The generic drug market faces higher costs and the looming threat of shortages after the Trump administration imposed a broad 10% tariff on Chinese imports this week. The move came despite a 30-day pause on other proposed tariffs on Canada and Mexico, and China swiftly answered back with retaliatory levies, raising the specter of a trade war.
“It is increasingly likely that, at a minimum, you’re going to have an additional 10% tariff that applies to a material portion of the supply chain for generic and biosimilar medicines, and that’s going to lead to both higher costs and the possibility of shortages in those markets,” said Association for Accessible Medicines president and CEO John Murphy, adding that “there is not a single member of the AAM who has not raised concerns about the tariff situation.” China is a major…