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Inflation can damage production viability of European drugs. Once a drug’s patent expires, numerous pharma companies offer generic versions, which can then reduce drugpricing by as much as 80-90%, leading to small profit margins for generics makers.
29 ,30 Increased input costs arising from tariffs would erode the price competitiveness of US exports, diminish market share abroad, and expose US producers to retaliatory trade measures that would further harm domestic employment and investment. Food and Drug Administration, Importing Biologics and CBER Regulated Products.
The US imports a substantial volume of APIs and finished medicines, many of which are essential for patient care, meaning these tariffs could have far-reaching implications. 1 Here, we explore the potential impact of tariffs on pharmaceutical supply chains, pricing, investment and industry strategy. References 1. Internet] Reuters.
Amid President Donald Trump’s stated desire to sharply reduce drugprices on the US market, India has also proposed to supply genericmedicines at between 20% and 25% of the current reference branded prices, for three years after originator patent expiry.
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