Pharma Stocks Aren't in the Clear, Despite Tariff Exemption—Heard on the Street
Still, drugmakers aren't in the clear. Trump singled them out in his remarks Wednesday, saying: 'The pharmaceutical companies are going to come roaring back… because if they don't, they got a big tax to pay.'
That underscores Trump's 'continued appetite to effect change in the industry,' said UBS analyst Trung Huynh. One possible scenario is Trump introduces tariffs specifically targeting pharma—either all at once, or in stages—said Huynh. The president could also pursue tax reform aimed at the industry's offshore tax shelters.
For now, pharma is breathing a sigh of relief. But the reprieve may be temporary.
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