Tariffs Take Effect Oct. 1; Most Generics Exempt

President Trump announced a package of tariffs taking effect Oct. 1, 2025, including a 100% levy on branded or patented pharmaceutical imports (with an exemption for companies that are building U.S. manufacturing plants) and additional duties on heavy trucks, furniture and cabinets. The administration framed the measures as national-security steps building on Section 232 investigations. The pharma rule explicitly exempts most generics but leaves uncertainty about complex generics and biosimilars and how the exemption will be applied. The announcement spurred a wave of U.S. investment pledges and expansions, with companies including Amgen, AstraZeneca, GSK and Novartis touting U.S. projects, even as markets showed mixed reactions. Trade groups and some trading partners warned of retaliation and supply-chain fragmentation; Australian industry figures warned it could hurt exporters such as CSL, while ASEAN countries said they would take a wait-and-see approach. Officials and businesses are seeking clarification on how the tariffs interact with the earlier 15% U.S.–EU trade deal and domestic programs such as Medicare drug-price negotiations under the Inflation Reduction Act.