Stocks of AstraZeneca (LSE:AZN) and GlaxoSmithKline (LSE:GSK) declined on Wednesday following comments from U.S. President Donald Trump about the potential introduction of tariffs on imported pharmaceuticals.
AstraZeneca shares fell by 1.2%, while GlaxoSmithKline saw a similar 1.2% drop during London trading. Other pharmaceutical companies, including Roche, Sanofi (NASDAQ:SNY), as well as Indian firms Sun Pharma and Dr. Reddy’s Laboratories, also experienced downward pressure.
Speaking at a campaign event, Trump emphasized the need to bring pharmaceutical manufacturing back to the United States and warned that “significant” tariffs on drug imports could be imposed shortly.
Earlier in April, similar statements had sparked a notable sell-off in the sector, wiping approximately £14 billion off the market value of UK-listed pharmaceutical companies.
Industry groups such as PhRMA and BIO warned that imposing such tariffs might violate World Trade Organization regulations and could disrupt global supply chains. Additionally, the European Union, China, and South Korea have formally opposed the proposed measures.
GlaxoSmithKline has responded by ramping up its manufacturing investments in the U.S. and expanding AI-based efficiency initiatives, while AstraZeneca said it is closely monitoring ongoing geopolitical developments.
Until now, pharmaceutical products have largely been exempt from major U.S. tariffs. The Office of the U.S. Trade Representative declined to provide any comment on the potential introduction of new duties.
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