, by transmitting a report with recommendations to the President.
Official Documents