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Trump Announces 100% Tariff on Drugs, Imposes Duties on Trucks, Furniture

द्वारा लिखित: Team Angel Oneअपडेट किया गया: 26 Sept 2025, 4:55 pm IST
President Trump unveils new tariffs, including 100% duties on branded drugs, 25% on heavy-duty trucks, and 50% on furniture, starting October 1, 2025.
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On September 25, 2025, President Donald Trump declared a significant expansion of tariffs aimed at protecting American manufacturers. The new tariffs include a 100% duty on branded pharmaceutical drugs, 25% on heavy-duty trucks, and 50% on kitchen cabinets, bathroom vanities, and upholstered furniture. These measures will come into effect on October 1, 2025, further escalating the trade tensions between the US and its trading partners.

100% Tariff on Branded Pharmaceutical Drugs

One of the most striking components of Trump's announcement is the introduction of a 100% tariff on all branded or patented pharmaceutical products. This tariff will affect a wide range of drugs, unless the manufacturer has already committed to building a manufacturing plant in the United States. 

The move is part of Trump's ongoing efforts to reduce dependency on foreign pharmaceutical suppliers and bolster domestic production. The impact of this new tariff is expected to be significant, as it could lead to higher drug prices for American consumers, especially for imported branded medications.

Tariffs on Trucks and Furniture: Protection for Local Manufacturers

In addition to pharmaceuticals, Trump also announced a 25% tariff on heavy-duty trucks and a 50% tariff on furniture, including kitchen cabinets and bathroom vanities.

According to Trump, these measures are necessary to protect US manufacturers from what he described as an influx of foreign goods that are harming domestic industries. The new tariffs on heavy-duty trucks are expected to benefit companies like Paccar’s Peterbilt and Kenworth and Daimler’s Freightliner, all of which operate in the US truck manufacturing sector.

National Security Concerns and Trade Criticism

Trump has consistently cited national security as a reason for many of his trade measures. In his announcement, he stressed the importance of maintaining a strong US manufacturing base for the country’s broader security. Additionally, he pointed out that a healthy trucking industry is vital for national security. However, the move has sparked criticism from foreign governments, particularly Mexico, which has raised concerns about the impact on trucks imported from their country. Mexico argues that many of the trucks it exports to the US contain significant amounts of US-made components, including engines.

Read More: Sun Pharma, Lupin & More Indian Pharma Stocks in Focus as Trump Announces 100% Tariffs!

Impact on Global Trade and US Manufacturing

The new tariffs are set to further disrupt global trade and complicate relations with several US trading partners. Mexico, a major exporter of heavy-duty trucks to the US, has expressed concern over the potential impact on its automotive sector. 

The Japanese Automobile Manufacturers Association also voiced criticism, noting that Japanese companies have already reduced exports to the US in favour of increasing domestic truck production. With these tariffs, Trump’s administration aims to incentivise US manufacturers to produce more goods locally, but the broader economic implications remain uncertain.

Conclusion

President Trump’s announcement of new tariffs, including a dramatic 100% duty on branded drugs, signifies a continuation of his protectionist trade policies. While the move is aimed at bolstering US manufacturing, it has sparked backlash from international trade partners. As the tariffs take effect from October 1, 2025, their impact on global supply chains and US consumers remains to be seen. 

These trade measures reflect Trump’s commitment to reshaping US trade policy, though they come with potential risks to international relations and economic stability.

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities are subject to market risks. Read all related documents carefully before investing.

Published on: Sep 26, 2025, 11:19 AM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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