<p>Indian pharmaceutical stocks fell 2 per cent on Friday after US President Donald Trump announced a 100 per cent tariff on imports of branded and patented drugs, effective October 1.</p><p>The US is India's largest market for pharmaceutical exports, accounting for over a third of the total volume, mostly of cheaper generic drugs.</p> .Donald Trump slaps 100% tariff on imported drugs from October 1.<p>Of the 20 index constituents, 18 traded in the red as of 2:37 pm IST.</p><p>Analysts described the decline as "sentimental", noting that India's exports to the US are primarily generic medicines, which may not be affected by the tariffs.</p> .<p>Sun Pharmaceutical Industries, India's largest drugmaker by revenue and the heaviest stock on the index, fell about 3 per cent. Sun Pharma markets patented drugs, including Ilumya, a psoriasis treatment approved by the US FDA.</p> .<p>The company also has a contract manufacturing unit through EU partners for specialty drugs, where a 15 per cent tariff applies to EU exports to the U.S., according to Vishal Manchanda, equity analyst at Systematix Group.</p><p>"The impact on Sun is not very meaningful," he said. "It may be between 1 per cent to 3 per cent of EBITDA."</p> .<p>Laurus Labs declined the most among constituents of the index, down about 6 per cent.</p><p>"There is a general worry that CDMO (contract drug manufacturing organisations) might be impacted as the US moves manufacturing in-house," Manchanda added.</p><p>Biocon, which makes complex biosimilars for cancer treatment and has significant U.S. exposure, is down about 4.6 per cent.</p><p>"Uncertainty remains whether complex generics and biosimilars will face future tariffs," ICICI Securities analyst Pankaj Pandey said in a note on Friday.</p>
<p>Indian pharmaceutical stocks fell 2 per cent on Friday after US President Donald Trump announced a 100 per cent tariff on imports of branded and patented drugs, effective October 1.</p><p>The US is India's largest market for pharmaceutical exports, accounting for over a third of the total volume, mostly of cheaper generic drugs.</p> .Donald Trump slaps 100% tariff on imported drugs from October 1.<p>Of the 20 index constituents, 18 traded in the red as of 2:37 pm IST.</p><p>Analysts described the decline as "sentimental", noting that India's exports to the US are primarily generic medicines, which may not be affected by the tariffs.</p> .<p>Sun Pharmaceutical Industries, India's largest drugmaker by revenue and the heaviest stock on the index, fell about 3 per cent. Sun Pharma markets patented drugs, including Ilumya, a psoriasis treatment approved by the US FDA.</p> .<p>The company also has a contract manufacturing unit through EU partners for specialty drugs, where a 15 per cent tariff applies to EU exports to the U.S., according to Vishal Manchanda, equity analyst at Systematix Group.</p><p>"The impact on Sun is not very meaningful," he said. "It may be between 1 per cent to 3 per cent of EBITDA."</p> .<p>Laurus Labs declined the most among constituents of the index, down about 6 per cent.</p><p>"There is a general worry that CDMO (contract drug manufacturing organisations) might be impacted as the US moves manufacturing in-house," Manchanda added.</p><p>Biocon, which makes complex biosimilars for cancer treatment and has significant U.S. exposure, is down about 4.6 per cent.</p><p>"Uncertainty remains whether complex generics and biosimilars will face future tariffs," ICICI Securities analyst Pankaj Pandey said in a note on Friday.</p>