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Prices of US pharmaceuticals to rise by 25% due to tariffs hikes

29 Apr 2025


Reuters
reported on 25 Aprill that an anaysis, conducted by Ernst & Young, estimates that US drug costs could surge by nearly $51bn annually, translating to a potential price increase of up to 12.9% if these tariffs are passed on to consumers.
“The study highlights the United States' significant reliance on foreign pharmaceutical products. In 2023, the United States imported $203 billion of pharmaceuticals, with a substantial 73% originating from European nations such as Ireland, Germany, and Switzerland.
“This analysis comes when the Trump administration has been actively exploring tariffs on pharmaceutical imports, citing national security concerns related to the country's dependence on foreign drug production. that US drug prices could substantially increase if these duties are fully reflected in domestic sales. Impact on domestic manufacturing and global competitiveness.

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