Di Yi Cai Jing·2025-05-06 08:11Core Viewpoint - Pharmaceutical companies are resisting Trump's plan, citing concerns that tariff threats hinder further investment in R&D and manufacturing in the U.S. [1][2] Group 1: Company Responses - Pfizer's CEO Albert Bourla stated that tariff threats are obstructing the company's ability to invest in R&D and manufacturing in the U.S. [2] - Eli Lilly's CEO Dave Ricks expressed skepticism that tariffs would address national security concerns surrounding the U.S. drug supply chain [2]. Group 2: Industry Trends - The U.S. pharmaceutical manufacturing sector has significantly shrunk over the past few decades, with most active pharmaceutical ingredient production moving to countries like China due to lower labor and production costs [2]. - Approximately 90% of prescription drugs in the U.S. are basic generics, which are difficult to produce domestically due to low prices [2]. Group 3: Economic Implications - Imposing tariffs on generics, which have much lower profit margins than brand-name drugs, could force some generic manufacturers to exit the U.S. market, potentially exacerbating shortages of essential drugs like sterile injectables [2]. - In 2023, the U.S. imported over $200 billion worth of drugs, with 73% coming from Europe, primarily from Ireland, Germany, and Switzerland [2]. - Establishing drug manufacturing facilities in the U.S. may increase production costs and drug prices, raising concerns about drug affordability [2].