Source: Sharecast
Speaking to journalists late on Tuesday, the US president said taxes on drug imports could be unveiled "probably at the end of the month, and we’re going to start off with a low tariff and give the pharmaceutical companies a year or so to build, and then we’re going to make it a very high tariff".
On semiconductors, he said it was "less complicated" to impose duties and there was therefore a similar timeline the introduction on levies. He did not provide any further details, however.
Trump has previously said drug companies will be given around 18 months to relocate manufacturing operations to the US, after which import tariffs of up to 200% will be imposed.
Some of America’s biggest drug firms, including Eli Lilly and Pfizer, have considerable overseas production facilities.
Tariffs on semiconductors, meanwhile, are expected to hit companies such as Apple and Samsung, who are the sector’s main customers, as well as individual chipmakers.
Trump’s trade war kicked off in earnest on 2 April, when he imposed duties worldwide. All countries were subject to a 10% baseline, but those deemed unfriendly - including China and the European Union - were given far higher rates.
Specific sectors were also singled out, including cars and car parts, and steel.
Many countries immediately responded with their own reciprocal tariffs, prompting Trump to announce even higher levies.
Global markets went into meltdown but following an unprecedent sell-off in US Treasuries, Trump temporarily halted some duties.
A pause on reciprocal tariffs has been extended until 1 August, to allow countries to negotiate individual long-term trade deals with Washington.
Some, including the UK, have already done so. But many final deals have yet to be struck, including with either the EU or China.
Separately, Trump confirmed a deal had been agreed with Indonesia on Wednesday.
Posting on social media, the president said the country’s rate had been cut to 19% from 32%. In return, Indonesia had committed to purchasing $15bn "in US Energy, $4.5 Billion Dollars in American Agricultural Products, and 50 Boeing Jets, many of them 777s".
US firms have also been granted "full access" to the Indonesia market, he said.
Boeing has yet to comment.
