US Tariffs on Patented Pharmaceuticals Create Uncertainty for Indian Contract Drug Manufacturers

United States (US) President Donald Trump’s move to levy 100 per cent tariff on the import of patented pharmaceuticals and associated pharma ingredients into America is expected to create market uncertainty for Indian contract drug manufacturing organisations (CDMOs).According to market analysis firm Nuvama, branded and patented pharmaceutical companies that have not agreed to lower drug prices through Most Favoured Nation (MFN) agreements will face 100 per cent tariffs.Similarly, companies that move production to the US but do not sign an MFN agreement may also face a 20 per cent tariff.