New Delhi [India], April 3 (ANI): The Indian Pharmaceutical Alliance (IPA) has welcomed the exclusion of pharmaceuticals from the recent US tariff hikes, with Secretary General Sudarshan Jain highlighting its positive impact on India-US trade relations.
Jain stated,
“India and the US share a strong and growing bilateral trade relationship, with a shared vision to double trade to USD 500 billion under the Mission 500 initiative. Pharmaceuticals remain a cornerstone of this partnership, as India plays a vital role in global and US healthcare by ensuring a steady supply of affordable medicines.”
He emphasized that the tariff exemption underscores the importance of India’s cost-effective, life-saving generic medicines in global public health, economic stability, and national security.
India-US Trade & Tariff Context
US President Donald Trump recently announced new import tariffs, affecting various global economies, including India, which faces a 26% tariff. However, pharmaceuticals have been exempted, reinforcing India’s strategic importance in the US healthcare system.
At the Make America Wealthy Again Event, Trump remarked,
“India is very, very tough. Prime Minister Modi is a great friend of mine, but they are not treating us right. They charge us 52 per cent, and we charge them almost nothing.”
His tariff strategy includes:
- 25% tariff on all foreign-made automobiles
- Higher tariffs on major economies, including:
- China (34%)
- European Union (20%)
- Vietnam (46%)
- Taiwan (32%)
- Japan (24%)
- India (26%)
A Jefferies report suggests that a potential India-US trade agreement could focus on agriculture, automobiles, and pharmaceuticals, as these are politically and economically sensitive sectors for India.
Jain reaffirmed India’s commitment to strengthening supply chain resilience and ensuring access to affordable medicines, aligning with the shared priorities of both nations.
(ANI)
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