In a fresh string of announcements on Tuesday, US President Donald Trump mentioned sectors that can become part of his new tariff plans.
The Trump administration is planning to impose 50% tariffs on copper imports and up to 200% duties on the pharmaceutical sector.
“I believe the tariff on copper we’re going to make it 50%,” the US President told reporters on Tuesday.
He further mentioned his plans around a high rate of tariffs on pharmaceutical imports, which might come into effect after a year.
“We’ll be announcing something very soon on pharmaceuticals. We’re going to give people about a year, year and a half to come in, and after that, they’re gonna be tariffed if they have to bring the pharmaceuticals into the country at a very high rate, like 200%,” President Trump said after a Cabinet meeting today.
The plans for high tariffs came as the US pharmaceutical industry depends heavily on global supply chains, particularly for active pharmaceutical ingredients (APIs) and finished drugs.
Around 40% of generic drugs sold in the US rely on APIs from China, and more than 70% of all APIs come from China and India combined.
New tariffs on Chinese imports, including APIs, threaten to upend these supply chains.
That could lead to production delays and worsen ongoing drug shortages, especially for essential medicines like generics, antibiotics, cancer treatments, and heart drugs.
Donald Trump says no extension to Aug 1 deadline
Donald Trump ruled out any possibility of an extension of the August 1 deadline on Tuesday.
This came a day after Donald Trump announced higher tariffs on 14 nations including major trade partners like Japan and South Korea.
In a Truth Social post, Trump reaffirmed the August 1 deadline and warned that no extensions will be granted.
He said:
As per letters sent to various countries yesterday, in addition to letters that will be sent today, tomorrow, and for the next short period of time, TARIFFS WILL START BEING PAID ON AUGUST 1, 2025. There has been no change to this date, and there will be no change. In other words, all money will be due and payable starting AUGUST 1, 2025 — No extensions will be granted. Thank you for your attention to this matter!
EU hopes to strike a temporary deal
As countries rushed to respond to Trump’s renewed tariff threats, the European Union said it hoped to strike a temporary deal with the US this week that would keep tariffs at 10%.
But Germany’s finance minister warned that if a “fair” agreement couldn’t be reached, the EU was ready to hit back with its own set of retaliatory measures.
Elsewhere, Japan and South Korea signaled they’re open to talks after receiving letters from President Trump, part of a broader message sent to 12 trading partners, laying out the tariffs set to kick in this August.
The latest moves come as a 90-day pause on Trump’s so-called “reciprocal tariffs,” first announced on “liberation day,” is set to expire on July 9.
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