Nifty Pharma dropped 6% during Friday’s session following comments from US President Donald Trump, who indicated that the pharmaceutical sector is being categorized separately and that he would be revealing pharmaceutical tariffs in the near future.
According to media reports, Trump, while talking to journalists aboard Air Force One, mentioned that pharma tariffs will be set at unprecedented levels. We are considering pharmaceuticals as an individual category. An announcement regarding this will be made in the near future, not too far off. It is currently under examination.
As a result, pharma stocks have relinquished all the profits they achieved on Thursday. Indian pharma companies experienced a rise on Thursday, April 3, following Trump’s announcement that exempted the industry from the newly imposed tariffs. Nevertheless, it was evident that this reprieve will be temporary. Previous signals indicated that the tariffs specific to the sector would not be included in the April 2 event held in the Rose Garden.
The Trump Administration plans to review the pharmaceutical and semiconductor industries under Section 232 of the Trade Expansion Act of 1962, which authorizes the US Government, particularly the President, to take necessary measures to limit imports of goods considered a threat to national security.
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