Overview
- President Trump signed the orders Thursday, threatening tariffs of up to 100% on certain patented drug imports unless companies cut U.S. prices and commit to building production in the United States, with a 120‑day window for large firms and 180 days for smaller ones.
- Drugmakers that sign Most Favored Nation pricing deals and onshore production face a 0% rate, partial onshoring draws 20%, generics are exempt for now, and several big pharmaceutical companies already secured carve‑outs through pricing and U.S. factory commitments.
- Country terms narrow the reach: the European Union, Japan, South Korea and Switzerland face a 15% cap on branded drug tariffs, and a separate U.S.–U.K. arrangement guarantees zero tariffs on British medicines for at least three years.
- The metals order shifts how duties are calculated starting Monday, exempting products with less than 15% steel, aluminum or copper by weight, applying 25% on the full value of metal‑heavy finished goods, keeping 50% on core metal imports, and basing payments on U.S. sales prices to curb under‑reporting.
- The White House frames the steps as securing drug and industrial supply chains, business groups warn of higher healthcare and manufacturing costs, steel producers applaud tighter targeting, and the move marks a post‑Supreme Court pivot to Section 232 sectoral measures with more talks and challenges likely.