President Donald Trump announced on Thursday a sweeping new round of tariffs on imported goods, including a 100 percent duty on branded pharmaceuticals and a 25 percent tariff on heavy-duty trucks. The measures will take effect next week and mark one of the most aggressive trade moves of his second term.
Tariffs have become a defining feature of Trump’s economic strategy, with duties ranging from 10 to 50 percent on a wide array of products. Businesses worldwide have warned that the uncertainty is clouding investment decisions and weighing on the global economy.
The latest announcement also includes a 50 percent tariff on kitchen cabinets and bathroom vanities and a 30 percent tariff on upholstered furniture, all set to begin October 1. Trump said the measures were necessary to counter what he described as a “flooding” of foreign products into the United States.
Markets reacted swiftly. Shares of pharmaceutical companies across Asia tumbled, with Japan’s Sumitomo Pharma falling more than 4 percent and Australia’s CSL sliding to a six-year low. An index tracking Chinese-listed furniture makers also dropped.
The administration framed the tariffs as part of a broader shift to more established legal authorities, a move seen as preparation for a Supreme Court case challenging the legality of earlier global duties. Trump said the 100 percent tariff on branded or patented drugs would apply to all imports unless the manufacturer had already begun building a U.S. production facility.
Industry groups warned of fallout. The Pharmaceutical Research and Manufacturers of America said companies had pledged hundreds of billions of dollars in new U.S. investments and cautioned that tariffs could jeopardize those plans.
The administration has also launched a series of national security probes into imports ranging from wind turbines and semiconductors to copper, timber and critical minerals, laying the groundwork for further tariffs. This week, new investigations were opened into protective medical gear, robotics and industrial machinery.
Trump has repeatedly used tariffs as a foreign policy tool, leveraging them to renegotiate trade deals and pressure trading partners. His administration has also highlighted the revenue potential, with Treasury Secretary Scott Bessent projecting tariff collections could reach $300 billion by year’s end.
Previous rounds of tariffs targeted steel, aluminum, autos and copper, underscoring the administration’s reliance on trade duties as both an economic and political instrument.
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