100% tariff on medicines in the US, Japan will get 15% tariff treatment
US President Trump said that he plans to impose a 100% tariff on some imported medicines, while the White House revealed that the tariff ceiling for Japan will be 15%.
President Trump said on the 25th that he intends to impose a 100% tariff on some imported medicines from next month. He announced via social media on the 25th that a 100% tariff on some medicines will take effect from October 01, but did not detail the specifics.
White House officials said on September 26 that regarding Japan and the EU (EU), "an agreement has been reached to limit the tariff to a maximum of 15%, and it will abide by this commitment," indicating that 15% will be the upper limit. This is based on the result of the Japan-US tariff negotiations. The annual value of Japan's pharmaceutical exports to the US is about 40 billion yen.
Shirozawa Akira, Minister in charge of Economic Revitalization of Japan, stated at a press conference after the cabinet meeting on the 26th that he would not comment on Trump's remarks for now, but added, "We will closely monitor the developments in the US, and fully review the specific content and impact of measures related to the Japan-US agreement, and respond appropriately." He also mentioned that even if medicines are subject to tariffs in the future, the Japan-US agreement has already ensured the application of Most Favored Nation treatment.
Trump also said on his own social media, "Unless companies are building drug production factories in the United States, medicines will be subject to a 100% tariff. If they have already started construction, no tariff will be imposed." Specific applicable products have not been announced yet, but it is generally believed that generic drugs (follow-on drugs) are not within the scope of application.
The target of the tariff is limited to "brand-name drugs and patented medicines." American media also reported that lower-priced generic medicines may be excluded.
In addition, President Trump also announced other sector-specific tariff measures that will be implemented. Large trucks imported will be subject to a 25% tariff, kitchen cabinets and sinks will be subject to a 50% tariff, and upholstered furniture will be subject to a 30% tariff. These measures will all take effect from the first day of next month.
Trump had previously stated in August that "medicines should be produced in our country," and proposed a plan to increase the tariff on medicines to as high as 150% within the latest one and a half years, and then gradually raise it to 250%.
Source: rfi
Original: www.toutiao.com/article/1844431830295690/
Statement: This article represents the views of the author.