According to media reports citing informed sources, the Trump administration is expected to announce as early as Thursday local time that it will impose massive tariffs on pharmaceutical manufacturers that have not reached agreements to maintain low drug prices in the U.S. market. This represents the latest measure to levy import taxes on national security grounds. Sources indicate that companies without agreements or ongoing negotiations with the government will face tariffs of 100%. Over the past year, U.S. President Donald Trump has consistently threatened to impose substantial tariffs, potentially ranging from 100% to 200%, on the global pharmaceutical industry. The objective is to pressure drugmakers to relocate production lines to the United States and reduce medication costs for American patients. The majority of large multinational pharmaceutical corporations, including Pfizer and Eli Lilly, have already reached agreements with the White House in exchange for tariff exemptions lasting up to three years. These agreements involve commitments such as price reductions, participation in the TrumpRx.gov program, or expansion of U.S.-based manufacturing. Pfizer and AstraZeneca are described as having secured multi-year tariff exemptions through pricing agreements and commitments to TrumpRx.gov. In contrast, Eli Lilly, Johnson & Johnson, and Merck have reportedly pledged billions of dollars in U.S. domestic expansion investments to avoid penalties. In practice, what is commonly referred to as "reaching an agreement with the White House" may encompass several types of arrangements: direct price reduction agreements, joining the TrumpRx platform, increasing U.S. manufacturing investment, or a combination of these measures. The legal basis for these new tariffs stems from an investigation initiated by the White House under Section 232 of the Trade Expansion Act. Sources, who requested anonymity due to the private nature of the discussions, stated that companies failing to reach any agreement and not engaged in direct negotiations with the Trump administration will be subject to the 100% tariff. Since September 30, 2025, the Trump administration has announced agreements with 16 major multinational pharmaceutical manufacturers aimed at aligning U.S. drug prices closer to the lower levels seen in other developed countries. The sources noted that these plans are not yet finalized and details could still change. They also indicated that certain scarce medications and specialized drugs for specific disease categories might also receive exemptions. The White House did not immediately respond to requests for comment. Since launching his tariff agenda, Trump has consistently highlighted the issue of drug supply in the U.S. market. Using the promise of tariff relief as leverage, he has secured significant concessions from pharmaceutical companies regarding domestic manufacturing and drug costs. The pharmaceutical industry was previously excluded from the sweeping global reciprocal tariffs he implemented in 2025. Those tariffs were overturned by the U.S. Supreme Court in February of this year. However, the Trump administration chose to bypass congressional procedures by imposing a 15% tariff on imports under the guise of an "interim alternative measure," attempting to fill the gap left by the court's ruling against the previous policy. Mere hours after the U.S. Supreme Court struck down the Trump administration's large-scale tariff measures implemented under the International Emergency Economic Powers Act (IEEPA), Trump signed an executive order announcing new 15% tariffs on imported goods under Section 122 of the Trade Act of 1974, known as the "balance-of-payments adjustment clause," with a duration not exceeding 150 days.