Donald Trump announces 100% tariffs on pharmaceutical imports

Donald Trump has threatened to impose 100% tariffs on pharmaceutical imports, unless manufacturing plants are built in the US.

The US President said that the 100% tariffs will be imposed from October 1, on ‘any branded or patented pharmaceutical unless a company is building their pharmaceutical plant in America.’

Taking to his social media network, Truth Social, to announce the tariffs, Mr Trump defined ‘building’ a pharmaceutical plant as ‘breaking ground and/or under construction.’

Other measures expected include 50% tariffs on bathroom vanities and kitchen cabinets, 30% tariffs on upholstered furniture, and 25% on heavy trucks.

He did not specify how the tariffs would apply to companies that already have factories in the US, which comes as over $233billion was imported in pharmaceutical and medicinal products.

Inflation has increased after Mr Trump announced tariffs, with fears that if the proposed tariffs come in next week they will increase once again.

Mr Trump, however, has claimed that there is no inflation, adding ‘we’re having unbelievable success.’

The Consumer Price Index in the US increased by 2.9% over the past 12 months, up from 2.3% annually in April when the tariffs were first announced.

The Bureau of Labour Statistics in the US added there have been 42,000 job cuts made by manufacturers since the first tariffs were announced, while builders have downsized by 8,000.

Ireland is one of the biggest exporters of pharmaceuticals to the US from the EU, making up over a quarter of pharmaceutical exports to the US last year — approximately €33billion of €120billion.

* This article was originally published on Extra.ie.