Firms urge for clarity under EU-U.S. trade deal
Shelf of pharmaceutical products.
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Pharma firms, analysts, call for clarity about the tariffs introduced within the scope of the new US-EU Trade Agreement, as they are warned that punishing taxes may face the risk of blowing the entire agreement.
Within the scope of the trade ceasefire adopted on Sunday, uncertainties are abundant around the conditions of pharmaceutical goods, which applies 15% tariff to EU goods imported to the USA.
During a news briefing, US President Donald Trump claimed that Pharma was “indifferent to this agreement”, while the “tariff” of cars and everything else.
Meanwhile, the European Commission President Ursula von Der Leyen called the agreed Lev as “all -inclusive” and said it would be excluded from a future announcement about Europe’s drug tariffs.
Von Der Leyen said in a statement on Sunday, “We have 15% for the drug. Then, no matter what, no matter what the US President, how to deal with pharmaceuticals in general, on a different paper.” He said.
President Trump said that at the beginning of this month, a tariff announcement on drug imports to the US would come “very soon” and may rise up to 200%. The administration comes after investigating the impact of the imports of the pharmacy on national security and starting a section 232 investigation on the payment of the result by August.
Even if drug tariffs go into a 15% lower range, analysts argue that the larger economy of the block will be important.
“Questions about drug tariffs are very important considering the import volume from the EU,” Wolfe Research analysts in a note on Monday.
Drugs and medicine products represent the EU’s greatest export to the United States, 120 billion dollars in 2024. Analysts estimate that 15% tax can increase industrial costs to $ 13 billion and 19 billion dollars per year. in accordance with To Reuters.
However, if the ratio will be higher, they say that it may weaken the long -term agreement.
“15% of the ceiling in drug tariffs will threaten the wider trade ceasefire,” the Eurasian Group analysts in the Monday note.
Rabobank analysts, “If any disagreement about these sectoral tariffs does not sabotage a wider agreement,” the European economy can be severe.
In the meantime, companies are struggling to navigate the uncertainty.
“We want exemption [tariffs] In the USA, in the EU, in China. This is something we begged,
He continued: “It is not a part of this in the current agreement, we continue to establish this dialogue.”
