Amid escalating tensions with Iran, US President Donald Trump has announced major changes to trade and tariff policies, including a steep increase in duties on imported branded medicines.
Trump has directed officials to impose a 100% tariff on branded drugs manufactured outside the United States. The move is expected to impact global pharmaceutical companies. He has also made it clear that companies must reduce drug prices and shift manufacturing to the US. Those failing to comply may face heavy fines and higher taxes.
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At the same time, Trump has revised tariff rules for metal products such as steel, aluminium and copper. Import duties on several items have been reduced from 50 per cent to 25 per cent. Additionally, products containing less than 15% metal have been fully exempted from tariffs.
Under the new framework, companies that partially shift production to the US will face a 20% tariff, while those that do not comply could be taxed up to 100%. Trump said the measures aim to make medicines more affordable and boost domestic manufacturing and job creation . The administration has also set a 15 per cent tariff limit for key trading partners, including the European Union, Japan and South Korea.