Trump Pharma Tariffs and Trade Deficit Negotiations

Situation

Trump administration's pharmaceutical tariff policy and corporate exemptions negotiated with major pharma companies (Pfizer, Eli Lilly), alongside broader trade deficit concerns with EU and India's protectionist tariff barriers on critical goods including medicines and agriculture.

Key Evidence

• President Lula stated that private sector partnerships will convert political goodwill between Brazil and India into shared prosperity. 1 source
• Reported event: India and the United States have divergent positions on e-commerce trade policy at the WTO, with India seeking to end the moratorium on e-commerce tariffs while the United States wants to make the moratorium permanent. 1 source
• Reported event: Section 122 tariffs can be applied for no more than 150 days and cannot exceed 15% by law. 1 source
• Brazil and India should champion an emancipatory artificial intelligence approach that reflects the Global South, promotes inclusion, and is governed multilaterally. 1 source
• Jamieson Greer, United States Trade Representative, stated that Washington is not interested in a temporary extension to the e-commerce moratorium ban, only a permanent one on March 26, 2026. 1 source

What Could Change

Developments that could shift our assessment — sources are currently split on these possibilities.

• Trump may continue to use the tariff card as leverage in the may 2026 summit despite the u.s. supreme court's decision to strike down trump's tariffs.
• The trump administration may announce new pharmaceutical tariffs on thursday of the week of april 2, 2025.