US to impose heavy tariffs on the import of generic medicines starting August 2028
US President Donald Trump announced on Wednesday that heavy tariffs would be imposed on imported generic medicines starting in August 2028. He stated that the move aims to bring the manufacturing of such pharmaceutical products back to the US. This measure could impact India, which is the largest exporter of generic medicines to the United States.
In a post on Truth Social, Trump stated that starting August 1, the US would maintain a zero-percent tariff on all imported generic medicines for two years; subsequently, the tariff would be raised to 100 percent for one year and then to 200 percent.
Trump said, “From August 1, 2026, a zero-percent tariff will remain in effect for two years on all generic medicines imported into the US, after which the tariff will be increased to 100 percent for one year and then to 200 percent.” He added, “This is being done to restart generic pharmaceutical production in the US, with penalties imposed on companies that decide not to set up plants and equipment within the allotted timeframe.”
The President stated that the policy aims to protect the people of the United States. He noted, “The policy regarding patented, branded, or innovative medicines—which has been so successful—will remain unchanged.” India is often referred to as the “pharmacy of the world” because it supplies generic medicines to countries across the globe.
A report by the Global Trade Research Initiative states that in 2025, India exported pharmaceuticals worth US$9.7 billion to the US, representing 38 percent of its total global pharmaceutical exports of US$25.8 billion. Indian generic medicines are widely prescribed for conditions such as hypertension, diabetes, cancer, infectious diseases, and mental health issues.
