President-elect Donald Trump recently released his plans to introduce tariffs on certain imported goods in 2025.
Here are five notes for dental leaders on how these tariffs could impact prices for products in the U.S.
1. Mr. Trump said he will impose a 25% tax on all imports from Mexico and Canada, as well as a 10% tax on imported goods from China.
2. The tariff plan is estimated to lead to increased prices for things like food, gasoline and other supplies, NPR reported Nov. 26.
3. Mr. Trump has claimed that his plan to increase tariffs on imports will cover his proposed tax cuts, which is expected to add $5 trillion in national debt. However, an Oct. 7 analysis from the Committee for a Responsible Federal Budget indicates his tariff plan would generate only $2.7 trillion.
4. The tariffs are expected to affect the prices of approximately 75% of medical devices marketed in the U.S. Companies would be likely forced to raise prices to cover the financial losses incurred from the tariffs, which could also lead to supply shortages.
5. The cost of generic drugs could also go up. This is because few generic drugs are made in the U.S., with about half of all generics and 80% of active pharmaceutical ingredients sourced from countries such as China and India.