Generic drugs from other nations will face a 100% tariff beginning August 2028 unless production is moved to the United States, President Trump warned. If production is not moved a year after that date, the tariffs will jump to 200%.
“Effective August 1st, 2026, all Generic Drugs being brought into the United States will continue to have a TARIFF of ZERO PERCENT for a two year period of time, after which the TARIFF will be raised to 100% for a one year period of time, and 200% thereafter,” Trump wrote on Truth Social. “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.”
“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. Pharmaceutical Facilities are being built, at a level never seen before, all over the United States of America. Thank you for your attention to this matter!”
The latest push for U.S.-based pharmaceuticals comes as President Trump has made deals with major drug companies to offer products at a lower price. Companies involved in the deal include Amgen, Bristol Myers Squibb, Boehringer Ingelheim, Genentech, Gilead Sciences, GSK, Merck, Novartis, Sanofi, and others.
The agreements reduce prices for drugs assisting with type two diabetes, rheumatoid arthritis, multiple sclerosis, asthma, chronic obstructive pulmonary disease (COPD), hepatitis B and C, human immunodeficiency virus (HIV), and some cancers, among others, a White House fact sheet says of the December agreements. Those involved in the deal will further “invest at least $150 billion collectively in U.S. manufacturing in the near term,” the sheet adds.
