Lupin, Sun Pharma to Cipla: Pharma stocks decline after Trump’s tariffs plan on generic medicines import

Pharma stocks in India declined in early trade on Wednesday after US President Donald Trump announced a phased tariff plan for imported generic medicines. The Nifty Pharma index fell nearly 2% with all its constituents trading in the red.

Lupin, Gland Pharma, Aurobindo Pharma, Ajanta Pharma, Sai Life Sciences and Zydus Lifesciences shares were among the top losers on the Nifty Pharma index, falling more than 2% each.

Piramal Pharma, Alkem Labs, Cipla and Glenmark Pharmaceuticals shares were also among the top losers.

Trump announced a phased tariff plan on imported generic drugs to encourage domestic pharmaceutical manufacturing. Under the proposal, generic drugs imported into the US will continue to face a 0% tariff for two years starting August 1. Beginning in August 2028, a 100% tariff will be imposed for one year, followed by a 200% tariff thereafter.

In a post on Truth Social, Trump said that the policy was designed to encourage generic drug manufacturers to establish production facilities within the US, describing the higher tariffs as a penalty for companies that fail to relocate manufacturing during the transition period.

The policy specifically targets generic pharmaceuticals, while tariffs on patented and branded drugs will remain unchanged under the current framework.

Ankit Gohel is the Deputy Chief Content Producer at Livemint, specialising in financial markets, macroeconomics, and regulatory developments. With a strong focus on equity markets, primary issuances, and policy-driven market movements, he brings clarity to complex financial developments for investors and market participants. <br><br> With nine years of experience in business and financial journalism, Ankit’s approach is rooted in the belief that market reporting should go beyond headlines — connecting data, policy, and ground realities to deliver actionable insights. His work consistently bridges the gap between institutional analysis and investor understanding. <br><br> Ankit has spent three years at Livemint, where he currently helps drive market coverage, editorial strategy, and high-impact financial stories. Prior to this, he worked with leading business news networks such as CNBC-TV18, ET Now, TickerPlant News Service where he built deep expertise in stock market analysis, macroeconomic trends, primary markets, and coverage of key regulators including the RBI and SEBI. <br><br> Over the years, he has covered market cycles across bull and bear phases, IPO booms, liquidity shocks, and major policy shifts that reshaped investor sentiment. He has interviewed fund managers, corporate leaders, and policymakers, translating their perspectives into sharp, data-backed narratives. Ankit combines speed with accuracy — ensuring timely, credible, and insight-driven financial journalism that empowers both retail and institutional audiences.

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