Taiwan Not Exempted From Trump's Latest Tariffs｜TaiwanPlus News
Why It Matters
The tariff threatens Taiwanese drug exporters and could raise U.S. medication costs, highlighting how trade policy directly reshapes pharmaceutical supply chains and market access.
Key Takeaways
- •Trump imposes 100% tariff on imported patented medicines.
- •EU, Japan, South Korea receive reduced 15% tariffs under agreements.
- •Taiwan excluded; no exemption for many pharmaceutical products.
- •Taiwanese pharma exports $300M to US, 14% patented drugs.
- •Companies have 120‑180 days to negotiate tariff waivers.
Summary
The video reports that President Donald Trump signed an executive order imposing a 100% tariff on imported patented medicines, citing a national‑security risk after an investigation found that 53% of such drugs in the United States are sourced abroad. The move is intended to force supply‑chain reshoring, while allies such as the European Union, Japan and South Korea receive a reduced 15% rate under existing trade agreements.
Taiwan, despite signing a trade deal with Washington earlier this year, was left out of the exemption list because several pharmaceutical categories are not covered by that agreement. In 2024, Taiwan exported roughly $300 million worth of pharmaceuticals to the United States, of which about 14% were patented drugs, making the new levy a potentially significant hit for Taiwanese exporters.
White House officials told Taiwan Plus that they will engage with Washington to seek a more favorable tariff rate for Taiwanese firms. Health officials are still evaluating the domestic impact, noting that the levies could also affect drug availability in Taiwan. Companies have a limited window—120 days for large firms and 180 days for smaller ones—to negotiate individual waivers or risk the full 100% tariff.
The deadline forces Taiwanese pharmaceutical manufacturers to act swiftly, either by securing exemptions or by re‑orienting their supply chains. The policy underscores escalating trade tensions and could raise drug prices in the U.S. while prompting broader strategic shifts in global pharma sourcing.
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