PARIS: A European pharmaceutical industry group warned Friday that tariffs on medicines “would create the worst of all worlds”, after US President Donald Trump announced steep import duties on the sector.
Trump announced a raft of new tariffs on multiple industries on Thursday, including a 100 percent duty on “any branded or patented” pharmaceutical product, unless a company is building their manufacturing plant in the United States.
The European Union and the United States reached a trade deal in July that capped tariffs on pharmaceutical products and other goods at 15 percent.
It was not immediately clear whether that understanding had changed following Trump’s announcement.
“Tariffs on medicines, however excessive, would create the worst of all worlds,“ Nathalie Moll, director general of the European Federation of Pharmaceutical Industries and Associations, said in a statement to AFP.
“Tariffs increase costs, disrupt supply chains and prevent patients from getting life saving treatments,“ Moll said.
Moll noted that the EU and the United States have a trade agreement in place.
“They should now continue discussions on how the EU can improve its support towards the cost of global research and development in a way which doesn’t harm patients in the EU and the US,“ she said. – AFP
