Uncertainty is far from over, says Belgium's pharma sector

Euractiv

28-07-2025

Agreement was reached on Sunday between the United States and Europe on import duties, but the details are still being worked out. 'There is still a great deal of uncertainty, particularly about the impact on the pharmaceutical sector,' pharma.be told Euractiv.
Confusion arose after US President Donald Trump and European Commission President Ursula von der Leyen gave seemingly conflicting statements on the inclusion of medicines in the agreement.
'President Trump stated that medicines are excluded from the agreement. However, the official statement from the European Union refers to a 'clear ceiling' of 15% on tariffs on pharmaceutical products,' pharma.be told Euractiv. Red flag raised
'During a press conference, President von der Leyen confirmed the 15% tariff. She added: 'Whatever decisions the American president makes later is another story,' referring to the ongoing investigation under Article 232,' pharma.be said.
The lack of clarity raises concerns in Belgium, home to one of the most robust pharmaceutical sectors in Europe.
'It is clear that the pharmaceutical sector is strategically important. Firstly, because of the enormous added value it brings to public health. But also because of its innovative strength, its positive contribution to productivity and, certainly in Belgium, its significant economic footprint (employment, investment, added value).' Belgian Prime Minister reacts cautiously
Belgian Prime Minister Bart De Wever responded cautiously to the announcement on social media platform X. "As we await full details of the new EU–US trade agreement, one thing is clear: this is a moment of relief but not of celebration. Tariffs will increase in several areas, and some key questions remain unresolved."
He praised Commission President von der Leyen's efforts, while urging a return to global openness: "I hope the United States will, in due course, turn away again from the delusion of protectionism and once again embrace the value of free trade – a cornerstone of shared prosperity." 'This deal doesn't make Europe stronger'
Belgian MEP Kathleen Van Brempt voiced strong opposition to the agreement, warning in a statement of long-term strategic risks for Europe: 'Nobody benefits from a trade war. But that doesn't mean every deal is a good deal. And at first glance, there are plenty of reasons to be deeply critical of the current agreement.'
She criticised the EU for conceding to pressure: 'Trump's illegal tariff war violates virtually every international trade rule in existence. Instead of drawing a clear red line, taking countermeasures, and pursuing legal action, Europe is bowing to this brutal power play.'
Van Brempt questioned the value of the trade-off: 'Additional import tariffs on chips, cars and medicines, while the existing 50% tariffs on steel and aluminium, two sectors already under heavy pressure, remain unchanged. How does that make Europe stronger? And what exactly does our industry get in return?'
She warned the deal could increase EU dependency: 'This deal doesn't make Europe stronger, it makes us more dependent. On their markets, their energy, their weapons. The billions we're now expected to invest in LNG and arms will be used by the US to invest in clean tech and national security.'
Van Brempt concluded with a broader warning: 'This is a dangerous signal for rules-based trade. If we keep bending to coercion, we're not just undermining multilateralism, we're undermining ourselves. In the coming days, we must scrutinise every detail of this deal. But any deal that harms Europe in the long run and mortgages our future must go back to the drawing board.' Innovation framework under strain
Current conditions could threaten Belgium's leadership in life sciences, pharma.be warned. 'Innovation can only be successful within a strong and healthy market. At present, we note that the investment framework is lagging in this respect. This threatens to undermine Belgium's position as a leading region in the innovative pharmaceutical sector, as well as that of Europe.'
To address these concerns, the industry association is urging a broader EU strategy, advocating for a European life sciences strategy that 'not only promotes a business-friendly climate but also works to strengthen intellectual property rights.'
The organisation also drew attention to the issue of patient access to innovation.
'Europe, and Belgium in particular, is also lagging behind the United States in terms of making innovative medicines available. In the renewed multi-year framework for medicines, the Belgian government wants to work on a mechanism for earlier and faster reimbursement of promising medicines, but the budgetary scope is very limited. However, without valorisation, there can be no innovation.'
[Edited by Vasiliki Angouridi, Brian Maguire]