Trump wants to tariff Canadian-made drugs. Experts warn U.S. patients could pay the price

Prescription drugs have historically been exempt from tariffs, but President Donald Trump is considering changing that policy as early as April 2. This move has experts concerned about potential shortages of critical drugs for Americans.

Some of the drugs that could be impacted by these tariffs include bupropion for major depressive disorder, ibalizumab for multi-drug-resistant HIV, and sotalol for life-threatening heart rhythm problems. These drugs are primarily manufactured in Canada and then exported to the U.S.

A recent research letter published in JAMA highlighted the potential impact of tariffs on Canadian pharmaceuticals. It identified hundreds of drugs made in Canada for the U.S. market, with dozens of them being exclusively or predominantly manufactured in Canada.

Mina Tadrous, a professor at the University of Toronto and one of the authors of the letter, emphasized the importance of these drugs for Americans and the potential implications of tariffs on the supply chain. While he doesn’t believe people will be “dropping dead on the streets,” he warned that drugs like HIV treatments play a crucial role in extending people’s lives.

Canada currently manufactures around $3 billion worth of pharmaceuticals for the American market each year. If the U.S. imposes a 25% tariff on Canadian-made prescription drugs, it could add $750 million in costs for buyers, ultimately affecting pharmacies and consumers.

Although Canada is not the largest drug manufacturer for the U.S., any disruptions to the supply chain can have significant consequences. Even small changes in production or distribution can lead to drug shortages, a problem that has become more prevalent since the COVID-19 pandemic.

If tariffs are implemented in early April, patients and pharmacists could start experiencing the impact within weeks. David Zgarrick, a pharmacy professor at Northeastern University, warned of the challenges that pharmacies, patients, and healthcare providers could face if tariffs are placed on medications.

While the initial impact of these tariffs would be felt in the U.S., Canadians would also be affected in the long term. Tadrous highlighted the global nature of supply chains and the potential for shortages to spread across borders.

As countries engage in tariff wars, the supply chain for pharmaceuticals could become even tighter. This could lead to shortages of IV drugs, hospital products, and medications for small populations in Canada. Tadrous emphasized the complex nature of drug manufacturing, with components coming from multiple countries.

Building domestic resilience in the pharmaceutical industry takes time, and Tadrous urged Canadians to start planning now to protect their supply chain. As the world navigates the implications of tariffs on prescription drugs, proactive measures will be essential to ensure continuity of care for patients.