100% US tariffs on branded pharma imports not likely to affect Indian generic drugs, says industry expert

New Delhi [India], September 26 (ANI): India's pharmaceutical exports are not expected to face a major impact following the recent announcement of a 100 per cent tariff on branded and patented pharmaceutical products by the US, said Sudarshan Jain, General Secretary of the Indian Pharmaceutical Alliance (IPA).

Speaking to ANI on Friday, Jain said that India's exports to the US primarily consist of generic drugs and active pharmaceutical ingredients (APIs), which are not covered under this tariff.

"This [100 per cent tariff on imported pharmaceutical drugs] is applicable to patented branded products manufactured outside the US. It is not applicable to generics, and India supplies mostly generic products to the US. India exports around USD 10 billion worth of medicine to the US. They consist primarily of generic products and APIs. So India is not likely to be impacted by this order," he explained.

Jain highlighted the critical role of generic medicines in maintaining affordable healthcare in the US.

"We have been constantly advocating that generics should not be subjected to tariffs. If the tariff is imposed on generics, that will be passed to the patient, and it will increase the healthcare burden for the patient. Generics play a vital role in access to medicines for critical diseases in the US, like diabetes, cardiac, oncology, and gastrointestinal products, and they are serving important public health needs. So our submission will always be that tariffs should not be imposed on generics," he said.

He further added that Indian generics contribute significantly to cost savings in the US healthcare system. "Although we will continue to make our efforts with the US government, 90 per cent of generic products cost only 13 per cent to the US healthcare system," Jain said. Imposing tariffs on generics is not a viable solution for the US, as it would increase healthcare costs.

United States President Donald Trump announced on Friday that his administration will impose a 100 per cent tariff on branded and patented pharmaceutical products beginning October 1, 2025, unless the manufacturing companies establish production facilities in the United States. (ANI)

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