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Bangladesh gets US tariff exemption on drugs

Published : Tuesday, 29 September, 2026 at 12:04 PM

Observer Online Report

Symbolic Photo

The United States will not impose ad valorem tariffs on certain specialty drugs and associated ingredients imported from Bangladesh and 19 other jurisdictions, according to a notice from the US Department of Commerce.

The tariff adjustment takes effect on Tuesday (September 29) following an April 2 proclamation by US President Donald Trump that imposed tariffs on imported patented pharmaceuticals, biologics, and associated ingredients under Section 232 to boost domestic US production.

The zero-tariff treatment applies specifically to designated categories of specialty pharmaceuticals rather than all medicinal exports from Bangladesh.

Eligible items include orphan-designated drugs, nuclear medicines, plasma-derived therapies, fertility drugs, cell and gene therapies, antibody-drug conjugates, chemical, biological, radiological, and nuclear medical countermeasures, and animal health products.

The 19 other exempted jurisdictions comprise Argentina, Cambodia, Ecuador, El Salvador, the European Union, Guatemala, India, Indonesia, Japan, Jordan, Malaysia, North Macedonia, South Korea, Switzerland and Liechtenstein, Taiwan, Thailand, the United Kingdom, and Vietnam.

Under Commerce Department rules, tariff adjustments apply to jurisdictions maintaining or negotiating trade and security framework agreements with Washington, or where imports meet urgent US healthcare needs, for which companies can request explicit approval.

The department clarified that standard generic pharmaceutical products and associated ingredients remain exempt from Section 232 tariffs.

Additionally, technical corrections to the original proclamation amended the definition of generic pharmaceuticals to explicitly include unpatented animal health products and clarified that pharmaceutical articles encompass finished products, active pharmaceutical ingredients (APIs), and key starting materials.

-SA

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Editor : Iqbal Sobhan Chowdhury

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