According to reports, President Trump posted on social media on July 21 that the U.S. plans to slap a 100% tariff on imported generic drugs starting August 2028. One year later, by August 2029, that rate will double to 200%.
Until then, imported generic drugs will continue to enjoy zero tariffs.
Trump says this move is all about bringing generic drug production back to the U.S. Any manufacturer that fails to set up factories and equipment in the country within the deadline will face penalties.
Data from the U.S. Food and Drug Administration (FDA) shows that over 90% of drugs sold in the U.S. are generics.
Back in April, Trump signed a document to impose a 100% tariff on imported patented drugs and pharmaceutical ingredients under Section 232 of the Trade Expansion Act of 1962.
On July 21, Trump said the existing policy targeting patented, branded, or innovative drugs “has been a huge success” and will remain unchanged.