Pfizer CEO says tariff uncertainty is deterring further U.S. investment in manufacturing, R&D

Core Viewpoint - Pfizer's CEO Albert Bourla indicated that uncertainty surrounding President Trump's pharmaceutical tariffs is hindering the company's willingness to invest further in U.S. manufacturing and R&D [1][2]. Group 1: Investment and Tariff Uncertainty - Bourla emphasized that the absence of tariffs would lead to significant investments in the U.S. for both R&D and manufacturing [3]. - The company is currently adopting a cautious approach to cost management and investments due to the prevailing uncertainty [3]. - Pfizer's guidance for the year does not account for potential impacts from future tariffs and trade policy changes, which remain unpredictable [6]. Group 2: Tax Environment and Incentives - The establishment of a global minimum tax of around 15% has altered the tax landscape, but Bourla noted that it has not made the U.S. significantly more attractive for investment without additional incentives or clarity on tariffs [4]. - Bourla mentioned that a reduction in the current tax regime for locally produced goods would serve as a strong incentive for U.S. manufacturing [5]. Group 3: Financial Guidance and Costs - Despite the uncertainties, Pfizer did not revise its full-year outlook, although it acknowledged $150 million in costs related to existing tariffs in its earnings release [6][7]. - The CFO stated that the current guidance reflects these tariff costs while the company continues to trend towards the top end of its guidance range [7].