Skip to main content
SarkaarNaukri
HomeCurrent AffairsUS Zero-Tariff Waiver for Indian Specialty Drugs – 30 September 2026
Employment News

US Zero-Tariff Waiver for Indian Specialty Drugs – 30 September 2026

Published: 30 Sept 2026
Share:

What happened

The US Commerce Department listed India among 20 jurisdictions eligible for a 0% tariff on certain specialty pharmaceutical products and ingredients, even as the US moves a 100% Section 232 tariff on specified licensed pharma products. Covered categories include orphan/rare-disease drugs, nuclear medicines, plasma-derived therapies, fertility drugs, cell and gene therapies, antibody-drug conjugates (ADCs), some CBRN-threat medicines, and animal medicines. Generics remain outside the Section 232 pharma tariffs for now — important because generics dominate India’s US-bound drug exports.

Background

India exported drugs and pharmaceuticals worth about $30.46 billion in 2024-25 (Pharmexcil), with the US a major market. The waiver can apply where a trade/security agreement exists or is expected, or where Commerce finds an urgent US health need. Companies may seek case-by-case relief with product and medical-need details.

Why it matters for exams

  • India–US trade and pharma exports are GS-II/III and banking current affairs
  • Section 232 and orphan-drug definitions appear in economy notes
  • Generic vs specialty distinction is exam-relevant

Key facts for exams

  • Waiver: 0% tariff on listed specialty drugs/ingredients for 20 jurisdictions including India
  • Parallel measure: 100% Section 232 tariff on certain licensed pharma products
  • Generics: Currently not under those Section 232 pharma tariffs
  • India pharma exports 2024-25: ~$30.46 billion (Pharmexcil)
  • Examples covered: Orphan drugs, ADCs, cell/gene therapies, plasma therapies

Practice MCQs

Q1. Section 232 pharmaceutical tariffs of 100% currently do not apply to:

  1. Orphan drugs
  2. ADCs
  3. Generic pharmaceuticals
  4. Plasma therapies

Answer: C. Generics and associated ingredients are currently excluded.

Q2. India’s pharma exports in 2024-25 were about:

  1. $10 bn
  2. $20 bn
  3. $30.46 bn
  4. $50 bn

Answer: C. About $30.46 billion per Pharmexcil.

Q3. ADC in this context stands for:

  1. Advanced Drug Certificate
  2. Antibody-Drug Conjugate
  3. Ayush Drug Council
  4. Active Dose Capsule

Answer: B. Antibody-drug conjugates.

Source: The Indian Express / PTI (29 Sep 2026).