On May 11, 2026, the U.S. Department of Commerce published the procedures for companies to apply for agreements with the U.S. government to reduce Section 232 tariffs on imported patented pharmaceutical products by onshoring manufacturing.
Section 232 Background
On April 2, 2026, President Trump issued a proclamation imposing Section 232 tariffs on certain pharmaceutical products imported into the United States. Section 232 authorizes the president to adjust imports to address national security threats. In the proclamation, the President stated that the U.S.’s reliance on imports of pharmaceuticals has created fragile supply chains, threatening national security.
President Trump imposed a 100% tariff on certain patented pharmaceuticals and their associated ingredients. The tariffs will take effect for certain large companies on July 31, 2026, and for small companies on September 29, 2026.
