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German Pharma Posts Strong 2025 Gains as VCI Flags U.S. Tariff Risk

Heavy reliance on overseas sales heightens exposure to possible U.S. pharmaceutical tariffs.

Overview

  • Industry data from VCI show production rose 4.5% and sales climbed 5.5% last year, beating late‑2025 estimates.
  • Early‑2025 ‘front‑loading’ of medicine shipments to the United States supported export volumes despite trade tensions.
  • More than 60% of sector revenue comes from abroad, with roughly one quarter of exports headed to the U.S. market.
  • Recent months brought weaker domestic orders and mounting competitive pressure from Asian imports, the association reported.
  • VCI warns that U.S. pharma tariffs remain a live possibility with potentially severe consequences, even as early‑2026 export expectations stayed positive.