Big Pharma Poised to Manage US Tariffs, Pricing Risks, Morningstar Reports
AI-Generated Summary
Morningstar analysis suggests that major U.S. and European drugmakers are likely to manage the impact of proposed U.S. tariffs on pharmaceutical products and efforts to lower drug prices. The report indicates a low near-term risk from price slashing due to patient access concerns, estimating a 15% tariff would peak at around 4% of core profit after mitigation.
In a nutshell
This analysis offers an industry perspective on the financial resilience of large pharmaceutical companies against evolving U.S. trade and drug pricing policies. It suggests that despite political pressures, the sector anticipates successfully absorbing or mitigating these economic challenges.
Source: Reuters
