Britain would face 100% tariff on pharmaceuticals under latest Trump plan, sources say

WASHINGTON: Britain would face 100% tariffs on pharmaceuticals imported into the U.S. under President Donald Trump's latest plan, sources told Reuters on Friday.

AI Brief

Trump announced a 100% tariff on pharmaceuticals unless companies build manufacturing facilities in the US.
EU and Japan are exempt due to existing deals; Britain is not yet protected as its drug tariff terms are still under negotiation.
The move is part of Trump's strategy to reduce reliance on foreign drug supply chains and boost domestic production.

Trump announced on Thursday that he was imposing a 100% tariff that would apply to firms unless they build a manufacturing presence in the United States.

The European Union and Japan are exempt from Trump's latest tariff threat because both negotiated trade deals that capped pharmaceutical duties at 15%, Reuters previously reported.

Britain was the first nation to strike a trade deal with Trump, but the pharmaceutical rate remains under negotiation, so Britain is not shielded from the new tariffs, a source told Reuters on Friday.

Trump has framed the move as part of a broader push to onshore drug production and reduce reliance on foreign supply chains, a priority of his administration’s trade and industrial policy.

Pharmaceutical imports from Britain accounted for about 3.3% of total pharmaceutical imports to the U.S. in 2024, according to U.S. trade data.