Trump Imposes New U.S. Tariffs on Drugs, Trucks, and Furniture

 

President Donald Trump has announced a sweeping new round of tariffs targeting imported pharmaceuticals, heavy-duty trucks, and household furniture. The measures, unveiled on Thursday, are set to take effect on October 1, 2025, marking one of the most aggressive tariff actions of his second term.

100% duties on branded or patented drugs imported into the U.S., with exemptions only for companies that have begun building U.S. manufacturing plants.

25% tariffs on heavy-duty trucks, a move framed as protecting American manufacturers like Peterbilt, Kenworth, and Freightliner. 50% tariffs on kitchen cabinets and bathroom vanities, along with 30% on upholstered furniture.

Trump announced the measures via his Truth Social account, claiming the tariffs are needed to curb what he described as a “large-scale flooding” of American markets by foreign producers.

The announcement immediately rattled global markets. Shares of pharmaceutical companies across Asia tumbled, with Japan’s Sumitomo Pharma dropping 4.3% and Australia’s CSL plunging to a six-year low. In China, an index tracking listed furniture makers fell 1.1%, signaling concerns about the impact on exporters.

Pharmaceutical Research and Manufacturers of America (PhRMA), the industry’s main lobby group, warned that the tariffs could derail billions of dollars in planned investments. “Companies continue to announce hundreds of billions in new U.S. investments. Tariffs risk those plans,” the group said in a statement.

The U.S. Chamber of Commerce also expressed opposition, particularly to the truck tariffs, noting that most imports come from allied nations with strong trade ties to Washington.

The Trump administration framed the move as a national security measure. In recent months, the White House has launched multiple investigations into the security implications of imports ranging from wind turbines and semiconductors to copper and critical minerals.

Tariffs, the administration argues, are not only about protecting jobs but also about ensuring that the U.S. is not dependent on potentially adversarial nations for vital goods. The 100% tariff on branded drugs, for example, is designed to encourage pharmaceutical companies to shift production to U.S. soil, reducing reliance on overseas supply chains.

Trump’s advisors also stressed that tariffs have become a central foreign policy tool, helping the administration renegotiate trade deals, secure concessions, and apply political pressure on strategic rivals.

The new tariffs come at a politically sensitive moment. A pending Supreme Court case could determine the legality of Trump’s earlier sweeping global tariffs. In response, the administration is reportedly leaning on more established legal authorities to ensure the new levies can withstand judicial scrutiny.

The announcement also ties into Trump’s broader economic agenda. His administration has consistently used tariffs as a way to generate revenue — Treasury Secretary Scott Bessent recently estimated that Washington could collect as much as $300 billion in tariff revenue by year-end.

Trump has previously imposed tariffs on steel, aluminum, automobiles, copper, and other products. The new wave of tariffs significantly widens the scope of targeted industries.

While the White House insists the tariffs will bolster domestic industry, critics argue they will ultimately raise costs for American consumers and businesses.

For pharmaceuticals: Patients relying on imported branded drugs could face steep price hikes unless companies accelerate U.S.-based production. For trucks: The auto industry may see higher costs for fleets and logistics firms, potentially passing costs onto consumers in the form of higher shipping rates.

For furniture: Middle-class households could face increased prices on everyday goods such as cabinets, sofas, and beds. Economists also warn that retaliatory measures from trading partners could further destabilize global trade flows.

The tariffs are expected to spark pushback from U.S. allies in Europe and Asia, many of whom supply the affected products. Trade officials in Japan and the European Union are reportedly preparing formal complaints, arguing that the U.S. is breaching trade commitments.

China, already locked in a tense trade relationship with Washington, may retaliate with tariffs of its own, targeting politically sensitive American exports such as agricultural products and aviation equipments.

Trump’s reliance on tariffs reflects his long-standing belief that the U.S. has been taken advantage of in global trade. Supporters say the strategy has already revived parts of the U.S. manufacturing sector and created leverage in trade negotiations.

However, critics argue that the approach is short-term and disruptive, discouraging investment, raising consumer prices, and straining relationships with key allies.

The October 1 rollout of these new tariffs will be closely watched by industries, policymakers, and consumers alike. The coming weeks may also bring countermeasures from trading partners, legal challenges, and intense political debate all of which will shape how far-reaching Trump’s tariff strategy proves to be.