German Pharma Industry Warns of Severe Impact from Potential US-EU Trade War

New analysis highlights risks to drug supply, employment, and healthcare if Trump's proposed tariffs on European imports are enacted.

The US is the largest market for German pharmaceutical exports, accounting for nearly a quarter of the sector's global trade in 2023, including critical vaccine shipments.
Germany imports 12% of its pharmaceutical production materials, such as chemicals and base ingredients, from the US, making it highly reliant on stable trade relations.
The proposed US tariffs of 10–20% on European imports and 60% on Chinese imports could disrupt supply chains and significantly increase production costs for German drug manufacturers.
The pharmaceutical sector warns of potential shortages in medications and job losses in Germany if trade barriers are implemented, drawing parallels to supply chain issues experienced during the COVID-19 pandemic.
Economists emphasize that avoiding a trade conflict with the US is crucial to protecting Germany's industrial economy, with the pharmaceutical industry particularly vulnerable to such measures.