Donald Trump announced Tuesday that the U.S. will impose a 100% tariff on all branded or patented pharmaceutical imports starting October 1, 2025 — unless the exporting company is actively building a manufacturing plant in the U.S.

The announcement, made on Truth Social, specifies that “actively building” means a plant must have broken ground or be under construction. The measure is intended to push pharmaceutical manufacturers to localize production and reduce reliance on foreign drug imports. Advertisement

Generic drugs were not explicitly mentioned, but complex generics and specialty medicines could still be affected, depending on how the rule is applied.

The policy poses a significant threat to Indian pharmaceutical firms, which rely heavily on the U.S. market. About 31% of India’s

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