European pharmaceutical manufacturers are voicing concerns over the potential imposition of significant tariffs on drugs exported to the United States. The Research Association of Pharmaceutical Companies (VFA) has cautioned that such measures could disrupt established global supply chains and substantially impact the cost of medication production, with repercussions for patients in both Europe and the U.S.
According to VFA President Han Steutel, recent discussions involving potential tariffs of up to 200% are generating considerable uncertainty within the industry. He indicated that the proposals stem from a desire to incentivize drug manufacturers to increase investment and production activities within the United States.
While acknowledging the willingness of pharmaceutical companies to expand U.S.-based operations, Steutel emphasized that such transitions require considerable time and resources. He highlighted the exceptional circumstance of BioNTech’s rapid development and production facility setup for its COVID-19 vaccine – a process that took approximately one year and represented a substantial collaborative effort – as atypical. Building a new pharmaceutical manufacturing facility typically involves a longer timeframe.
Steutel further stated that he anticipates no corresponding increases in drug prices within Europe as a result of the potential U.S. tariffs, asserting that such price adjustments are generally unfeasible in European markets.