Pharmaceuticals Tariff Rates 2026: US Import Duties by Country & HTS Code

What This Covers

The pharmaceuticals surcharge covers medications, active pharmaceutical ingredients (APIs), medical instruments, and medical devices classified under HTS chapters 30 and 90. Most finished pharmaceutical products enter the United States duty-free, reflecting longstanding policy prioritizing affordable access to medicines. The Supreme Court's February 20, 2026 ruling struck down IEEPA reciprocal tariffs, and all pharmaceutical-exporting countries faced a flat 10% Section 122 tariff (in effect February 24 – July 24, 2026). The 10% Section 122 tariff expired at its 150-day statutory limit on July 24, 2026 and was replaced the same day by the Section 301 forced-labor tariff — a two-tier 10%/12.5% duty on roughly 60 economies, with most major exporters (including China) in the 12.5% tier and a smaller group in the 10% tier. For products with a 0% base rate, this base forced-labor surcharge (10% or 12.5% by tier) constitutes the entire duty burden.

Most Affected Countries

Ireland, the European manufacturing hub for many major drug companies, moved onto the EU-US trade deal on July 1, 2026: EU pharmaceuticals are capped at 15% all-inclusive, and from September 1, 2026 generic pharmaceuticals plus their ingredients and chemical precursors revert to MFN-only rates — typically 0%. The deal also shields EU producers from the threatened 100% tariff on branded pharmaceutical imports tied to the July 31, 2026 onshoring deadline. India, the world's leading supplier of generic medications and APIs, benefits from the forced-labor tariff's 10% tier, which is lower than India's former country-specific IEEPA rate. Switzerland and the United Kingdom (non-EU) sit in the 10% tier as well, while Germany trades under the EU's 15% pharma cap.

How Surcharges Stack

For most finished pharmaceuticals with a 0% base rate, the base forced-labor tariff (10% or 12.5% by tier) represents the entirety of the duty burden — a simpler calculation than the old regime of varying reciprocal rates by country. An API sourced from India now faces a 10% forced-labor tariff applied to the full ingredient value, which while not insignificant is lower than India's former IEEPA rate. Medical devices and pharmaceuticals from Germany and other EU countries fall under the EU deal's 15% all-inclusive ceiling as of July 1, 2026 — no base duty stacks on top — and EU generics plus their ingredients go MFN-only from September 1, 2026. Products from Israel may benefit from the US-Israel FTA, potentially reducing or eliminating the base surcharge impact. Section 122 expired July 24, 2026 and was replaced the same day by the Section 301 forced-labor tariff, so the non-EU base surcharge is now 10% or 12.5% depending on each country's tier.

Sourcing Strategies

Pharmaceutical sourcing now splits along three lines: EU sources (Ireland, Germany) capped at 15% with generics going MFN-only September 1, 2026; non-EU sources at the 10% or 12.5% forced-labor tier; and USMCA/FTA sources potentially duty-free. Companies should ensure their products are properly classified, as the distinction between finished pharmaceuticals, APIs, and devices determines both the rate and the September 1 MFN-only eligibility for EU generics. For APIs and intermediates from India and China, the forced-labor tariff (10% for India, 12.5% for China) reduces but does not eliminate the tariff incentive to explore alternative suppliers. Section 122 expired July 24, 2026 and was replaced the same day by the Section 301 forced-labor tariff, which put API powerhouse India in the 10% tier — locking in that rate for multi-year supply agreements.