US 100% Tariff on Patented Drugs Shifts Global Pharma Investment Patterns

The United States has announced a 100 percent tariff on branded and patented pharmaceutical imports starting October 1, but this move is expected to have limited impact on various Asian pharmaceutical exporters. Indian drug makers, especially Sun Pharma, face some risk due to their patented drug sales in the US, but the effect on earnings is likely minimal since generic drugs remain exempt from tariffs. Chinese pharmaceutical firms are largely unaffected as their industry focuses on biotechnology partnerships and domestic sales rather than US imports. Taiwan's exports, primarily generics and active pharmaceutical ingredients, are also expected to avoid significant impact, although Taiwan's imports of patented essential medicines may see price increases. Singapore's drug makers, many of which have or plan US manufacturing facilities, could gain exemptions from the tariffs, and the government is supporting companies in adjusting their supply chains and production bases to mitigate tariff effects. These countries are also engaged in dialogue with the US to clarify tariff conditions and seek exemptions where possible.