Donald Trump administration delays 100% tariff on brand-name drug imports, still ‘being worked on’

The Trump administration has delayed its planned 100% tariff on imported brand-name drugs, saying the pharmaceutical levy is still under review.

Sayantani Biswas
Updated2 Oct 2025, 11:21 AM IST
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The Trump administration has delayed the introduction of sweeping tariffs on imported pharmaceuticals, despite President Donald Trump’s threat last week to impose a 100% levy on certain brand-name and patented drugs.

The tariffs on pharmaceutical imports were expected to take effect on Wednesday, but White House officials reportedly confirmed the plan is still under review.

News of the delay comes after Pfizer CEO Albert Bourla joined Trump in the Oval Office on Tuesday to announce plans to lower drug prices at the president’s urging, including selling drugs at “Most Favored Nation” levels. He was among 17 CEOs Trump personally wrote with a list of demands.

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Why was the tariff threatened?

Last week, Donald Trump warned that pharmaceutical companies could face a 100% tariff unless they committed to building manufacturing plants in the United States. The move was framed as an effort to encourage reshoring and reduce reliance on foreign production.

“The Commerce Department continues to evaluate pharmaceutical companies’ proposals to reshore manufacturing and reduce drug prices to (Most Favored Nation) rates as they prepare pharmaceutical tariffs,” a White House official told CNN.

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Is the tariff cancelled or just delayed?

The official clarified that the levies would not take effect on Wednesday — the date originally set by Donald Trump — but stressed that they remain under consideration.

The tariffs, they added, “are still being worked on.”

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What would the impact be on patients and drugmakers?

If implemented, a 100% tariff on imported brand-name drugs could significantly increase costs for patients and health systems reliant on overseas pharmaceutical supplies. Industry analysts warn it may also escalate tensions with trade partners and complicate global supply chains.

At the same time, the administration argues that the policy would incentivise pharmaceutical firms to establish new facilities in the US, boosting domestic manufacturing and potentially reducing drug prices over the longer term.

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What happens next?

For now, drugmakers and healthcare providers face uncertainty. With the tariff plan still on the table, pharmaceutical companies are expected to continue lobbying the administration while weighing the costs of moving production to American soil.

Also Read | Drug tariffs are a sideshow. Trump’s next move could hit pharma harder.

The delay may also give the White House more time to negotiate with drug manufacturers, though critics warn that the mere threat of tariffs is destabilising an already fragile healthcare market.

As one administration official put it, the tariffs “are still being worked on” — leaving open the possibility that the policy could resurface in the coming weeks.

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