The Trump administration has escalated tariff measures, imposing 25% tariffs on Canada and Mexico and increasing Chinese tariffs by 20%. These tariffs aim to encourage companies to relocate manufacturing back to the U.S., with some firms like Pfizer and Eli Lilly showing interest in such moves. However, challenges remain, particularly for generic drug manufacturers facing slim margins. Experts caution that tariffs may not effectively boost domestic production, as companies might opt to absorb costs instead of relocating, and many are wary of the long-term implications.

Source: https://www.supplychaindive.com/news/tariffs-trump-pharma-manufacturing-reshoring/742032/