Trump's 100% Pharma Tariff Plan: How Will Indian Drugmakers Respond To The U.S. Move?

India's pharmaceutical sector is back in focus after U.S. President Donald Trump proposed a 100% tariff on generic drug imports, while offering a two-year grace period before implementation. Business Today's Neetu Chandra Sharma explains that Indian drugmakers such as Sun Pharma, Dr. Reddy's, Lupin, Cipla, and Zydus now have time to assess expansion plans, partnerships, or manufacturing in the US, though high costs and regulatory hurdles remain key challenges. Meanwhile, G Chokkalingam, Founder & MD, Equinomics Research, believes the tariff may ultimately not be implemented in its current form, citing Trump's history of policy reversals and the potential impact on U.S. healthcare costs. He also recommends investors prefer pharma companies with stronger domestic businesses amid the uncertainty.