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Trump’s pharma tariff spares generics, but India still feels heat

The announcement has sent ripples through the global pharmaceutical industry. By explicitly targeting branded and patented medicines, the measure spares generics — the lower-cost versions produced once patents expire.

Generic drugs have been exempted from the new tariff policy /

President Donald Trump announced on Sept. 25 a 100 percent tariff on branded and patented pharmaceutical imports, effective Oct. 1, 2025, unless companies establish manufacturing facilities in the United States. While generic medicines — India’s main export to America — are excluded on paper, the move has the potential to unsettle the USD20 billion industry that supplies nearly 40 per cent of US generics.

“Starting October 1, 2025, we will be imposing a 100% Tariff on any branded or patented Pharmaceutical Product, unless a Company IS BUILDING their Pharmaceutical Manufacturing Plant in America,” Trump declared on his social media platform.

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