Section 232 tariff on patented medicines starts for all other companies
From Sep 29, 2026, the Section 232 tariff on patented pharmaceuticals and their ingredients applies to every company, not just those listed in Annex III of Proclamation 11020. A new heading exempts goods solely for clinical trials, research or other non-commercial use.
From Sep 29, 2026, the Section 232 tariff on patented pharmaceuticals and their ingredients applies to goods of every company. Since Jul 31, 2026 it had applied only to the companies listed in Annex III of Proclamation 11020 (clause 4). The rates are the same: a total of 100% with the regular duty for most countries, 15% for the EU, Japan, South Korea, Switzerland and Liechtenstein, and nothing extra for the United Kingdom.
A Commerce notice of Sep 23, 2026 (91 FR 60360) also:
- added heading 9903.04.70 from Sep 29, 2026 for listed pharmaceutical articles and ingredients "that are solely for use in clinical trials, research and development, or other non-commercial applications", at no extra duty
- made technical corrections from Sep 29, 2026, including a new list of covered products in U.S. note 40(c) and a corrected list of products at a zero rate (Annex IV of the proclamation)
- named the jurisdictions whose orphan drugs and other specialty products named in the proclamation qualify for a zero rate: Argentina, Bangladesh, Cambodia, Ecuador, El Salvador, the EU, Guatemala, India, Indonesia, Japan, Jordan, Malaysia, North Macedonia, South Korea, Switzerland and Liechtenstein, Taiwan, Thailand, the United Kingdom and Vietnam, and set out how companies can ask Commerce to approve such products as meeting an urgent U.S. health need
Generic drugs and U.S.-origin products still don't pay it. Details are on the program page.