White House: Will honor 15% cap on pharma tariffs as part of trade deals with Japan, EU

Core Insights - The White House clarified that tariffs announced by the president will respect existing trade agreements that include specific carveouts and caps for certain imports [2][3] - Countries like the EU and Japan have negotiated a 15% cap on pharmaceuticals, which will be honored by the White House [3] - Investors are advised to review their term sheets related to tariffs to determine if their stocks are affected by these caps, as this could materially impact stock performance [4] Tariff Clarifications - The White House confirmed that any country with a trade deal that includes specific tariff protections will have those protections applied to the new tariffs [2] - The 15% cap on pharmaceuticals for the EU and Japan is a significant aspect of these trade agreements that will be honored [3] Investor Implications - Investors should check the terms of their trade agreements to see if they include caps on the categories affected by the new tariffs, as this could influence stock movements [4]