Overview
- The Office of the U.S. Trade Representative launched a formal Section 301 investigation on Friday, June 19, 2026, into Germany’s pricing and reimbursement of innovative drugs.
- U.S. officials say the probe will examine whether Germany’s rules and the planned health‑care reform force manufacturers to accept low payments and shift an outsized share of research and development costs onto American patients.
- The investigation will accept written submissions beginning June 25 and will hold a public hearing in September as part of the fact‑finding process.
- Berlin has said it will seek direct talks with Washington and coordinate with EU partners while Chancellor Friedrich Merz urged the United States to respect the existing EU‑U.S. tariff understanding.
- The case uses a long‑standing U.S. trade tool that can lead to tariffs or other measures, follows a recent U.S. deal with the U.K., and has already prompted industry warnings about investment, supply‑chain risk, and political fallout.