President Trump Announces Up to 200% Tariffs on Drugs...What is the response of the domestic industry?

Jul 09, 2025

President Trump Announces Up to 200% Tariffs on Drugs...What is the response of the domestic industry?
◇ U.S. President Donald Trump speaking during a cabinet meeting at the White House in Washington on the 8th (local time). AP Yonhap News



U.S. President Donald Trump announced at a cabinet meeting at the White House on the 8th (local time) that he would impose ultra-high tariffs of up to 200% on drugs. As he mentioned that he would impose tariffs after giving a grace period of up to a year and a half, domestic pharmaceutical bio companies are embodying countermeasures such as gradually increasing the proportion of local production through acquisitions of U.S. companies.

Celltrion said in a shareholder letter on the 9th that its short-term strategy is "completed with two years' worth of inventory and plans to hold two years' worth of inventory at all times in the future."

It said it has completed a contract with a local CMO (consignment production) partner to produce products sold in the United States in the mid-term strategy, and explained that it is considering acquiring a company with a U.S. production facility as a long-term strategy. "We plan to complete preparations by the end of next year so that no matter what size and at which point the drug tariff policy in the U.S. is determined," he added.




Since SK Biopharmaceuticals has FDA-approved production partners in the United States, it is possible to switch to U.S. production if tariffs are confirmed. Epilepsy treatment 'Senovamate' will be exported to the United States through Canadian-based consignment production (CMO) companies, and if tariffs on Canada are confirmed in the future, they will consider using local CMO companies in the United States.

On the other hand, some domestic pharmaceutical bio companies are responding cautiously, saying they will come up with measures after the tariff rate and grace period are confirmed at the end of this month.

Samsung Biologics said it is closely analyzing the U.S. government's announcement and considering various measures internally, but did not disclose specific measures. Samsung Bioepis also responded that it is closely monitoring the progress of tariffs.




Green Cross said it has secured inventory for the U.S. in the short term, and Hanmi Pharmaceutical said it is closely watching and responding to the impact. Daewoong Pharmaceutical and ST Pharm are also expected to closely monitor the situation and respond closely.








This article was translated by Naver AI translator.