Trump’s Tariff Bomb? Indian Pharma Stocks Like Mankind, Natco & Biocon Rally - Here’s What You Need To Know

Shares of companies in the pharmaceutical sector are trading with gains on July 9, 2025, despite the United States President Donald trump threatened levying 200% tariff on all pharmaceutical imports.

What Did Donald Trump Say?

According to the US President, pharmaceutical companies will be given the time to relocate their operations into the United States, before the Trump administration has rolled out fresh duties.

"We're going to give people about a year, year and a half to come in, and after that, they're going to be tariffed," Trump said.

Trump further added that countries are going to be “tariffed at a very, very high rate, like 200%.”

"We'll give them a certain period of time to get their act together," he added.

Nifty Pharma Trades Higher

However, investors did not pay attention to Trump's comments as Nifty Pharma index was trading higher by 0.4% at 22,252.50 at 9:25 am.

Among the top gainers were Mankind Pharma, Natco Pharma, Biocon, Laurus Labs, and Lupin and the shares of Mankind were trading the highest at Rs 2,532 per equity share, up by 4.12%.

This will in all likelihood impact domestic pharma players, that depend on the export of generic drug formulations to the US for a significant portion of their sales.

Additionally, if these domestic pharmaceutical players are unable to hike their costs or move production to the US, their production may shut down.

Generic drugs are priced at low rates and therefore if they are unable to increase prices, they would have to stop manufacturing which would result in drug shortages across the United States.

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