Trump plans generic drug tariffs from 2028 with two-year delay testing U.S. onshoring push
The latest tariff salvo underscored Trump's goal of reshoring low-cost drug production, but displacing established suppliers like India won't be easy.
AI Summary
President Trump announced a phased tariff plan on generic drug imports, starting with zero tariffs for two years from August 2026, then 100% in August 2028 and 200% in 2029, to incentivize onshore production. Patented and branded drugs remain subject to existing tariffs, while major drugmakers like Novo Nordisk have negotiated exemptions under the "most favored nation" policy. The move particularly impacts India, which supplies nearly half of U.S. generic medicines.