Key industries face a "tariff storm" as Trump plans to impose heavy taxes on copper and pharmaceuticals

According to the Zhitong Finance APP, U.S. President Trump announced on Tuesday at the White House that the U.S. plans to impose a 50% tariff on all imported copper, as well as punitive tariffs of up to 200% on imported pharmaceuticals. This marks a new round of tough upgrades in the Trump administration's foreign trade policy, aimed at promoting the "reshoring" of key industries to the U.S.

"I think we will impose a 50% tariff on copper," Trump told the media at the White House. He also added, "If drugs must be imported from abroad... we will impose very, very high tariffs, around 200%. We will give them some time to reorganize."

Trump revealed that in addition to copper and pharmaceuticals, new tariffs on other key industries such as chips will be announced soon. "We will announce tariffs on some important industries, including pharmaceuticals, chips, and other major projects."

Copper is a core metal in the supply chains of electronic products and clean energy, widely used in rechargeable batteries, wires and cables, power generation equipment, and new energy vehicles. Due to its irreplaceable role in modern industry, copper has been classified as a "critical mineral" by the U.S.

In February of this year, the U.S. government initiated an investigation into copper imports under Section 232 to assess whether they pose a threat to national security. The implementation of the tariff policy is clearly a direct extension of this investigation.

According to data from the U.S. Geological Survey, the U.S. mined about 1.1 million tons of copper in 2024, of which one-third was exported, mainly in unrefined form, while imports during the same period amounted to 810,000 tons, almost all of which were refined copper. Chile is the largest source of copper imports for the U.S., accounting for about two-thirds.

In comparison to copper, the high tariffs on pharmaceuticals are even more shocking. The Trump administration plans to impose a 200% tariff on all imported pharmaceuticals, attempting to force pharmaceutical companies to manufacture domestically in the U.S., thereby reducing reliance on overseas production.

"We want pharmaceutical companies to bring production back to the U.S.; if they are unwilling, they will pay the price," Trump stated. "We will provide a transition period, but ultimately, production must be in the U.S."

This policy will undoubtedly have a significant impact on the global pharmaceutical supply chain. As most active pharmaceutical ingredients and generic drugs are produced overseas, the supply structure of the U.S. pharmaceutical industry is highly dependent on the global market. Imposing high tariffs may lead to a substantial increase in the prices of imported drugs and further exacerbate the price pressures on pharmaceuticals within the U.S