Trump to impose tariffs of 100% on branded drug imports

(Sharecast News) - Donald Trump is to impose tariffs of 100% on imports of pharmaceutical goods, it emerged on Friday, the latest salvo in the US president's global trade war. Posting on Truth Social, Trump said the levies would be imposed on any branded or patented pharmaceutical product from 1 October.

However, drugs companies could be exempt if they are already building manufacturing facilities in the US.

"There will, therefore, be no Tariff on these Pharmaceutical Products if construction has started," he wrote "Thank you for your attention to this matter!"

A number of pharmaceutical companies worldwide - including AstraZeneca and GSK - have recently announced major US investment plans, in light of long-threatened tariffs on the sector. However, construction may not have started, due to the complex nature of manufacturing across the sector.

The Social Media post was one of several updates on tariffs made by the president early on Friday morning.

He announced a separate 50% tariff on imports of kitchen cabinets and bathroom vanities, also starting from 1 October, and a 30% tax on upholstered furniture.

"The reason for this is the large scale 'FLOODING' of these products into the United States by other outside Countries," he wrote.

In addition, Trump said "all heavy (big!) trucks" made outside of America will be subject to a 25% import charge, to protect US manufacturers from "the onslaught of outside interruptions".

Kathleen Brooks, research director at XTB, said: "This is a reminder that Trump's tariffs are never finished. When we think we can move on from the threat of tariffs, they raise their head once more. The next set of tariffs could be directed at semiconductors and critical rare earth minerals in a number of weeks."