Servaas Michielssens, Candriam’s Head of Thematic Global Equity – Healthcare, has responded to US President Trump’s announcement of a 100% tariff on branded pharmaceutical products.
Servaas Michielssens, said:
The announced 100% tariff on branded drug imports is unlikely to have a major impact on the pharmaceutical sector. The large biopharma companies have pledged several hundreds of billions of dollars in US investments, which would likely exempt them from such tariffs. Moreover, it remains unclear how this move would align with existing trade agreements.
All in all, we see limited impact from this tariff announcement. The more important factor to watch is the trajectory of US drug pricing policy, where discussions are ongoing about potential demonstration projects within government channels such as Medicare and Medicaid.
