MEA says ‘Closely monitoring’ Trump’s announcement to impose 100% tariffs on branded pharma imports
By Anjali Sharma
WASHINGTON – Ministry of External Affairs said on Friday that it is closely monitoring the impact of US President Donald Trump’s recent announcement to impose new tariffs of up to 100 per cent on imports of branded and patented pharmaceutical drugs, effective October 1.
MEA spokesperson Randhir Jaiswal, reacted on Trump announcement while addressing his weekly media briefing said, “We saw a notice yesterday on social media that talked about new tariffs. We’ve seen the report on pharma and other products, and the relevant ministry and department are closely monitoring the matter and examining its impact.”
The tariffs specifically target branded and patented pharmaceuticals, potentially affecting multinational pharmaceutical companies.
The US is India’s largest pharmaceutical export market, accounting for around 35 per cent of total exports, valued at approximately $10 billion in FY25.
The comment came against the backdrop of Trump’s announcement earlier wherein the US President spoke about a 100 per cent tariff on branded and patented pharmaceutical items, unless the manufacturing companies are building production facilities in the United States.
Trump detailed the decision in a post on Truth Social, where he wrote, “Starting October 1st, 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. ‘IS BUILDING’ will be defined as ‘breaking ground’ and/or ‘under construction.’”
Trump added that companies which had already begun construction of plants in the US would not be subject to the new tariff, providing clarification on the exemptions.
“There will, therefore, be no Tariff on these Pharmaceutical Products if construction has started. Thank you for your attention to this matter!” the post read.
UP Minister Narendra Kashyap downplayed the impact, saying India’s strength lies in its leadership.
“No decision by Trump can weaken India, as India has a strong Prime Minister in Narendra Modi. He has faced every challenge, both domestic and global, and has worked to overcome them.”
The Opposition leaders expressed deep concern over the move and its potential impact on India’s pharmaceutical industry.
Congress leader Udit Raj described the announcement as a “shock.”
“India’s medicine exports are massive. Until now, the biggest relief was that medicines weren’t subject to tariffs, as the US also needs cheap drugs. But this news is like a jolt. What is going on?
“America treats India like a football it hits it whenever it wants. Our Prime Minister Modi isn’t even opening his mouth. A 100 per cent tariff means our medicine manufacturers will collapse,” he warned.
Congress MP Sukhdev Bhagat questioned both President Trump’s credibility and Prime Minister Modi’s silence.
“The credibility of the US President is now so doubtful. Modi himself calls him a friend, yet Trump imposes 100 per cent tariffs on pharma. What is Modi ji doing? Is he really concerned about the Indian economy? Why don’t we hear a clear response? Every day it’s a different statement, this feels like a musical chairs race,” he remarked.
