Pharma Stocks Surge as US Exempts Tariffs on Medicines

Pharmaceutical stocks soared over 14% after the U.S. exempted them from reciprocal tariffs. Notably, Gland Pharma surged 14.32%, with other major players like Aurobindo, Lupin, and Sun Pharmaceuticals showing substantial gains. The decision highlights the crucial role of generic medicines in global health and economic stability, strengthening Indo-U.S. trade ties.

On Thursday, pharmaceutical stocks experienced a significant boost following the U.S. administration's decision to exempt them from reciprocal tariffs. Gland Pharma led the surge with a 14.32% rise, while notable gains were seen in Aurobindo (9.4%), Lupin (6.95%), and Sun Pharmaceuticals (5.7%).

This strategic exemption comes as part of President Donald Trump's broader tariff measures targeting approximately 60 countries, including India. Despite imposing a 27% reciprocal tariff on Indian goods, essential items like pharmaceuticals were spared, emphasizing their critical global role.

The Indian Pharmaceutical Alliance (IPA) endorsed the decision, acknowledging the vital contribution of affordable, generic medicines to public health and economic stability. India's pharmaceutical sector remains pivotal in the Indo-U.S. trade relationship, supporting both nations' health priorities and economic goals.

(With inputs from agencies.)