Sun Pharma, Aurobindo, Lupin, Zydus Life shares in focus after Trump's 2-year zero tariff on generics
US exports accounted for 46.16 per cent of Aurobindo Pharma's sales in FY26. For Sun Pharma, 30.26 per cent of its revenues came from US in FY26, as per Bloomberg data.
- Jul 22, 2026,
- Updated Jul 22, 2026 8:13 AM IST
Shares of pharma exporters such as Aurobindo Pharma Ltd, Dr Reddys Laboratories Ltd, Lupin, Sun Pharmaceuticals Industries Ltd and Zydus Lifesciences are in focus on Wednesday morning after the US President Donald Trump in a social media post said all generic drugs being brought into the United States will continue to have a tariff of zero per cent for a two-year period effective August 1, 2026.
After the period ends, said Trump, such exports would attack a 100 per cent tariff for a one year period and 200 per cent thereafter.
"This is done in order to reshore generic pharmaceutical production into America, with a penalty to those companies that decide not to build plant and equipment within the stated period of time given to them. The objective of this policy is to protect the people of the United States," Trump said in a post on Truth Social.
Trump added that the policy on patented, branded, or innovative drugs, which has been so successful, will remain as is.
"Pharmaceutical facilities are being built, at a level never seen before, all over the United States of America," the US President said.
Bloomberg data compiled by Business Today showed US exports accounted for 46.16 per cent of Aurobindo Pharma's sales in FY26. Aurobindo Pharma is among the largest Indian generic player in the US. It operates three US manufacturing sites. One of its sites focuses on niche formulations such as dermatology, transdermal, and respiratory products, with potential to scale up.
For Sun Pharma, 30.26 per cent of its revenues came from US in FY26, as per Bloomberg data. Sun Pharma is the world's fourth largest specialty generic pharma company. In the US, it offers a portfolio of various dosage forms, including liquids, creams, oinments, gels, sprays, injectables and drug-device combinations. It is a valued supplier to the largest wholesalrs, distributors and chain drugstores in the US.
Lupin derived 41.04 per cent of its revenues from North America. US business accounted for 43.85 per cent revenues for Zydus Life.
Trump earlier signed an executive order in April imposing 100 per cent tariffs on branded pharmaceuticals imported into the US. This, he said, was made until manufacturers agree to government drug pricing deals or commit to making their products domestically.
More than 90 per cent of medicines sold in the US are generics, according to the US Food and Drug Administration.
India and the US has so far failed reach a consensus on a trade agreement in recent talks, with New Delhi holding out for a better deal. After months of talks, the two nations failed to finalise an interim trade agreement during US Trade Representative Jamieson Greer's visit to New Delhi, despite expectations from both sides that a limited deal was within reach, Reuters reported earlier.
Shares of pharma exporters such as Aurobindo Pharma Ltd, Dr Reddys Laboratories Ltd, Lupin, Sun Pharmaceuticals Industries Ltd and Zydus Lifesciences are in focus on Wednesday morning after the US President Donald Trump in a social media post said all generic drugs being brought into the United States will continue to have a tariff of zero per cent for a two-year period effective August 1, 2026.
After the period ends, said Trump, such exports would attack a 100 per cent tariff for a one year period and 200 per cent thereafter.
"This is done in order to reshore generic pharmaceutical production into America, with a penalty to those companies that decide not to build plant and equipment within the stated period of time given to them. The objective of this policy is to protect the people of the United States," Trump said in a post on Truth Social.
Trump added that the policy on patented, branded, or innovative drugs, which has been so successful, will remain as is.
"Pharmaceutical facilities are being built, at a level never seen before, all over the United States of America," the US President said.
Bloomberg data compiled by Business Today showed US exports accounted for 46.16 per cent of Aurobindo Pharma's sales in FY26. Aurobindo Pharma is among the largest Indian generic player in the US. It operates three US manufacturing sites. One of its sites focuses on niche formulations such as dermatology, transdermal, and respiratory products, with potential to scale up.
For Sun Pharma, 30.26 per cent of its revenues came from US in FY26, as per Bloomberg data. Sun Pharma is the world's fourth largest specialty generic pharma company. In the US, it offers a portfolio of various dosage forms, including liquids, creams, oinments, gels, sprays, injectables and drug-device combinations. It is a valued supplier to the largest wholesalrs, distributors and chain drugstores in the US.
Lupin derived 41.04 per cent of its revenues from North America. US business accounted for 43.85 per cent revenues for Zydus Life.
Trump earlier signed an executive order in April imposing 100 per cent tariffs on branded pharmaceuticals imported into the US. This, he said, was made until manufacturers agree to government drug pricing deals or commit to making their products domestically.
More than 90 per cent of medicines sold in the US are generics, according to the US Food and Drug Administration.
India and the US has so far failed reach a consensus on a trade agreement in recent talks, with New Delhi holding out for a better deal. After months of talks, the two nations failed to finalise an interim trade agreement during US Trade Representative Jamieson Greer's visit to New Delhi, despite expectations from both sides that a limited deal was within reach, Reuters reported earlier.