Washington (BN24) – President Donald Trump said Thursday that his administration will impose sweeping new import taxes beginning October 1, targeting industries ranging from medicine to heavy vehicles.
In a series of posts on his social media platform, Trump announced that pharmaceutical drugs imported into the United States will face tariffs of 100 percent, kitchen cabinets and bathroom vanities will face 50 percent, upholstered furniture 30 percent, and heavy trucks 25 percent.
The announcement marks an expansion of the tariff strategy Trump revived in August, underscoring his belief that higher import taxes can shrink the federal deficit while bolstering domestic manufacturing. He claimed that duties on items such as cabinets and sofas were necessary for “national security and other reasons,” although he did not cite a specific legal basis for the measures.
The Commerce Department earlier this year launched national security reviews under Section 232 of the Trade Expansion Act of 1962 into pharmaceuticals and truck imports. A separate review into timber and lumber began in March, raising questions about whether furniture imports fall under the same authority.
Economists warn that the tariffs could worsen inflation and raise costs for American households. Federal Reserve Chair Jerome Powell said recently that goods prices were already driving most of the year’s inflation increases, and he cautioned that higher import costs could further strain consumers. Trump has pressured Powell to cut interest rates, arguing inflation is no longer a threat, but the Fed has resisted due to tariff-related uncertainty.
The new taxes are expected to have far-reaching effects. The United States imported nearly $233 billion in pharmaceutical products last year, and doubling the cost of some medicines could significantly raise health care expenses for households, insurers, and government programs such as Medicare and Medicaid.
Trump said that companies building manufacturing facilities in the U.S. will be exempt, but it was unclear how the tariffs would apply to firms already producing domestically. He previously suggested tariffs on pharmaceuticals would be phased in gradually, but Thursday’s announcement sets immediate 100 percent levies.
Industry groups and international officials reacted sharply. Pascal Chan of the Canadian Chamber of Commerce warned the policy could lead to medicine shortages, insurance strain, and patient rationing. Homebuilders, already facing high mortgage rates and limited supply, could also see costs rise with the tariffs on cabinets.
Truck tariffs, Trump said, are intended to shield U.S. manufacturers such as Peterbilt, Kenworth, Freightliner, and Mack from foreign competition. “Large Truck Company Manufacturers … will be protected from the onslaught of outside interruptions,” he wrote.
Critics note that Trump’s earlier use of emergency economic powers under a 1977 law to justify broad tariffs is still under legal challenge. Two federal courts ruled that he exceeded his authority, and the Supreme Court is expected to review the case in November.
Despite rising prices, Trump maintains tariffs will spur factory construction and job creation. Since April, however, federal labor data shows U.S. manufacturers have cut more than 42,000 jobs and builders have eliminated 8,000 positions.
“There’s no inflation,” Trump insisted to reporters Thursday, calling his strategy a success. Still, he acknowledged that American farmers had suffered from retaliatory measures, and he promised to use tariff revenue to support them, as he did during his first term.
Source: AP
