Trump unveiled a phased tariff plan on imported generic drugs, giving manufacturers two years from August 1, 2026 to move production to the United States before duties take effect. The schedule remains a 0% tariff for two years, then 100% for one year, followed by 200% thereafter, with penalties for companies that fail to establish domestic facilities during the transition. The plan is intended to reshape generic pharmaceutical production and strengthen U.S. drug supply chains, while the policy on patented drugs would remain unchanged. Critics warn the move could raise prescription costs and disrupt global supply networks if exemptions are limited or delayed. The announcement clarifies that Section 232 actions related to patented drugs have already been used, and that generics are no longer covered by an exemption in the same way. Questions persist about exemptions for those who relocate production as the timetable unfolds.