US President Donald Trump on Thursday announced a 100 per cent tariff on imported branded and patented pharmaceutical drugs, effective October 1, 2025, in a move aimed at promoting domestic manufacturing. The exemption applies only to companies building or already constructing plants in the US.
India’s pharma exports to the US remain largely generic Advertisement
The move holds significance for India, the single largest exporter of pharmaceuticals to the US, with shipments worth $7.1 billion in FY24. However, patented and branded drugs account for less than 10 per cent of these exports. The bulk of Indian shipments are generics, which form 90 per cent of prescriptions filled in the US, with India supplying nearly 40–45 per cent of that demand. “The executive order refers to patented or