The European Union (EU) has predicted that it will not be subject to the 100% tariff on pharmaceuticals announced by U.S. President Donald Trump.
Olof Gill, Deputy Spokesperson for the European Commission, reminded the press corps on the 26th (local time) that the EU-U.S. joint statement released last month clearly states that tariffs on European pharmaceuticals, semiconductors, and timber will not exceed 15%.
He explained, "The all-inclusive tariff cap on EU exports serves as an insurance policy to prevent higher tariffs," adding, "The EU is the only U.S. trading partner to have achieved such a result."
President Trump had announced the previous day on his social media platform, Truth Social, that "if companies are not 'building' pharmaceutical manufacturing plants in the United States, a 100% tariff will be imposed on all branded pharmaceuticals (products sold under specific brand names that are generic versions of original drugs whose patents have expired) or patented pharmaceuticals starting October 1, 2025."
He also announced tariffs on other items, including 25% on large trucks, 50% on kitchen and bathroom furniture, and 30% on furniture such as sofas covered in fabric or leather.
The EU-U.S. joint statement released last month specifies, "The United States plans to promptly ensure that the combined (final) tariff rate-consisting of the Most-Favored-Nation (MFN) tariff and tariffs imposed under Section 232 of the Trade Expansion Act-on EU pharmaceuticals, semiconductors, and timber does not exceed 15%."
If, as the EU explains, the United States faithfully implements the joint statement, EU pharmaceuticals are expected to avoid high tariffs. However, the EU believes that a separate executive order from the U.S. side would be required to grant an exception exclusively for European products.
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