Drug Tariff Impact Calculator 2026

The 100% tariff on imported branded pharmaceutical products takes effect July 31, 2026 for the 17 large pharmaceutical companies named in Annex III of the April 2, 2026 Presidential Proclamation (Novo Nordisk, AbbVie, Merck, Pfizer, Eli Lilly, J&J, BMS, Roche, Novartis, Sanofi, GSK, AstraZeneca, Bayer, Boehringer Ingelheim, Takeda, Regeneron, Amgen). For all other pharmaceutical importers, the tariff takes effect September 29, 2026.

Exemptions include: generic pharmaceuticals, biosimilars, drugs manufactured in the United States or US territories (e.g., Puerto Rico), orphan drugs (all approved indications designated as orphan), nuclear medicines, plasma-derived therapies, fertility treatments, cell and gene therapies, antibody-drug conjugates, and veterinary pharmaceuticals. Drugs imported from countries with new trade deals with the US may also be exempt.

Probably not. The tariff applies to wholesale import cost, not retail. Brand pharma typically has wholesale costs around 20-35% of retail. Industry analysts estimate manufacturers will pass 25-75% of the tariff impact through to retail prices, with the rest absorbed by reduced margins, rebate renegotiations, and PBM pressure. Our calculator shows conservative, likely, and worst-case scenarios.

Most prescription refill rules limit you to a 30-90 day supply per fill, and controlled substances are even more restricted. Talk to your doctor about whether a 90-day supply is appropriate for your medication, and check with your insurance about early refill policies. Do NOT stockpile beyond what your prescription permits.

Insurance is likely to continue covering the drug, but formulary tier placement may change, prior authorization requirements may be added, and your copay or coinsurance percentage may increase. Medicare Part D insulin remains capped at $35/month regardless of tariff. Talk to your insurer about how they plan to handle tariff-driven price changes.

Generics are exempt from the tariff and will likely become much more cost-competitive. For many brand drugs, a generic version already exists (e.g., sitagliptin for Januvia starting May 2026, budesonide/formoterol for Symbicort). Ask your doctor or pharmacist if a generic substitute is clinically appropriate for you.

Personal importation of prescription drugs from foreign pharmacies remains legally restricted under FDA rules, though the FDA has historically exercised discretion for 90-day supplies of non-controlled medications for personal use. The tariff applies at the port of entry — imports for personal use may be subject to different CBP treatment. Consult a licensed pharmacist about safe and legal alternatives before ordering from abroad.

Ozempic is manufactured by Novo Nordisk in Denmark. Mounjaro is manufactured by Eli Lilly in Indiana and North Carolina. The tariff applies based on manufacturing country, so Mounjaro (US-made) is exempt while Ozempic (Denmark-made) is affected — even though they're similar drugs.

Ten drugs have Medicare-negotiated prices effective January 2026 (Eliquis, Jardiance, Xarelto, Januvia, Farxiga, Entresto, Enbrel, Imbruvica, Stelara, Fiasp/NovoLog). Medicare-negotiated prices are contractually fixed, but the tariff may pressure manufacturers to renegotiate or exit the market. Any conflict between the tariff and Medicare negotiation is likely to be resolved through policy action.

No. TariffCheck is an independent tool. Price estimates are based on publicly available list prices, pharma industry passthrough norms, and the terms of the April 2, 2026 Proclamation. This is not medical or financial advice — consult your doctor, pharmacist, and insurance provider for your specific situation.