US President Donald Trump is once again preparing to drop a ‘tariff bomb’. He has proposed imposing up to 200% tariffs on medicines imported from abroad. This move is expected to increase the price of medicines in the US and create a supply crisis. For decades, medicines in the US had been exempt from tariffs, but now the Trump administration is set to change this long-standing policy.

According to reports, discussions are underway to impose tariffs of up to 200% on certain medicines. Trump wants tariffs on medicines similar to those already imposed on goods like automobiles and steel. If implemented, this would go against decades-old policy under which many medicines entered the US duty-free.

The impact could also be felt in India. Some pharmaceutical manufacturers have written to Trump urging him to keep medicines affordable. Experts say that if medicines become more expensive, people will have to pay higher prices, and supply could also be affected.

The Trump administration is citing Section 232 of the 1962 Trade Expansion Act. According to them, the COVID-19 pandemic exposed severe shortages of medicines, which highlighted the need to boost domestic production.

Under a recent trade agreement between the US and Europe, a 15% tariff has been imposed on certain goods, including medicines. Experts believe that if Trump imposes a 200% tariff on medicines, it will have a widespread impact not only on other countries but also within the US itself. Cheaper foreign medicines may be diverted away from the US, leading to shortages in the domestic market.